Update on IP meeting with SABC

Dear all,

Myself (Neil Brandt), Thandi and Rehad attended on behalf of the IP subcommittee. Apologies
given for Desiree and Pule.

SABC was represented by Nhalanhla Sibisi, Sabelo Silinga and Webster Mfebe.

SARRAL and SAMRO where there but did they did not really contribute. CWU was
also represented.

After much heated discussion the following has been agreed;

1) SABC will provide a written point by point response to the
commissioned IP reports final recommendations. We thought that this was the
point of this meeting but we never made it to any substantive issues as
discussion was primarily around process. This will be received by September
1st. The IP committee should do the same. I will do a first draft for
discussion.

2) We shall meet again on the 15th September to briefly respond to each
other's positions, but main purpose of this meeting will be to set the
agenda and "ringfence" the issues that will be the subject of an intensive 2
day workshop between the SABC and the IP subcommittee. I imagine this will
happen around the end of September. This will be critical, as the real meat
of what it means to share ownership will be fleshed out. SABC will insist
that all affected stakeholders will also participate in this meeting.

3) Out of this workshop we should have draft positions on the table
that will be put to the industry at an IP Indaba. It is my strong
recommendation that we utilize the resources that the GFC has to host an
industry Indaba to dovetail with this. I am recommending to the GFC that the
main focus of the INDABA (whether we like it or not they are going ahead so
lets make the best of it - currently planned for November) be IP and how
this relates to building a sustainable industry. This can work on a basic
training level for producers on IP, but more importantly also to use the
forum to bring all stakeholders together to negotiate a win-win situation
for the industry...ie, bring the DTI, CIPRO, SAMRO, NFVF, SABC, SASFED, IPO
ect to the table with pre planned solutions with a view to really once and
for all finding a way that we can work together seamlessly and unlock
value...

4) All the above based on the premise that SABC willing to contract out
of the Commissioning Exception. A parallel process should be undertaken in
which we tackle the long-term vision of changing the relevant laws.

Input welcomed.

Neil Brandt

TVIEC slogans

Dear All TV Industry colleagues

Since the fantastic marches in JHB and Cape Town we have held back from calling any direct action. With the imminent threat that will see 70% reduction in spend on commissioning we have no option to keep up the pressure on the SABC to make an appropriate application for a short term finance plan to the DOC/ Treasury who if accepted will put it to parliament. This will only happen if we are able to bring to the attention of the public and their elected representatives the very real consequences of such a cut. We cannot accept our local content quota’s being met by SA corporate funding who then determine who tells our stories and how our stories are told. Our rallying call for a plurality and diversity of voice has to be defended.

To this end we have some planned activity for next week that we need to build support for - get people out to attend. In addition we are planning action for the following week which we need assistance to pull off.

Furthermore Cape Town need to plan an action outside parliament – and attend the interviews for the SABC Board we need to send a message through our presence that they are being watched.

Joburg TVIEC protest action comm. meeting at Atlas Studio Thursday 20th August 4 pm sharp boardroom – this is a task orientated meeting. Please attend if you can help.


Some ideas for slogans

Bail Out Now

for SABCs 24 million viewers

Bail Out for SABC or Bail Out of Viewers

SABC is Public Service that requires support

Advertising Funded Programmes is not the answer

Editorial integrity under threat by Advertising Programmes

Only public funding can guarantee editorial integrity

A CEO for SABC who is a champion of local story telling

We need ideas for slogans.

Rehad Desai

TVIEC guerrilla theatre protest

Hi All

The TVIEC is organising a guerrilla theatre protest action at SABC to keep the pressure on. The plan is to depict the death of local stories and local content. Media will be invited to document the action and to interview picketers.

The feeling is that it would be great if Cape Town organised something similar. I cannot do any organising as I am staying out of town and do not have reliable e-mail or cell phone contact.

I can supply the data base of people interested in the action of the TVIEC and who attended the last picket in Cape Town to whoever is willing to take the task on. E-mail me at: action@kali.co.za

all the best

Kali


OUR CONTACT: tvcrisis@gmail.com



This letter is written on behalf of the TVIEC (Television Industry Emergency Coalition) which consists of: IPO (Independent Producers Organization), SASFED (South African Screen Federation), TPA (The Producers Alliance), DFA (Documentary Filmmakers Association), WGSA (Writers Guild of South Africa) as well as the CWU (Creative Workers Union).

Private eye at SABC offices

Officials from the auditor-general’s office have set up shop at the SABC’s headquarters in Auckland Park to investigate allegations of widespread mismanagement and corruption. by Buddy Naidu
A team of investigators has occupied the broadcaster’s fourth-floor offices since last Monday after being ordered by Parliament’s portfolio committee to probe the litany of allegations.

The financial and managerial crisis at the organisation eventually saw the previous board dissolved in June. Now the auditor-general’s office has three months to investigate claims made by:

# The former board and its chair Kanyisiwe Mkonza against management;

# Unions, who compiled a dossier alleging a litany of improprieties, corruption and the flouting of fiduciary duties by both the board and management;

# Senior members of management as well as former CEO Dali Mpofu against the board; and

# The interim board and the portfolio committee.

SABC spokesman Kaizer Kganyago said the investigators were receiving “full co-operation” from management, with staff being encouraged to participate.

“Staff and anyone with information are encouraged to interact with them via a special e-mail account that has been set up, while boxes have been allocated for those who wish to provide information anonymously,” he said.

He said the probe was expected to last until the end of this month, after which a report would be tabled before the communications committee in Parliament.

A spokesman for the Auditor-General, Africa Boso, said he was unable to comment on the investigations.

In March, the SABC announced pre-tax losses of under R800-million and it has since gone cap in hand to government for a R2.4-billion bailout.

Communications Minister Siphiwe Nyanda also announced, soon after the dissolution of the board, plans to create a new funding model for the broadcaster.

Nyanda told Parliament that he had approached Finance Minister Pravin Gordhan to form a team to “effect the turnaround”.

He also announced a proposal to radically increase state funding for the SABC.

At present, the broadcaster’s advertising revenues account for about 80%, with the state contributing only 2% and the rest coming from licence fees.

This week Nyanda announced an 11% licence tariff increase — from R225 to R250 — effective as from the beginning of this month.

http://www.thetimes.co.za

Private SABC is urged

The Democratic Alliance has called for the SABC to be privatised. DA spokesperson Niekie van den Berg said yesterday that the public broadcaster had decided that to cut costs it would no longer commission any new local content.
But the Television Industry Emergency Coalition warned that this decision would effectively kill the local television industry, with 80000 crew and cast losing their jobs, among other things.

The DA welcomed the SABC’s attempts at cost- cutting, but said the broadcaster’s almost R1billion losses were largely as a result of internal financial mismanagement and mass fruitless and wasteful spending.

