Numsa factions fight over control of bank accounts, investments

The National Union of Metalworkers of South Africa (Numsa) is drowning in legal challenges, with rival leadership factions fighting over access to union bank accounts, investments, and financial resources ahead of the national congress.

Numsa, through its acting national office bearers, has approached the Gauteng High Court seeking an order to strip the suspended national office bearers of their banking and investment authority and transfer control to the acting leadership.

READ: Irvin Jim says ‘rogue’ Numsa special NEC has no legitimacy, after attempt to suspend him

Leadership dispute escalates

The dispute escalated after a Central Committee meeting on October 23 that expressed intention to strip national official bearers and appointed a task coordinating team to act in their positions, followed by a special national executive that subsequently confirmed the suspensions of the six national office bearers, including president Andrew Chirwa, general secretary Irvin Jim, deputy general secretary Mbuso Ngubane and national treasurer Mphumzi Maqungo.

Jim blocked the central committee meeting on its eve, after the Labour Court ruling that barred the national office bearers from excluding Mpumalanga delegates.

However, regional leaders from Mpumalanga, Eastern Cape, KwaZulu-Natal, Sedibeng, and JC Bez defied the cancellation and went ahead with the meeting, noting that they met quorum.

The acting leadership, including former Numsa general secretary and deputy general secretary, Silumko Nondwangu and Karl Cloete, respectively wants the court to declare the suspensions valid and prevent the affected officials from interfering with the union’s bank accounts, investments, administrative operations and preparations for the national congress.

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Congress preparations at risk

Nondwangu says in his founding affidavit that Numsa is seeking an order compelling the suspended officials to hand over union property, records, documents, access cards and other materials required to run the organisation particularly as they face the anticipated 12th National Congress scheduled for November 30 to December 4 at Birchwood Hotel and OR Tambo Conference Centre in Boksburg.

Funds are needed to proceed with outstanding regional congresses, including KwaZulu-Natal, Sedibeng, Hlanganani and Ekurhuleni ahead of the congress. The central committee meeting resolved that outstanding regional congresses should be held by November 15 and money allocated for them in 2026 budget should be released.

However, the affidavit alleges that the suspended leadership obstructed the process, including attempts to convene the central committee meeting at which the funding arrangements were to be decided.

Banks caught between rival disputes

Nondwangu argues in the founding affidavit that the suspended officials should no longer exercise powers attached to their positions, including control over the union’s financial affairs.

READ: NUMSA top brass face fresh court battle over congress preparations

He says the dispute about the rightful leadership of the union has left financial institutions caught between rival instructions.

“Faced with competing claims to authority within the Union, a bank cannot be expected to decide which of them is correct. Numsa, accordingly, seeks the order of this Court so that FNB, Absa and Old Mutual may act on a clear and binding instruction issued under cover of judicial authority,” said Nondwangu.

In the affidavit, Nondwangu asks the court to provide a binding order directing FNB and Absa to cancel the suspended officials’ banking access and signing authority, while recognising Nondwangu as acting general secretary and Xola Balfour as acting national treasurer.

The application also seeks to restrict suspended officials access to Numsa investments held by Old Mutual and have the investment manager recognise the acting leadership as authorised to issue instructions concerning the funds.

The application further argues that the union’s constitution makes banking authority dependent on the office a person occupies rather than the individual. According to the affidavit, an elected official will cease to act for the union during their suspension, unless the body responsible for the suspension decides otherwise.

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