Minstrels execute in Athlone on 2 January 2017. Archive Picture: Ashraf Hendricks
A report by attorneys Dabishi Nthambeleni into a R27.three-million grant via the Nationwide Lotteries Commission to the Cape Town Minstrel Carnival Affiliation (CTMCA) for the minstrels museum has observed no proof that a museum at any time existed.
The investigators located which the CTMCA did not make use of the R5-million allotted to acquire or build a museum.
They also found the CTMCA only purchased land worthy of R1.seven-million, not R5-million as allotted.
They found the CTMCA employed resources from the Lottery to buy workshop machines from among its very own directors, Richard “Pot” Stemmet.
A leaked forensic report reveals how millions of rand granted into the Cape Town Minstrel Carnival Affiliation (CTMCA) because of the Nationwide Lotteries Commission (NLC) to arrange a museum to rejoice town’s loaded minstrel heritage went astray. The museum was never created.
The small print on the abuse of millions of rands of Lottery resources to get a museum that hardly ever was are revealed in an investigative report commissioned from the NLC in 2021.
The museum grant was Portion of in excess of R64-million in Lottery resources allotted to your CTMCA among 2003 and 2017.
The main Component of the investigation, by regulation firm Dabishi Nthambeleni, was performed concerning September 2020 and January 2021 and centered on a R27.3-million grant for the CTMCA in 2014, which included funding for the museum. The accredited budget for that museum was greater than R12.8-million, with R5-million of that allotted for any creating to accommodate the museum.
Examine the report (PDF, 7MB)
The NLC tasked Dabishi Nthambeleni to analyze the acquisition of a constructing for that museum and whether or not the museum “in fact existed”.
The organization was also instructed to analyze
the purchase with Lottery funds of two autos – a 60-seater bus in addition to a 23-seater bus – for R2.4-million; and
numerous equipment “procured with the producing with the costumes and hats” for that minstrels carnival, for R5.4-million.
At time, convicted prison Richard “Pot” Stemmet was director of your CTMCA. He was appointed a director with the CTMCA in September 1996. He resigned in December 2016 but his spouse Zainonesa and daughter Raziah continued as two of various administrators of the organisation. Stemmet was reappointed like a director in Could 2021.
The investigation followed extensive reporting by GroundUp concerning the millions of rands of Lottery funding allocated to your CTMCA (see below, here and here) and the way in which the cash almost certainly helped finance the ANC’s 2014 election marketing campaign within the Western Cape, led by at the time by Marius Fransman.
The developing on the right was the meant web-site on the minstrels’ museum, in the course of an industrial space in Primrose Park, Cape City. Picture: Raymond Joseph
In response to your Parliamentary query, former NLC Commissioner Thabang Mampane stated grants to a few CTMCA “assignments” - including the museum - involving 2012 and 2015. All a few initiatives had been completed, she told MPs.
Even so the investigators observed no evidence that a museum had ever existed.
To start with the museum was on account of open in rented premises in Crete Highway, Wetton. A photo acquired by GroundUp of your supposed Wetton museum reveals a coffee shop with some musical devices and minstrel costumes and collages of photos haphazardly hung within the walls, and also a product ship on its plinth in a corner.
In its report, Dabishi Nthambeleni stated it was “not in a position” to substantiate if a museum experienced ever operated from these premises.
Stemmet informed the investigators the museum had been moved simply because they could no more afford to pay for the rent of R100,000 a month. He reported the CTMCA experienced ordered house for R1.7-million in Schaapkraal for the museum, but could not get it rezoned, and had been sold for the same value. Schaapkraal is in a very peri-urban place much from town.
As a result, the museum were moved to a different area in Primrose Park in February 2021, Stemmet informed the Dabishi Nthambeleni investigators. But just after traveling to the premises, which might be within an industrial region, the investigators explained they doubted no matter whether an appropriate museum existed there. Shots attached for the report exhibit a mishmash of randomly displayed uniforms, musical instruments and assorted minstrel paraphernalia nailed for the wall, shown on tables and spread out on the ground, without having rationalization.
“You will find there's small volume of goods within the museum [that] on no account stand for the much more than 100-calendar year history in the Cape Town Carnival, the investigators explained, incorporating that there was “no signage exterior the premises indicating they housed a museum and … normally, the museum will not appear to generally be open to the general public.”
The CTMCA had breached the grant settlement, Dabishi Nthambeleni mentioned, by shifting The situation of the museum to an alternate place without the need of notifying the NLC.
The Schaapkraal residence, on which no museum was ever constructed. Picture: Raymond Joseph
Buses
Stemmet told the investigators that the CTMCA had to maneuver through the rented Crete Road premises as it experienced run up a R4-million financial debt with the town of Cape Town and was frightened its gear would be hooked up.
“As a result of legal battles and also the debts, the organisation experienced to move its assets from 5 Crete Highway to avoid the sheriff from attaching the residence of your organisation,” Stemmet informed the investigators.
Sedrick Soeker, The existing director on the CTMCA, told them the two buses acquired with lottery cash were stored inside a solution location “hidden within the Sheriff”. Though the investigators said they have been not able to verify that any buses had ever been purchased.