“An example of worrying trends at the SABC includes the fact that despite the corporation’s dismal performance, and while being on paid suspension for most of the year, suspended CEO Dali Mpofu received a R2,1million bonus during 2008, 47,3percent higher than the previous year’s R1,4million.

“Mpofu’s salary was also increased by 19,7percent to R4,5million.

“He was also paid out more than R6,5million for the remainder of his contract after being refused reinstatement,” Van den Berg said.

Another disconcerting fact was that the SABC’s biggest debtor was national and provincial government, which owed it over R300million in advertising fees. The money is for airtime sales and outdoor broadcast ventures. – Sapa

http://www.sowetan.co.za

SABC cancels local productions

The Television Industry Emergency Coalition (TVIEC) is raising a red flag in alarm at the proposal by the SABC to freeze, cancel and delay various local productions in order to cut costs.
As per the SABC’s 2008 Request for Proposals (RFPs) from the independent production sector, we have been informed that only 12 out of the 47 productions due to have been incepted in April 2009 will be going ahead this year. The balance will be delayed or cancelled. There will be no 2009 RFPs for production in 2010. Furthermore, numerous existing/renewable contracts have been postponed or deferred.

This appears to be the turn-around plan that has been proposed to the interim board. If implemented, the move will save the SABC an estimated R500-million over the next year. Instead of the SABC creating a viable new business plan, the independent production sector will end up taking the hit for the broadcaster’s internal mismanagement. While the SABC will appear to have a quick turn-around, the impact has deep consequences that the industry, viewers, and next board will have to face:

Companies will close and many will find themselves in debt and potentially liquidated as they had geared for the anticipated annual work flow. Only a very few big production companies with long running soaps will be able to survive.

The substantial investment made by SABC in training and developing new entrants in the industry will be lost – people will have to find other employment.

Key creative talent will migrate and be lost. This is no small issue – producers, writers and directors take years to develop and are pivotal to production success.

Suppliers and facilities will be forced to sell off equipment – most likely outside of the country – which will leave the local industry with an increasingly smaller pool of suppliers, pushing up prices etcetera.

The SABC will enter into a schedule of repeats (which has already started) even in prime time slots, thus directly affecting audiences and very likely future revenue. As viewers decrease, so do advertising rates. Surely this must also have serious effect on the SABC meeting its ICASA requirements – but no reliable quota statistics are forthcoming from either the broadcaster or the regulator. Furthermore, the TVIEC is concerned about how and when repeat fees will be paid – given the fact that final payments have still not been made on some of the properties that are now going to be repeated!

What happens to the SABC staff employed to commission, oversee and work on the many productions that will be cancelled and deferred? Will they be retrenched as part of the cost saving exercise too?

In addition we are being informed that the SABC intends to “bulk commission” local programming to further reduce costs. While we can see that this may provide some savings, we highlight that it will only serve to grow a handful of production companies that have capacity to manage bulk. These are mainly established facility owner/producer companies and will most likely advantage the already advantaged. We believe this goes against the very spirit of the SABC’s commitment to diversity and developing the industry – as well as ICASA’s recommendations. Bulk commissioning is a dangerous notion of cost savings as it is not applicable to all genres (eg drama or documentary) and will thus start to shape the type of content the SABC puts on air – cheap and studio-based. It is also open to abuse and inappropriate commissioning. We are concerned that there are already discussions on bulk commissioning taking place with large facility/producer companies, and that open and fair tender will by bypassed.

We believe that an attempt to turn the SABC around by cutting their key product – programming – will cause irreparable damage to the independent production sector and to the SABC’s credibility. In our view this can be likened to an airline making a saving by buying less fuel. Cost savings must be made from areas of fat or that are non-core to the SABC’s business. Programming is at the core of their offering to viewers. We strongly oppose this process.

We are of the view that the SABC should be looking at a combination of selling off non-core assets, downscaling internal units that have been overstaffed, cutting back on unnecessary spending in non-program areas and applying for funding in the form of a bail-out or a loan whilst implementing long term cost savings within its business models.

The TVIEC will continue to campaign. We will lobby all stakeholders and mobilize public opinion for a short term policy intervention which will require Treasury to allocate additional budget to the SABC in 2009 so that its anticipated schedule of local content can be produced.

OUR CONTACT: tvcrisis@gmail.com

This letter is written on behalf of the TVIEC (Television Industry Emergency Coalition) which consists of: IPO (Independent Producers Organization), SASFED (South African Screen Federation), TPA (The Producers Alliance), DFA (Documentary Filmmakers Association), WGSA (Writers Guild of South Africa) as well as the CWU (Creative Workers Union).

At the August 4 mass meeting of the TVIEC, the steering committee reported back on our meetings and dealings with the minister, SABC operations and the SABC interim board. The protest march and subsequent lobbies have given us a powerful voice – but the struggle for a new SABC has only just begun.

As was reported at that meeting, the SABC seems intent on slashing local production over the next year as a means of saving money. See the press release at the end of this document for our position on these proposed measures.

Our industry is facing yet another very serious crisis and we have decided that we have no option but to continue with our protest action strategy.

Next Protest Action

Within the next few weeks the TVIEC will be staging a guerrilla theatre protest action at SABC. This will be a mediation and picket, not a mass protest action. The plan is to stage industrial theatre that depicts the death of local stories and local content. Media will be invited to document the action and to interview picketers. We need to keep the pressure on.

The plan is to stage similar protests regularly after this. We are urgently calling on TVIEC members to join us. Bring us ideas for protest pieces and help the protest committee stage these. We need volunteers to join us on 20 August for a meeting to plan the protest action.

Writers and actors, express your outrage at the SABC’s killing off of local content. We need passionate individuals to join the pickets and speak to the media about their concerns. Contact Charl on 082-6813680 if you can help.

As the protests continue, the thrust will increasingly be on job losses. Actors, writers, service providers and crew need to come forward and tell their stories. The focus will also be on viewers. Soon SABC will be serving us a diet of repeats. Do you have any ideas on how to engage with the issue of viewers? Let us know.

Reporting Back: A New System

It is proving difficult to effectively report back to TVIEC members and affiliates on the myriad meetings and lobbies that we are engaged in – such as nominations for the new SABC board and issues of payment and operations at SABC.

We are proposing that each member body of the TVIEC nominates two to four people that can meet with us for report backs. They will then report back to their members. Please can you nominate members and let us know by mailing us on tvcrisis@gmail.com

Mpofu gets R12m to leave SABC

Former SABC boss Dali Mpofu has ended his R20-million legal dispute with the broadcaster and will pocket R12-million for his troubles. by Buddy Naidu
Mpofu and the SABC’s interim chairman, Irene Charnley, announced at a rather jovial news conference on Friday that they had reached an “amicable agreement” whereby he will drop his legal case for wrongful dismissal against the broadcaster.

The two said “ongoing costly legal battles are not in the interests of public broadcasting”.

