Minstrels carry out in Athlone on two January 2017. Archive Picture: Ashraf Hendricks
A report by attorneys Dabishi Nthambeleni into a R27.3-million grant through the Countrywide Lotteries Commission to the Cape Town Minstrel Carnival Affiliation (CTMCA) for any minstrels museum has found no evidence that a museum at any time existed.
The investigators located the CTMCA did not utilize the R5-million allotted to order or develop a museum.
They also observed the CTMCA only acquired land value R1.seven-million, not R5-million as allotted.
They identified the CTMCA utilized cash within the Lottery to get workshop devices from one among its personal administrators, Richard “Pot” Stemmet.
A leaked forensic report reveals how numerous rand granted to the Cape Town Minstrel Carnival Affiliation (CTMCA) through the Countrywide Lotteries Commission (NLC) to build a museum to rejoice town’s wealthy minstrel historical past went astray. The museum was under no circumstances made.
The small print on the abuse of countless rands of Lottery cash for a museum that hardly ever was are discovered within an investigative report commissioned through the NLC in 2021.
The museum grant was Section of more than R64-million in Lottery cash allocated for the CTMCA between 2003 and 2017.
The primary Element of the investigation, by regulation firm Dabishi Nthambeleni, was conducted among September 2020 and January 2021 and centered on a R27.three-million grant for the CTMCA in 2014, which provided funding to the museum. The accredited funds for your museum was more than R12.8-million, with R5-million of that allotted for a constructing to accommodate the museum.
Go through the report (PDF, 7MB)
The NLC tasked Dabishi Nthambeleni to research the acquisition of the setting up for your museum and whether or not the museum “basically existed”.
The agency was also instructed to research
the purchase with Lottery funds of two automobiles – a 60-seater bus plus a 23-seater bus – for R2.four-million; and
a variety of devices “purchased for that production with the costumes and hats” for your minstrels carnival, for R5.4-million.
At some time, convicted criminal Richard “Pot” Stemmet was director on the CTMCA. He was appointed a director of your CTMCA in September 1996. He resigned in December 2016 but his spouse Zainonesa and daughter Raziah continued as two of numerous directors from the organisation. Stemmet was reappointed for a director in May perhaps 2021.
The investigation followed in depth reporting by GroundUp regarding the many rands of Lottery funding allotted for the CTMCA (see listed here, below and below) and how the cash likely aided finance the ANC’s 2014 election campaign while in the Western Cape, led by at time by Marius Fransman.
The developing on the right was the intended web site of the minstrels’ museum, in the midst of an industrial location in Primrose Park, Cape City. Photo: Raymond Joseph
In response to your Parliamentary query, previous NLC Commissioner Thabang Mampane mentioned grants to three CTMCA “initiatives” - such as the museum - in between 2012 and 2015. All 3 initiatives were completed, she informed MPs.
Although the investigators found no evidence that a museum experienced at any time existed.
At first the museum was as a result of open in rented premises in Crete Road, Wetton. A photograph received by GroundUp on the intended Wetton museum exhibits a espresso store with some musical devices and minstrel costumes and collages of pics haphazardly hung about the walls, and a design ship on its plinth inside a corner.
In its report, Dabishi Nthambeleni reported it had been “not ready” to verify if a museum experienced at any time operated from these premises.
Stemmet advised the investigators the museum were moved given that they could now not manage the hire of R100,000 per month. He stated the CTMCA had ordered assets for R1.seven-million in Schaapkraal for your museum, but could not get it rezoned, and had been offered for the same price tag. Schaapkraal is in a very peri-city spot significantly from the town.
Due to this fact, the museum were moved to a different site in Primrose Park in February 2021, Stemmet instructed the Dabishi Nthambeleni investigators. But immediately after browsing the premises, that happen to be in an industrial space, the investigators explained they doubted no matter whether a proper museum existed there. Pics attached into the report display a mishmash of randomly exhibited uniforms, musical instruments and assorted minstrel paraphernalia nailed into the wall, shown on tables and distribute out on the floor, without clarification.
“You will find a negligible degree of merchandise within the museum [that] by no means stand for the greater than 100-year history on the Cape Town Carnival, the investigators explained, incorporating that there was “no signage exterior the premises indicating that they housed a museum and … commonly, the museum does not seem to generally be open to the public.”
The CTMCA had breached the grant agreement, Dabishi Nthambeleni observed, by going The situation with the museum to an alternate place without having notifying the NLC.
The Schaapkraal house, on which no museum was ever designed. Photo: Raymond Joseph
Buses
Stemmet instructed the investigators which the CTMCA experienced to maneuver from your rented Crete Street premises as it had operate up a R4-million credit card debt with the town of Cape City and was fearful its gear can be attached.
“A result of the lawful battles as well as the debts, the organisation had to move its house from five Crete Road to avoid the sheriff from attaching the house with the organisation,” Stemmet told the investigators.
Sedrick Soeker, the current director from the CTMCA, informed them that the two buses purchased with lottery resources were being stored within a magic formula location “concealed with the Sheriff”. But the investigators said they ended up unable to verify that any buses had at any time been bought.