Stemmet also confirmed that the buses had been concealed to prevent them staying seized. But if the investigators questioned to be taken to the put where the buses were being saved, he explained to them that “the operator of the secret location wasn't available to open up the premises for us”.
“The CTMCA could not supply evidence of payment for two autos that it allegedly bought with grant dollars,” the investigators reported.
Soeker also instructed them the Schaapkraal residence were sold as a result of personal debt.
“Mr Soeker defined that In keeping with his comprehension, due to the debt owed to town of Cape City, the CTMCA made a decision It could be finest to provide their [Schaapkraal] assets … and also to also to hide the property on the CTMCA to avoid the sheriff from attaching the property.”
JP Smith, Cape City’s mayco member for security and protection, has Earlier instructed GroundUp which the CTMCA “threw revenue away” on litigation with town.
“On a yearly basis like clockwork, as we tactic the end on the calendar year, the CTMCA picks a authorized struggle with town, about permits or another thing. We never ever initiate it. They keep throwing funds absent on vexatious litigation they reduce and possess costs awarded in opposition to them. This is certainly entirely self-inflicted,” he explained.
Soeker told the Dabishi Nthambeleni investigators that the leading job gamers on problems with Lottery funding were being Stemmet and previous CTMCA board member Kevin Momberg, “who have been accountable for each of the admin, funds and managing หวย ลาว วัน นี้ the CTMCA.” The investigators reported they were not able to Make contact with Momberg.
Hats
For the duration of their “investigation in loco” on the Primrose Park premises, the investigators “located quite a few machines, some in fantastic issue, some in bad affliction and some that seemed rusty and intensely aged”. Stemmet informed the investigators that there was also an off-internet site storage facility where by “devices and some machinery” were saved.
“We asked him to acquire us to the power but he was evasive to our ask for.”
According to pictures and invoices in GroundUp’s possession, some, if not all, from the products appear to be equipment which was illegally removed from the CTMCA’s former premises. Stemmet is experiencing expenses for this removing.
Based on the final development report submitted towards the NLC via the CTMCA, the machinery was bought from Martin-Conne Milliners, a corporation where Stemmet, his wife and his daughter had been administrators at some time.
The investigators discovered this “alarming”.
“With the CIPC search of Martin-Conne Milliners along with the invoices submitted, we note the following alarming obtaining: Mr Stemmet himself is usually a director of Martin-Conne Milliners. The registered deal with of the corporate is five Crete Street, Wetton, Cape Town, a similar handle on which the museum was intended to be constructed and/or converted,” they reported.
An audit by accountants Kopano Included, connected towards the investigative report, recorded which the CTMCA was in the entire process of purchasing “machinery, plant and inventory” valued at R8.one-million from Stalph 164 CC, trading as Martin-Conne Milliners. Staph 164 was a detailed corporation of which Stemmet was amongst the directors.
Based on Dabishi Nthambeleni, the company has paid out R1.two-million as a deposit, which means R6.9-million remains to be owed, though there's no payment date set for when this has to be paid out.
The Kopano audit plus the shut backlink involving the businesses “reveal to us that there is ‘foul play’ involved in the acquisition in the machinery of your museum workshop”, the investigators reported inside the report.
“We discover that it is extremely possible that CTMCA utilised the funding in the NLC to ‘refund’ one among its principal directors for that home at a higher overpriced amount than the actual selling price and value of the house and/or equipment.”
Tips
Dabishi Nthambeleni concluded that it was unable to determine how the grant into the CTMCA were used.
“In fact, an in depth report on how the funding of your NLC was employed, might be impossible since the CTMCA does not have any receipts, or evidence of payments to substantiate the amounts put in on Each individual merchandise it requested funding for. The interim report and remaining report of the CTMCA only connect invoices,” Dabishi Nthambeleni concluded.
The investigators located that the NLC experienced not done a web-site pay a visit to prior to approving the grant. But this wasn't regular observe at time they usually identified no proof of negligence by NLC personnel.
At some time, the NLC’s procedures did not have to have funded organisations to submit proof of payment with interim reports, they pointed out. This intended which the CTMCA was capable of receive a 2nd tranche of funding while not having to present proof that it had utilised the 1st tranche for its supposed reason.
Next the appointment of a new board, commissioner and senior govt workforce, the NLC has tightened up on these and other challenges.
Dabishi Nthambeleni proposed that
the NLC decrease any long term funding purposes in the CTMCA;
the CTMCA and any users who had been involved with the grant be subjected towards the NLC’s “delinquency” approach;
the NLC open up a legal situation of fraud with SAPS or perhaps the Hawks for allegations of fraud; and
the NLC start off the entire process of recovering the misappropriated resources.
But, in lieu of act around the report’s suggestions, the NLC – beneath its former administration – chose to suppress it, as it experienced done With all the former experiences into corruption it experienced commissioned.
GroundUp sent concerns to Stemmet and Soeker by using SMS, and requested for email addresses to mail the issues by e-mail much too. But no response were obtained at some time of publication.
The minstrel “museum” in Crete Road, Wetton. Image: Raymond Joseph
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