Mpofu also signed a restraint-of-trade agreement valid for 18 months.

He has already been paid R6.7-million, or the remainder of his contract, after his axing. He will pocket a further R900000 as part of his package, and the Department of Communications will pay him R4.4-million as part of the restraint-of- trade deal. As part of the agreement, signed to “safeguard the SABC’s protectable interests”, Mpofu will be prevented from working for any entity in competition with the broadcaster, even as a consultant. He will also receive R2.1- million for legal fees he incurred during his battle with the former board, which initially suspended and then axed him early last year.

Charnley said the scrap between Mpofu and the previous board, which was dissolved in June, had cost the broadcaster R4.8-million in legal fees alone.

A jovial Mpofu said he was relieved the saga was over and insisted he had no intention of applying for his old job, which is advertised in national newspapers today.

“Fairness, in principle, was what I was fighting for,” Mpofu said.

He maintained that his tenure was a “success” — saying his record “speaks for itself” — and praised his senior management team for their work.

“I’ve no regrets. .. people will see the kind of contribution we’ve made as a collective.”

He also took a dig at the former board, saying he paid no heed to their attempts to publicly discredit him. “(I) don’t worry about people who are ignorant about how the SABC functions.”

DA spokesman on communications Niekie van den Berg said it was ridiculous that Mpofu could walk away with a R12-million payment when his inability to manage the state broadcaster led to its financial crisis. “I hope this is a lesson for the ANC as Mpofu was a political appointment.”

http://www.thetimes.co.za

SABC - PRODUCTION INSURANCE - An industry objection 5.8.09

Production insurance is an absolute necessity for risk management of any production.

Throughout the world Film and TV productions are financed with a simple proviso that the production will have FPI (Film Producers Insurance), which is a standard line item in any budget. There are only a handful of insurers that specialise in this;

The SABC insists that they will provide the insurance cover for any SABC commissioned production directly through their own supplier who offers them bulk discounts.

The requirement by the SABC that producers must accept insurance through the SABC’s insurers is extremely problematic for the production sector because there is a direct conflict of interest in risk management. (Note this was implemented approx 2 years ago and has never been needed in the past as contracts required producers to take appropriate FPI cover)

Producers sign an SABC contract that we accept all risk and that we will deliver on time, within budget, etc. However we have no control over the insurance which is managed by the SABC – so if claims are not paid on time, or the SABC defaults on a payment and thus leaves the producers uninsured – the producer de facto carries double risk. It is the producer who has to carry the burden and risk with no recourse to the insurer or SABC

An Example of this is recently a well respected production company has been sued by a vehicle rental company as the SABC insurance has not paid a claim. The producer had to sign personal surety and is thus now personally liable.

As it currently stands, the producer cannot elect to use an alternative insurer and receive better cover or a more competitive service. As the SABC has made itself the “processor” or “conduit” for any claims, the producer carries the risk whilst the SABC wrangles with the insurer. The producer once again is at risk and has no control.

The SABC in many instances may not have any incentive to help process a claim on behalf of a producer, their employees and/or contractors as the SABC’s overall discounted insurance arrangement could be adversely affected by any such claim and more importantly, the SABC has not personally suffered any loss. It should be noted that the SABC’s current Terms of Trade have several onerous indemnities to avert any risk which the SABC may be exposed to and accordingly the IPO is of the view that there is a low risk to the SABC.

Also producers sign all contracts with cast, crew and suppliers. In the event that the SABC defaults on insurance – the producer is 100% liable to all its contractual obligations and thus sue-able. So if a person is hurt on our set, we are liable. If the SABC insurance defaults – we have no recourse as we are not the primary holder of the policy.

When the SABC insurance office does not manage paperwork or flow, we are vulnerable – it is an individual’s word that they submitted, etc. It is untenable to have a hands-off relationship with the insurer.

For as long as the risk lies with the producer, the more significant the risk, the more prejudicial the possible outcome to the producer in the event of non-payment of a claim.

Also, there is a concern around turnaround time from submission of claim to payment of such claim. Some companies have waited for over a year for payment (EG: Moja is currently awaiting payment for an incident that occurred on 10 October 2008. “We filed a claim that day. The SABC was completely non-responsive – not a word, not a mail. We eventually dealt directly with the insurance company. We are still awaiting payment, but there has been some communication this week.”)

The nature of production is that we often need to make last minute changes to schedules to accommodate availability of actors, location problems, weather etc. This requires an extremely flexible and personal relationship with an insurer based on trust and personal track record.

Professional producers build relationships with insurers that enable them to get production matters covered instantly, sometimes in the middle of the night. Claims are also processed within particular parameters which producers have managed to negotiate to minimise their risk and exposure. And if a chosen insurer does not meet such needs, they can be changed.

Managing ones risk is a very personal choice.

Even the banks are not allowed to force a homeowner to use their insurer when they lend you money to buy a house. They can insist you have adequate cover – but they cannot force you to take their cover.

We believe the current approach by the SABC is anti-competitive. However, it has not been our intention to create a forum for conflict – in fact we have now tried to make the SABC insurance work for 2 years. But this has just reaffirmed for us the dangers of the current situation

If the SABC is to insist on its insurers being used, then it should similarly be prepared to assume the risk in the case where a claim is not met within a reasonable time period - 3 months. Also, the SABC must then not request producers to accept all risk for delivery. However, the SABC will argue that it has no control over the production and cannot accept the risk. Similarly, producers will argue that they have no control over the claims procedure and more importantly, if claims are run through the SABC and any administrative error occurs, then an insurer may repudiate a claim and the producer may be liable for the risk where there is a fault on the part of the SABC. This will entail unnecessary, costly and protracted litigation to try to resolve that issue. This creates an untenable situation for all.

It is not only about money and risk but about service levels as well. Producers are often able to secure and make arrangements quickly and efficiently and deal with the claims on particular merits where a globular policy can never provide the same level of satisfaction. This is also a key aspect of insurance arrangements.

As such we request that this matter be discussed at the highest levels as a matter of urgency and that we be allowed to manage our own risk.

NOTE: We are not averse to the SABC having a selection of insurers that are preferential service providers to SABC at a competitive rate and that producers may chose any one of them at such rate This allows us to keep them competitive and responsive. But we must also be allowed to choose our own insurer and pay in any difference in rate.

An example of increased risk to prod co’s.

One of our members had 2 productions for which insurance was provided by SABC. In both cases, they had not received any confirmation or any other documentation from SABC confirming that they were covered.

In one instance, they requested if a presenter had to go for a medical test. The SABC office was unable to help, and instead they referred the prod co to the underwriter, GIB Insurance. While talking to GIB the prod co found out that even though they had submitted their Insurance form to SABC weeks prior, the insurance company had not received any information, and therefore could not confirm that the production was covered.