Stemmet also verified which the buses were concealed to prevent them getting seized. But if the investigators questioned being taken to your location wherever the buses have been stored, he told them that “the owner of the secret place wasn't accessible to open the premises for us”.
“The CTMCA could not give proof of payment for two motor vehicles that it allegedly purchased with grant money,” the investigators claimed.
Soeker also advised them the Schaapkraal property were bought due to the debt.
“Mr Soeker defined that In line with his knowing, due to the credit card debt owed to town of Cape Town, the CTMCA made a decision it would be greatest to offer their [Schaapkraal] assets … also to also to cover the property in the CTMCA to stay away from the sheriff from attaching the house.”
JP Smith, Cape Town’s mayco member for safety and stability, has Earlier advised GroundUp that the CTMCA “threw revenue absent” on litigation with the City.
“Every year like clockwork, as we tactic the tip of the 12 months, the CTMCA picks a legal combat with town, in excess of permits or another thing. We never ever initiate it. They maintain throwing income absent on vexatious litigation that they get rid of and possess costs awarded in opposition to them. This is often entirely self-inflicted,” he explained.
Soeker instructed the Dabishi Nthambeleni investigators that the most crucial role players on problems with Lottery funding were being Stemmet and previous CTMCA board member Kevin Momberg, “who ended up answerable for all the admin, funds and jogging หวย วัน นี้ the CTMCA.” The investigators stated they had been unable to Speak to Momberg.
Hats
Through their “investigation in loco” within the Primrose Park premises, the investigators “uncovered numerous equipment, some in fantastic affliction, some in undesirable problem and a few that appeared rusty and very old”. Stemmet explained to the investigators that there was also an off-internet site storage facility exactly where “devices and a few equipment” had been retained.
“We asked him to just take us to the power but he was evasive to our request.”
Based upon photos and invoices in GroundUp’s possession, some, if not all, on the merchandise appear to be tools that was illegally removed from the CTMCA’s preceding premises. Stemmet is struggling with charges for this removing.
In accordance with the final development report submitted into the NLC by the CTMCA, the equipment was ordered from Martin-Conne Milliners, a firm where Stemmet, his wife and his daughter were administrators at time.
The investigators found this “alarming”.
“Within the CIPC research of Martin-Conne Milliners and also the invoices submitted, we Take note the next alarming getting: Mr Stemmet himself can be a director of Martin-Conne Milliners. The registered handle of the business is five Crete Highway, Wetton, Cape City, the identical tackle on which the museum was meant to be built and/or converted,” they documented.
An audit by accountants Kopano Integrated, connected to your investigative report, recorded the CTMCA was in the entire process of obtaining “equipment, plant and stock” valued at R8.one-million from Stalph 164 CC, investing as Martin-Conne Milliners. Staph 164 was an in depth corporation of which Stemmet was certainly one of the administrators.
In keeping with Dabishi Nthambeleni, the corporation has paid out R1.two-million being a deposit, which means R6.nine-million continues to be owed, though there is not any payment date established for when this must be paid out.
The Kopano audit and the near backlink in between the companies “point out to us that there's ‘foul play’ associated with the purchase on the equipment with the museum workshop”, the investigators reported within the report.
“We find that it's really possible that CTMCA applied the funding of your NLC to ‘refund’ amongst its most important administrators to the home at a higher overpriced level than the particular cost and price of the house and/or machinery.”
Suggestions
Dabishi Nthambeleni concluded that it was not able to establish how the grant to your CTMCA had been expended.
“In reality, a detailed report on how the funding of your NLC was utilised, could well be extremely hard given that the CTMCA does not have any receipts, or proof of payments to confirm the amounts put in on Each individual product it asked for funding for. The interim report and final report from the CTMCA only attach invoices,” Dabishi Nthambeleni concluded.
The investigators discovered that the NLC had not conducted a site go to prior to approving the grant. But this wasn't conventional exercise at time and they found no proof of negligence by NLC workforce.
At enough time, the NLC’s guidelines didn't demand funded organisations to post proof of payment with interim stories, they pointed out. This meant the CTMCA was in a position to receive a next tranche of funding without needing to present evidence that it had employed the main tranche for its supposed objective.
Adhering to the appointment of a completely new board, commissioner and senior govt team, the NLC has tightened up on these along with other troubles.
Dabishi Nthambeleni encouraged that
the NLC decrease any long run funding apps through the CTMCA;
the CTMCA and any associates who were linked to the grant be subjected to your NLC’s “delinquency” procedure;
the NLC open a criminal circumstance of fraud with SAPS or maybe the Hawks for allegations of fraud; and
the NLC begin the whole process of recovering the misappropriated money.
But, in lieu of act around the report’s suggestions, the NLC – under its past administration – chose to suppress it, because it experienced completed with the earlier experiences into corruption it had commissioned.
GroundUp sent queries to Stemmet and Soeker through SMS, and requested for e mail addresses to send out the thoughts by email much too. But no response were obtained at time of publication.
The minstrel “museum” in Crete Street, Wetton. Photograph: Raymond Joseph