SABC doubled legal provisions in order to protect Hlaudi - James Selfe

DA CFE says broadcaster's legal fees also went up from R171m to R257m according to annual report

SABC doubled legal provisions in order to protect Hlaudi

04 October 2016 

According to the recently released SABC Annual Report, legal fees went up from R171 million to R257 million and legal claims provision also doubled from R47 million to R86 million in the 2015/16 financial year. 

This can only be attributable to the costly litigation that the SABC underwent in defending disgraced former COO, Mr Hlaudi Motsoeneng, who has lost every one of his legal battles, with costs.

It is outrageous that the SABC is willing to spend up to a total of R343 million on the frivolous legal cases to defend Mr Motsoeneng, when the broadcaster has just revealed that it suffered a net losses of R411 million in the same financial year.

It is even worse when you consider that this is second consecutive loss-making year as in the 2014/15 fiscal year the SABC suffered R394 million of losses. 

The DA maintains that it is possible for the SABC to be managed profitably. It has done so in the past; there is no reason why it cannot continue to do so. 

This requires proper financial management and the right leadership with the requisite skills to steer the public broadcaster from the red into the black. The SABC currently has neither in the form of Minister Communications, Faith Muthambi, and Mr Motsoeneng. 

It is pertinent that the removal of Motsoeneng from his new post as Group Executive for Corporate Affairs is actioned as per ANC Chief Whip, Jackson Mthembu’s sentiments last week. 

The deadline to action this removal is tomorrow and we’ll see to it that the ANC follows through, failing which, we will pursuing legal options.. 

It is possible for the SABC to be a public broadcaster that South Africa can be proud of. The ending of the Hlaudi fiefdom at the SABC is only but a start. The DA will continue to fight to restore the SABC to financial health even after Mr Motsoeneng is removed. 

Statement issued by James Selfe MP, Chairperson of the DA's Federal Executive, 4 October 2016