Note: We believe the micro management with regards things like insurance and how the independent producer manages his risks undermines the producer’s independent status and could lead an inexperienced producer unwittingly to reckless trading.

CWU ELEVATES STRIKE AGAINST STUBBORN SABC

CWU PRESS RELEASE 23/07/2009 

Communication Workers Union and its members are to embark on a second phase of the protected strike action against the SABC as a result of the Public Broadcaster’s management’s failure respond favorably to the union’s demands.
 
As indicated to the SABC management on the 10th July 2009, CWU is not prepared to accept anything less than the 12.2% salary increment as agreed upon by parties in the multi-term agreement. CWU still maintain that its members and workers in general cannot be expected to be the ones hard hit by the mismanagement and misappropriation of funds by the management.
 
The rescue request made by the SABC of 2billion rands from government cannot exclude rescuing itself from preventing the current strike by ensuring that the SABC respect and adhere to the signed agreement.
 
CWU believe that the prioritization of cost cutting as embarked upon by the SABC should among others be aimed at making it possible among others to implement the multi-term agreement to ensure the much needed stability within the organization. In prioritizing, the SABC must affirmatively consider the “Loyalty Begins At Home” principle.
 
The CWU National Working Committee meeting that will be held on the 24th July 2009, will among others discuss a more effective strike action program against the SABC, its forms and durations, and these will include among others; “Go Slows”; Work-to-rule”; Picketing and National “Stay-Away’s” The SABC strike will be bolstered by the impending strike against Telkom SA and the possibility of a “Secondary Strike” of all CWU members in the ICT Sector.
 
The SABC need to seriously consider implementing the 12.2% or brace itself up for a crippling “Rolling Mass Action”, as our members’ determination and anger is nearing explosive levels.
 
 
For any queries, please contact

Gallant Roberts
General Secretary
Communication Workers Union
082 692 9777
gallantr@cwu.org.za

CWU - COMMUNICATION WORKERS UNION 
No. 29 Rissik Street
P O Box 10248
Cnr Rissik and Fox Street, Johannesburg, 2000
Tel: (011) 838 8188
E-mail: reception@cwu.org.za
Fax: (011) 838 8727
Internet: www.cwu.org.za/Index.htm

SABC CLAIMS CASH FROM UNPAID PRODUCERS

TVIEC PRESS RELEASE

SABC CLAIMS CASH FROM UNPAID PRODUCERS

Despite some erratic payments at the end of June 2009, SABC still owes independent TV producers tens of millions of rands for shows that have already been broadcast. And payments of millions of rands more are being delayed for months on end because of the SABC’s controversial asset control system. As part of that system, seemingly random fines of up to R100 000 are being imposed on producers for alleged lost assets.

The commissioning process is mired in red tape – nowhere more so than the signing off of a completed production. One aspect of this sign-off is assets. When a production company creates a series for SABC, everything that is bought for the production – sets, props, wardrobe, dressing and the like – becomes a SABC asset. At the end of the season the producer – who has invariably had to store these assets at their own cost or, more recently, leave them at an insecure SABC facility – must account for them. Down to the last sock, assets must be ticked off against a ledger of acquisitions. SABC appears to have only one Asset Controller covering all of their commissioned productions, a Ms Lerato Thage.

It can take months or even years for the SABC’s Asset Controller to get to checking a production’s assets. Until she does so, final payment for that production is withheld. Some production companies have been waiting for longer than a year and up to two years for this to happen.
Now production companies are also facing bizarre claims that vast amounts of assets are missing when the controller eventually does her checks. The industry has gone so far as to photograph assets in order to prove that they are accounted for – but SABC seems unwilling to engage over the issue. They seem intent on witholding money from production houses as a matter of course.

This may seem like a trivial issue, but it is causing even further delays and crises in outstanding payments to the industry – it is clearly a ruse to alleviate the SABC’s cashflow crisis at the cost of the independent production sector. The TVIEC demands honest, fair and efficient terms of trade with the national broadcaster.

FOR FURTHER INFORMATION: tvcrisis@gmail.com

This press release is written on behalf of the TVIEC (Television Industry Emergency Coalition) which consists of: IPO (Independent Producers Organization), SASFED (South African Screen Federation), TPA (The Producers Alliance), DFA (Documentary Filmmakers Association), WGSA (Writers Guild of South Africa) as well as the CWU (Creative Workers Union).

SOS working group: petition now live, updated letter to Minister

Hello there
 
Our petition  re: SABC Board nominations is now llive. The url address is below....  Do go and place your signatures.

To: South African Parliament

Nominations for the new permanent SABC Board

The “Save our SABC” Campaign believes it is critical that the general public feels ownership of the SABC. It is our SABC. One of the most important ways for us to feel this ownership and for the general public to get actively involved is to put forward names for the Board.

We note that the invitation for nominations has been released and the deadline has been set for the end of this month - 31 July 2009. Further we note that small notices have been placed in the supplementary sections of the Mail&Guardian, Star, Sunday Times and Rapport newspapers.

The Coalition is concerned for two reasons. Firstly, we believe that the nomination period is extremely tight and secondly we believe that the dissemination process as regards notifying the public re: the nomination process is wholly insufficient.

To ensure that this critical process is taken forward in a positive and constructive way the Coalition proposes the following:

- That the nomination process if possible be extended to the end of August 2009.
- That Parliament immediately set aside a budget to ensure that notices are carried in the main body sections of all key national and provincial newspapers – and particularly in newspapers read by ordinary South Africans such as the Daily Sun.
- That public service announcements are carried on all free-to-air channels including all SABC channels and e.TV.
- That public service announcements are carried on all community radio stations and also in community publications.
- That Government Communication Information System (GCIS) and statutory bodies such as the Media Development and Diversity Agency (MDDA) are creatively utilised to ensure that nomination notices are further disseminated.

As civil society organisations we also promise, from our side, that we will use our own networks to ensure maximum dissemination of this important information.

Also, further to this public nomination process, we believe there needs to be maximum transparency to ensure maximum public confidence in the nomination and selection process. We have the following suggestions:

- That the names of nominators and nominees are made public through the Parliamentary website and other accessible websites.
- That all CVs of short-listed nominees are housed on the Parliamentary website and other accessible websites for public scrutiny.
- That all interviews are televised and put on free-to-air radio and television channels at times when the majority of people are watching.
- Finally, that MPs give reasons for their choices as regards their final shortlist.

SIGN THE PETITION HERE 

Warm regards
 
Kate Skinner
SOS

Interim Board problems and a way forward for the new permanent Board

Save our SABC: Reclaiming our Public Broadcaster

Interim Board problems and a way forward for the new permanent Board


The “Save our SABC” (SOS) Coalition believes it is unfortunate that the process around the selection of the new interim Board has become so fraught. During Parliamentary debates on the Broadcasting Amendment Bill, SOS repeatedly stated that criteria were needed for the interim Board. In Parliamentary hearings we in fact put forward a number of criteria including the fact that the interim Board should include a corporate governance expert, a financial expert, a broadcasting attorney or academic and representatives from labour and civil society organizations. Despite our best lobbying efforts however Parliament ignored this advice. No criteria were in fact included in the final legislation.

Also, at the time, various SOS members expressed their discomfort around the fact that the selection of the interim board was not a public process. We however were convinced by Parliament that because of the urgency of putting the interim Board in place and the fact that the interim Board would sit for a limited period only (i.e. a maximum of six months) we should forego a public process.

Given the context of no public process and no criteria, we had hoped that Parliament, as representative of the public, would be particularly mindful of the enormity of their task and would have sought to choose board members as a collective with both “hard” technical skills (including corporate governance, financial management and broadcasting expertise) but also a collective of people broadly acceptable to society at large including important constituency groupings and other political parties. It seems however that Parliament did not succeed in its duties here. Unfortunately the interim board as a collective does not enjoy this broad-based support. As Cosatu and the Young Communist League have argued the Board in particular lacks a labour perspective.

The issue is how to move forward from here. SOS believes that a number of lessons need to be learnt from this experience, the most important being that the SABC needs to be collectively owned and supported by its audiences it broadcasts. The selection of SABC boards needs to reflect this both in terms of process and composition. The process for the selection of the permanent SABC Board needs to start now. To gain public confidence SOS reiterates the importance of maximum public participation and maximum transparency.

In terms of maximum public participation, the call for SABC Board nominations need to be widely publicised (not only on tiny postage stamp adverts in newspapers!) but on full page adverts and on all stations on the national broadcaster. Further, the process of interviewing potential candidates for the Board needs to be on primetime television and radio slots with the public being encouraged to send in their questions. And in terms of transparency and public accountability - the names of nominators and nominees needs to be made public as well as the CVs of the nominees. Finally, to conclude the process, Parliamentarians need to put forward reasons why they selected a particular grouping of board members and how these board members fulfill both skills and representativity criteria as outlined in the Broadcasting Act. We believe an impeccable, transparent and public process will go along way to starting to right the myriad of problems plaguing our national broadcaster.

SABC workers set to down tools

Mail & Guardian Online

Business | Labour

SABC workers set to down tools
JOHANNESBURG, SOUTH AFRICA Jul 08 2009 09:27

Hundreds of South African Broadcasting Corporation (SABC) workers are expected to down tools during lunchtime on Wednesday over a wage dispute.

While the Media Workers' Association of South Africa earlier said it was expecting all of its 600 workers to take part, it is understood scores more disgruntled employees will turn out.

The Communication Workers' Union also said it expected hundreds to join. While the third labour union, the Broadcast, Electronic, Media and Allied Workers' Union, said it would act in solidarity with the other unions.

The public broadcaster has been dogged by controversy for several months due to what the unions say is the misuse of millions of rand.

According to reports, the SABC has requested a R2-billion bailout from the government

In a move to alleviate the crisis, the corporation has cut the salaries of several employees and restructured the rates of several news and current affairs presenters.

In an attempt to woo disgruntled employees, the unions on Tuesday posted notices at the entrances to the radio and TV centres to attract a good showing for the lunchtime picket. (Should SASFED and affiliated organisations show solidarity ?)

But it remains to be seen whether the SABC's freelance staff participate, as some fear not having their contracts renewed or not being scheduled for news and other programming.

The unions went to the Commission for Conciliation, Mediation and Arbitration when the SABC revised a 12,2% multi-term pay offer it was supposed to have implemented in April, to 8,5%.


The labour court in Johannesburg dismissed a bid by the SABC last week to stop its workers from striking.

To further exacerbate the situation, the unions have warned that if the SABC does not budge, even after Wednesday's action, they will stay away completely, starting on July 13. -- Sapa

“Save our SABC” Coalition welcomes the Minister of Communications decisive actions and statements

“Save our SABC” Coalition welcomes the Minister of Communications decisive actions and statements

26 June 2009


The “Save our SABC” (SOS) Coalition representing unions including COSATU, the Communications Workers Union, BEMAWU, a host of media NGOs including the Freedom of Expression Institute, Media Monitoring Africa, the Media Institute of Southern Africa, independent producer organizations and individual freedom of expression and communication activists and academics welcomes the recent statements and actions of the Minister of Communications, General Siphiwe Nyanda (ret).

Firstly, the Coalition welcomes the Minister’s statements as regards some of the root causes of the present crises at the SABC. The Minister acknowledged that the appointment process of the 2007 Board was flawed due to political interference and that serious implications arose from this fact. SOS believes that this frank acknowledgement of the issues allows us, going forward, to ensure that all future appointment processes of SABC boards and staff are free of political interference and further ensure maximum public participation and maximum transparency. This is an excellent starting point for resolving SABC problems in the long term.

Secondly, the Coalition welcomes the Minister’s assessment of the SABC crisis as multifold. SOS believes that the crises stem not only from problems with the SABC Board but also with SABC management and further with a lack of rigorous oversight from Parliament and the Independent Communications Authority of South Africa (ICASA). Moving forward SOS believes that we now have an excellent opportunity to clarify the roles of these various governance and oversight structures so as in the future to hold them to the highest possible standards of governance and oversight.

Thirdly, the Coalition welcomes the Minister’s statements as regards the drafting of new legislation for the SABC. The Minister announced that his department will be amending the Broadcasting Act, in consultation with all relevant stakeholders. Further, he stated that the new legislation would bring the Charter in line with international best practice and that a more appropriate funding model, less dependent on advertising, would be introduced. SOS believes that new legislation will be one of the most effective ways of ensuring that the root problems of the SABC’s multiple crises are decisively and holistically dealt with. SOS is ready and willing to engage with the Department on these substantive issues.

Finally, moving forward SOS has a few further recommendations as regards the solving of the SABC crises. As stated on numerous occasions, SOS believes that Parliament needs to move swiftly as regards the appointment of an interim Board. Parliament should provide the President with its recommendations on the men and women with the necessary credentials to stabilize the SABC and to steer it towards financial health and good governance. Parliament must recommend people who are independent of vested interests, who have impeccable integrity and records of public service and who have skills and experience in corporate governance, finance, media, broadcasting and journalism. The interim Board’s mandate needs to include:

- The commissioning of an independent forensic audit (comprising of people outside the SABC) into the financial affairs of the SABC. These findings need to be reported to Parliament so as to ensure a public airing of issues. The recommendations of the forensic audit need to feed into new policy and legislation for the SABC. Further, the recommendations need to assist with the implementation of strict new financial systems within the SABC and the simultaneous rooting out of corruption and the dismissal of corrupt staff members.
- The negotiating of a financial bail-out of the SABC with National Treasury
- The urgent implementation of sustainable agreements as regards payment issues with key SABC stakeholders such as SABC unions and independent producers.
- Finally, the appointment of an executive management that is skilled and has impeccable integrity and the relevant broadcasting experience.

Also, immediately upon the appointment of the interim Board, Parliament must begin the public process culminating in the recommendation of a permanent Board to replace the interim Board which will sit for a maximum period of six months. The permanent board appointment process must be beyond criticism if the SABC is to have a chance of regaining public credibility. Thus it requires maximum transparency and public participation in the nominations, short-listing, interview and recommendations processes. Parliament must take responsibility for the caliber of people appointed to the SABC Board as they are responsible for making the necessary appointment recommendations to the President. We need a permanent board made up of men and women who are independent of major vested commercial and political interests, who have impeccable integrity and records of public service, who have skills and experience in corporate governance, finance, media, broadcasting and journalism and who broadly represent South Africa through being drawn from various sectors including labour, business and civil society.

For more information please contact:

Kate Skinner: (082) 926-6404
William Bird: (082) 887-1370

2 SABC directors attend probe

Only two members of the SABC board managed to turn up at the inquiry being conducted by Parliament's communications portfolio committee into the fitness of the board to continue in office. by Michael Hamlyn

Alison Gilwald and Nadia Bulbulia, the two who pitched, were clearly reluctant to answer a number of the questions posed to them by the committee, saying that they were invited at short notice, and did not have time to prepare.

Gilwald told MPs that she needed to consult with other board members before some questions could be answered, but the chairperson Ismail Vadi told her that the board would be questioned individually about the conduct of their responsibilities.

Few answers

This contrasted with what committee member Johnny de Lange told her. He said that the board was being considered collectively.

Neither Bulbulia nor Gilwald were able to inform the committee on whether the board has ceased to function since the resignation of three of its members.

Bulbulia said she did not know whether their resignations took effect immediately or whether they have to work out three months' notice.

If the latter, then the board can still function because it will be quorate, and will have a deputy chairperson in Christine Qunta, one of the three who quit but said in a newspaper article on Thursday morning that she believed she is still a member.

Last board meeting

Vadi undertook to enquire from the presidency whether or not the three have been given a shorter notice period.

The only question that was answered came from the leader of the ANC group on the committee, Eric Kholwane, who wanted to know when the board last held a meeting. June 4, he was told.

The committee adjourned without getting much further and will reconvene next week, when the members hope to have further answers from more members of the board.

http://www.news24.com

South African broadcaster near collapse

Massive debts and a spate of top-level resignations have pushed South Africa's public broadcaster to near-collapse, threatening a network once styled as the voice of the country's democracy. By Fran Blandy

The resignation of eight of the SABC's 12 board members as well as its chairman in recent weeks are just the latest in a string of scandals plaguing the debt-ridden broadcaster.

The board no longer has enough members to take binding decisions. Workers are on strike over a pay dispute, independent producers fume over lack of payment and a deadlock over how to proceed means no decisions are being taken at any level.

"If the board does not function, the SABC does not function. The legal constraints and protection of its own statutes (mean) that if the board does not meet, the SABC literally grinds to a halt," said board member Alison Gillwald.

She was addressing parliament's communications committee, which on Thursday opened an inquiry into what committee chair Ismael Vadi termed a "lack of effective corporate governance."

Gillwald said members had resigned in the middle of an incomplete audit process. The hamstrung board cannot now take decisions on salary increases or on critical expenditure for coverage of the 2010 football World Cup.

The SABC is crippled by over 800 million rand (98 million dollars) in debt and is seeking a two billion rand cash injection from the government.

Newspaper reports have outlined 40 million rand owed to producers, threatening to sink popular local soap operas, the network's bread-and-butter advertising vehicles.

Even parliament seems unsure how to proceed, with the committee struggling to agree whether the enquiry should continue and where the blame lay for the rot at the SABC.

Television only came to South Africa in 1976 as the Calvinist apartheid government feared the medium's influence on its segregationist rule. Once TV arrived, the government used it purely as a propaganda tool.

After the transition to democracy in 1994, the SABC became one of the most visible signs of the new nation, with a new cast of multiracial presenters broadcasting in all 11 official languages.

Now the SABC is accused of being a propaganda outlet for the ruling African National Congress (ANC). Around this year's elections, the network yanked a documentary about political satire that included cartoons of President Jacob Zuma.

Similarly, a documentary on former president Thabo Mbeki never made it to air, while the network was outed in 2006 for blacklisting commentators critical of the government.

In 2008, scandal arose again when chief executive Dali Mpofu was suspended for insubordination, just hours after he had suspended the head of news as tensions rocked a heavily divided board.

Shortly thereafter the previous administration sped through controversial legislation allowing government to dissolve the board, which would be appointed by the president and speaker of the National Assembly.

Mpofu, who also appeared before parliament this week, said the SABC was in a crisis of "the highest magnitude."

Opposition parties and the ANC were united in slamming the SABC for what they say is outlandish spending and failure to perform its function.

Mpofu told the committee that protecting the jobs of the more than 4,000 SABC workers was vital. The workers were, he said, "sitting at a public institution on auto pilot, with no leadership."

Parliament will summon more board members to explain themselves so they could decide whether to dissolve the board, or appoint interim members to salvage the network.

"It is haemorrhaging from every pore," Gillwald said. "It is unable to perform its basic duties."

http://www.google.com

SABC ’S RESPONSE TO THE TVIEC MEMORANDUM

Johannesburg, 17 June 2009 - Following the public protest by the TV Industry Emergency Coalition (TVIEC) at the SABC on 04 June 2009, the SABC, after a careful consideration of the memo presented by the Coalition to the Corporation, respond as follows:

BACKGROUND

Over the last five years, the SABC has grown the local content’s budget from R230million to R1.1 billion.

The SABC has seen the growth of local content on television in the last three years from ratios of 60% international: 40% local to 70% local: 30% international content at present.

Alongside that has been the growth of the independent production industry from 20 companies 2004 to 408 in 2009, as a consequence of the SABC’s strategic investment in the industry.

The SABC sources 100% of it’s its local content from the independent producers except for sports and reversioning which is done in-house.

The mandate of the SABC on SA Content and the commissioning of independently produced SA programming are not mutually exclusive as we have seen the growth of local content impacting positively on the growth of the independent production sector.

In addition to the investment mentioned above, the SABC has created a specific industry development unit, to focus on developmental issues and targeted projects to assist with the growth of the industry. Listed hereunder are some of the projects:

Sediba Programme

• Provides Master Class training for commissioning editors, script writers, directors and producers on commissioned SABC programmes.

Student Reel

• Student Reel is an innovative television slot dedicated to screening films produced by students and aspiring film makers who would have otherwise not had an opportunity to have their work publicly screened

• It also enables regional diversity and women film makers an opportunity to have their content screened.

Regional Variation

• To ensure diversification of companies doing business with SABC, the SABC is preferentially procuring in the regions other than Gauteng, Kwa-Zulu Natal and Western Cape.

And other projects such as Research and Development, ICONS and NABU’BOMI.


In response to the issues raised by the TVIEC in their memorandum of demands, the SABC would like to set the record straight on three major issues raised by the TV Industry:

1. PAYMENT
The SABC acknowledges the challenges faced by the industry, and acknowledges what is due to them. However, at this moment it is difficult for the public broadcaster to make a definitive commitment in terms of how much we can pay our suppliers each month. We are also working block-by-block to create more certainty to our local industry creditors.

It is difficult for the SABC to make this commitment at this stage, as the corporation’s cash flow varies on a month to month basis.

In as much as we are facing a cash flow problem, we have however made inroads in trying to process payments due to our vendors in the Production Industry.

Last month the industry was owed R129 Million by the SABC, and this amount has been reduced to R60 million. This clearly shows that we are gradually dealing with this issue.

The SABC is in the process of finalising a payment plan which will soon be shared with the Industry, as agreed upon in a meeting held on 2 June 2009 between both parties.

2. SYSTEMS AND PROCESSES
Around the issue of systems and processes, the SABC acknowledges that proper systems and processes need to be in place in any organisation. Over the past five years, the organisation has invested in systems such as SAP, TVBMS and IPM, which are geared to assist with processes such as budgeting and commissioning.

We acknowledge that there will be glitches, but the SABC is committed to perfecting all systems and processes in place.

The Operations subcommittee including SABC and TV Industry representatives to deal with this issue will be revived with immediate effect.

Addendums are attached showing the Administration Value Chain and Payment.

3. INTELLECTUAL PROPERTY
The Corporation takes the issue of intellectual property quite seriously, which is why the SABC has funded research around this matter. A report was received in October 2008 with recommendations, and the report was shared with the Production Industry.

We are expecting the Industry to interrogate this report, and the IP subcommittee exists to deal with these issues arising from the report.

An Indaba also needs to be finalized with all stakeholders such as the SABC, Production Industry and Government being involved to engage the matter.

It must be stressed that it is not the SABC’s sole responsibility to deal with this matter, but together with the Industry we need to approach government for assistance and guidance.

Some of the issues raised in the memorandum are not the SABC’s responsibility and should be referred to the relevant stakeholders. These issues are:

Price fixing on actors and presenter’s fees (Actors and Presenters are not directly employed by the SABC but by the respective Production Companies); therefore this issue should be dealt with collectively by all affected stakeholders (Actors, Presenters, Musicians, Producers and the SABC)

A mandatory provision for Industry representation on the SABC Board (This matter should be referred to the Portfolio Committee on Communications in Parliament as they recommend the names of Board members to the Presidency and the SABC is not involved in the selection of Board members.)

The SABC supports the enquiry on a suitable public service broadcast model. However, it must be stated once again that the SABC is constantly delivering on its local content quotas as set by ICASA.

During the 4th quarter which was between January-March 2009, both radio and television continued to surpass the minimum requirement on local content quotas. For example, the ICASA quota is 55% for SABC 1 and 2, and 35% for SABC 3, in this regard SABC 1 had 75.01% for full day and 73% for prime time local content and SABC 2 was at 74.93% for full day and 88.49% for prime time local content respectively. In regards to SAB3, they performed at 46.50% for full day and 44.82% for prime time local content.

In closing, the SABC reaffirms its commitment to building a vibrant, growing and transforming production industry and appeals to the industry to assist the SABC in these trying times, because the SABC depends on the production industry, as equally as the industry depends on the SABC. The production industry must also give credit where it is due, and acknowledge the enormous work the SABC has done in the arena of promoting local content.

Media Enquiries:

Kaizer Kganyago

SABC Spokesman

082 306 8888

SABC denies Mandela rumours

The SABC is trying to quell rumours that it has disguised an internet café in Qunu in the Eastern Cape as a community project, in order to later make millions of rands from the death of former president Nelson Mandela. by Sanri van Wyk
According to media reports, the SABC established an internet café at a cost of about R400 000 in Qunu – Madiba’s home town in the Eastern Cape.

Furthermore, these reports say the SABC is planning to turn the internet café into a hub for foreign media, and thus generate millions of rands.

They also indicate that the SABC has paid Madiba’s grandson, Mandla Mandela, R3m for the exclusive broadcast rights to his grandfather’s funeral.

Mandla is chief of the Mvezo settlement which borders on Qunu.

R700m spent on ‘Project M’

The public broadcaster has apparently already spent about R700m on the so-called “Project M”.

This comes as the public broadcaster is expecting a loss of about R800m for the financial year which ended in March.

SABC spokesperson Kaizer Kganyago vehemently denied the possible existence of a “Project M”. According to him, the SABC regularly identifies “stories” about important political role-players, “stories” in which they invest money.

Kganyago says the internet café is merely a community project which was established because the SABC wanted to help the people of Qunu by providing them with internet access.

It was established and opened in 2007. “There is no Project M. We don’t know when Madiba is going to die.”

http://www.news24.com

SABC is risk for Sentech

Sentech has identified the South African Broadcasting Corporation (SABC) as a potential business risk, although the public broadcaster has being paying its bills to the national signal distributor on time, says Sentech CEO Sebiletso Mokone-Matabane. by Paul Vecchiatto
She made this comment in answer to questions by the Parliamentary Portfolio Committee on Communications late last week, following the presentation of Sentech's budget plan for the current financial year.

The SABC is Sentech's largest customer and the signal distributor was originally part of the corporation.

Recently, the SABC has been hit by the news that it needs a R2 billion cash injection from government and has failed to pay some of its bills, particularly to satellite TV broadcaster MultiChoice and media production houses. This crisis manifested itself further in a raft of board resignations from the SABC during the past week.

“So far, the SABC has been paying its bills on time, but we have to identify it as a business risk in light of what has been happening there,” Mokone-Matabane noted.

She said one of the options could be to turn off the transmission signal if the SABC defaults on its payments. “But we would not take that decision on our own. We would only take it in consultation with the rest of government.”

During the Sentech presentation, it highlighted there was still a funding shortfall of R558 million for the transmission of digital and analogue TV signals during the so-called dual illumination period. This is when the country migrates to digital terrestrial TV (DTTV) with the analogue signal due to be switched off in November 2011. So far, the state has provided R330 million to cover the costs of transmitting both signals.

Dual costs

During the dual illumination period, Sentech's operating costs are expected to rise from R994.463 million in the current financial year, to R1 billion in 2010. However, revenue streams are expected to decline in 2010 from R944.548 million to R914.487 million, leaving losses of R59.157 million and R52.353 million in 2009 and 2010, respectively.

Capital expenditure for the roll-out of DTTV is expected to be R960 million by 2013, when 92% of the population should be covered. However, the shortfall from government's funding allocation so far means R115 million has not been allocated yet.

Dual illumination began on 30 October last year and Sentech is operating a pilot for the SABC and privately-owned e.tv. So far, Sentech has achieved 33% population coverage at 31 March. This is because the Department of Communications and regulator ICASA have delayed the finalisation of the DTTV spectrum plan and policy, and so the target of 48% could not be met.

Sentech's role in the Confederations Cup and the 2010 Soccer World Cup is to provide satellite infrastructure as part of government's guarantees. The signal distributor was allocated R300 million in the 2008 communications budget speech, of which R200 million has been paid over. The remaining R100 million is to cover operational and bandwidth costs.

Government has only paid Sentech R500 million of the required R4.4 billion to roll out a national broadband wireless network. This network is to be built with the aims of meeting the country's millennium development goals and to lower the costs of connectivity.

Sentech CFO Siddique Cassim said the National Treasury is of the view that the balance of the money is raised from the financial markets, but this will have a negative impact on meeting those challenges.

http://www.itweb.co.za

SABC implodes

The SABC’s debt mountain is even larger than reported -- the public broadcaster owes SuperSport nearly R100-million. More than 1 000 members of the independent television production industry marched on the SABC last week demanding a change in leadership and for the SABC to pay up. by Lloyd Gedye
But the Mail & Guardian has established that larger players have also been affected by the public broadcaster’s financial woes.

Industry insiders told the M&G that the R100-million owed to SuperSport relates to Premier Soccer League (PSL) matches, as well as cricket matches that the SABC sub-licenses from Multichoice’s sports arm.

The insiders said that negotiations between SuperSport and the SABC regarding the money owed are continuing and that the SABC will be able to settle the outstanding millions only once it receives the R2-billion bail-out it has requested from the government.

But that bail-out looks unlikely to materialise soon. Communications ministry spokesperson Tiyani Rikhotso told the M&G this week that the treasury, the SABC and the communications department will meet to find “a solution to the financial challenges facing the public broadcaster”.

“So far there haven’t been any movements in that regard but it’s something that we are definitely attending to,” said Rikhotso.

The SABC has the rights to at least 150 PSL matches a year from SuperSport. In 2007 the PSL sold the broadcasting rights for the league’s matches to SuperSport in a deal that was reported to be worth R1.6-billion.

In terms of the deal SuperSport had rights to more than 250 PSL matches, of which 150 were to be sub-licensed to a free-to-air broadcaster (as opposed to a subscription service) as stipulated in the contract. The SABC, which had previously paid R67-million a year for the PSL rights, snapped up the free-to-air matches, as this was key to bringing in massive advertising revenue.

SuperSport chief executive Imtiaz Patel said at the time that securing the rights to PSL matches was crucial to its growth strategy. The pay-TV operator was focusing on the emerging black middle-class market with its DStv Compact offering, priced at R200 a month, and the PSL matches were a huge drawcard.

SuperSport and the SABC refused this week to divulge any details about the sub-licensing arrangements between them. “This is a contractual issue and we are dealing with our creditors directly,” SABC spokesperson Kaizer Kganyago told the M&G.

He confirmed that football and cricket were the main sports the SABC sub-licensed from SuperSport. Asked if its R100-million debt would affect the public broadcaster’s relationship with SuperSport and its sports coverage generally, Kganyago said that the relationship “was not under threat”.

Patel refused to discuss the sub-licensing agreements. “The SABC are our partners on many matters related to sports rights,” he said. “The agreements between us and the SABC are confidential and therefore I feel it is inappropriate to disclose these matters in public.”

Board slammed for firing Mpofu
The South Gauteng High Court added to the SABC’s woes by ruling against its decision to fire its former chief executive, Dali Mpofu, writes Lynley Donnelly.

The Mpofu saga began in May last year after he fired the SABC’s head of news, Snuki Zikalala, for allegedly leaking internal documents. The SABC board, under former chairperson Khanyi Mkonza, axed Mpofu the following day, citing his lack of authority to fire Zikalala.

Mpofu took the matter to the courts and has since been reinstated and suspended a number of times.

This decision relates to his first suspension. The court’s decision in his favour was subsequently appealed by the SABC.

The decision by the appeals bench of the South Gauteng Court to dismiss the SABC’s appeal was unanimous.

Judge Mahomed Jajbhay declared that Mkonza’s actions had been unacceptable. In ordering costs, he said: “I find that the conduct of the chairperson [Mkonza] when assessed against the relevant background facts and the principles of corporate governance is not to be encouraged … She clearly got caught up in an emotional response to the suspension of Dr Zikalala.”

He went on to say that the “leadership qualities of Ms Mkonzo as well as the other non-executive directors were wanting”.

A spokesperson for Mpofu said that the axed chief executive was elated by the decision but “was not necessarily contemplating going back to the SABC”.

He and his lawyers would make a decision on the matter only after examining the documents, she said.

SABC spokesperson Kaizer Kganyago said the SABC still had to study the judgement.

Board dissolves
The SABC board dissolved on Thursday after the resignation of three board members, in a development that will force Parliament to appoint an interim governing structure.

The board members who quit with immediate effect were Bheki Khumalo, Andile Mbeki and Desmond Golding.

The South African Press Association reported that the three said in a joint statement that it was “in the public interest” for them to do so.

“We are mindful of the enormity of the challenges facing the SABC.”

Their resignations come days after board chair Khanyisile Mkonza resigned, making way for the appointment of an interim chair, Ashwin Trikamjee.

However, legal opinion obtained by the ministry of communications was that Trikamjee’s appointment was illegal as only President Jacob Zuma is entitled to appoint the chair and deputies.

According to Ismail Vadi, chairperson of Parliament’s communications committee, the board was in any event “technically dysfunctional” because it did not have a quorum.

According to Tiyani Rikhotso, spokesperson for the department of communications, the parliamentary committee must now nominate a new set of acting board members who will serve until a new board is appointed. Their term should last no more than six months.

The SABC had been scheduled to appear next week before the portfolio committee.

On Thursday Business Day reported that Communications Minister Siphiwe Nyanda intended taking the board to task for installing an illegal interim chair. He was due to meet the board on Friday to express concerns about this and other issues plaguing the broadcaster, including financial mismanagement and its plea for a R2-billion bailout from government.

Before his resignation Khumalo had expressed his desire to step down as soon as possible.

“It is the right thing to do. Let the ruling party and the president appoint an interim board,” he told the Mail & Guardian.

He said the board had needed only his and one other person’s resignations for it to dissolve.

“The only alternatives are for the board to dig in their heels or to go through the parliamentary process,” he said. Khumalo also expressed concern that a lengthy parliamentary process could inflict additional reputational damage on the broadcaster.

Rikhotso echoed these sentiments. “We are only interested in seeing a board that will steer the SABC back to a stable state,” he said.

http://www.mg.co.za/