Minstrels conduct in Athlone on two January 2017. Archive Image: Ashraf Hendricks
A report by Lawyers Dabishi Nthambeleni into a R27.3-million grant via the Countrywide Lotteries Fee to your Cape City Minstrel Carnival Affiliation (CTMCA) for a minstrels museum has uncovered no proof that a museum at any time existed.
The investigators uncovered which the CTMCA didn't use the R5-million allotted to buy or create a museum.
They also located that the CTMCA only acquired land truly worth R1.seven-million, not R5-million as allotted.
They identified the CTMCA utilized cash from the Lottery to acquire workshop equipment from amongst its personal directors, Richard “Pot” Stemmet.
A leaked forensic report reveals how millions of rand granted towards the Cape Town Minstrel Carnival Association (CTMCA) through the Nationwide Lotteries Fee (NLC) to create a museum to rejoice the town’s abundant minstrel history went astray. The museum was in no way developed.
The details from the abuse of an incredible number of rands of Lottery funds for just a museum that in no way was are exposed in an investigative report commissioned by the NLC in 2021.
The museum grant was Section of in excess of R64-million in Lottery cash allotted towards the CTMCA in between 2003 and 2017.
The first Portion of the investigation, by legislation organization Dabishi Nthambeleni, was carried out concerning September 2020 and January 2021 and centered on a R27.three-million grant into the CTMCA in 2014, which integrated funding for your museum. The approved spending plan for the museum was a lot more than R12.eight-million, with R5-million of that allocated for your developing to accommodate the museum.
Study the report (PDF, 7MB)
The NLC tasked Dabishi Nthambeleni to analyze the purchase of a developing for your museum and whether or not the museum “truly existed”.
The business was also instructed to research
the acquisition with Lottery money of two motor vehicles – a 60-seater bus plus a 23-seater bus – for R2.4-million; and
various devices “acquired for the producing in the costumes and hats” with the minstrels carnival, for R5.4-million.
At some time, convicted legal Richard “Pot” Stemmet was director on the CTMCA. He was appointed a director of the CTMCA in September 1996. He resigned in December 2016 but his wife Zainonesa and daughter Raziah continued as two of numerous directors of the organisation. Stemmet was reappointed for a director in Might 2021.
The investigation adopted in depth reporting by GroundUp with regards to the countless rands of Lottery funding allocated on the CTMCA (see in this article, here and right here) and the way in which the resources most likely helped finance the ANC’s 2014 election marketing campaign in the Western Cape, led by at the time by Marius Fransman.
The constructing on the proper was the meant internet site of your minstrels’ museum, in the midst of an industrial place in Primrose Park, Cape City. Image: Raymond Joseph
In reaction to a Parliamentary issue, former NLC Commissioner Thabang Mampane detailed grants to a few CTMCA “tasks” - including the museum - in between 2012 and 2015. All three projects were concluded, she instructed MPs.
However the investigators identified no proof that a museum had at any time existed.
To start with the museum was as a result of open up in rented premises in Crete Highway, Wetton. A photo received by GroundUp from the intended Wetton museum shows a coffee store with some musical devices and minstrel costumes and collages of images haphazardly hung to the partitions, plus a design ship on its plinth in a corner.
In its report, Dabishi Nthambeleni explained it had been “not in a position” to confirm if a museum experienced at any time operated from these premises.
Stemmet instructed the investigators the museum had been moved as they could no more find the money for the rent of R100,000 per month. He explained the CTMCA had bought residence for R1.7-million in Schaapkraal with the museum, but could not get it rezoned, and had been marketed for the same cost. Schaapkraal is in a peri-urban space much from town.
Therefore, the museum were moved to a whole new location in Primrose Park in February 2021, Stemmet advised the Dabishi Nthambeleni investigators. But following browsing the premises, that are in an industrial place, the investigators explained they doubted whether an appropriate museum existed there. Shots hooked up into the report clearly show a mishmash of randomly exhibited uniforms, musical instruments and assorted minstrel paraphernalia nailed into the wall, shown on tables and spread out on the ground, without any rationalization.
“You will find a nominal quantity of items for the museum [that] by no means represent the in excess of a hundred-year heritage of the Cape Town Carnival, the investigators mentioned, incorporating that there was “no signage outside the house the premises indicating which they housed a museum and … typically, the museum won't look to get open up to the public.”
The CTMCA had breached the grant arrangement, Dabishi Nthambeleni famous, by transferring The placement from the museum to an alternative location with out notifying the NLC.
The Schaapkraal property, on which no museum was at any time crafted. Picture: Raymond Joseph
Buses
Stemmet informed the investigators which the CTMCA had to move from the rented Crete Street premises mainly because it had run up a R4-million personal debt with the City of Cape City and was concerned its equipment can be connected.
“Because of the authorized battles as well as debts, the organisation experienced to maneuver its property from 5 Crete Road to avoid the sheriff from attaching the home of the organisation,” Stemmet informed the investigators.
Sedrick Soeker, The present director in the CTMCA, instructed them the two buses bought with lottery resources ended up stored inside of a top secret site “hidden within the Sheriff”. Although the investigators claimed they had been not able to confirm that any buses experienced ever been acquired.
Stemmet also confirmed which the buses had been hidden to halt them staying seized. But if the investigators asked to generally be taken for the position where by the buses were saved, he informed them that “the proprietor of the secret spot was not available to open the premises for us”.
“The CTMCA couldn't offer proof of payment for two cars that it allegedly purchased with grant revenue,” the investigators described.
Soeker also instructed them the Schaapkraal residence had been sold because of the personal debt.
“Mr Soeker stated that In keeping with his comprehending, a result of the debt owed to town of Cape Town, the CTMCA resolved It could be very best to market their [Schaapkraal] assets … also to also to cover the belongings of your CTMCA to stay away from the sheriff from attaching the home.”
JP Smith, Cape City’s mayco member for basic safety and stability, has Formerly told GroundUp that the CTMCA “threw money away” on litigation with town.
“On a yearly basis like clockwork, as we technique the top on the 12 months, the CTMCA picks a lawful fight with the town, about permits or another thing. We in no way initiate it. They keep throwing funds absent on vexatious litigation they get rid of and have fees awarded versus them. This is often entirely self-inflicted,” he stated.
Soeker told the Dabishi Nthambeleni investigators that the main function players on problems with Lottery funding were Stemmet and previous CTMCA board member Kevin Momberg, “who were in control of many of the admin, finances and managing หวย วัน นี้ the CTMCA.” The investigators mentioned they were not able to Make contact with Momberg.
Hats
During their “investigation in loco” within the Primrose Park premises, the investigators “discovered quite a few equipment, some in excellent condition, some in terrible ailment and some that seemed rusty and intensely aged”. Stemmet advised the investigators that there was also an off-web page storage facility where “instruments and a few machinery” were kept.
“We questioned him to just take us to the facility but he was evasive to our ask for.”
Dependant on pics and invoices in GroundUp’s possession, some, if not all, of the objects appear to be products which was illegally removed from the CTMCA’s former premises. Stemmet is experiencing charges for this elimination.
Based on the remaining development report submitted on the NLC from the CTMCA, the machinery was ordered from Martin-Conne Milliners, a business in which Stemmet, his spouse and his daughter were being administrators at some time.
The investigators found this “alarming”.
“From your CIPC search of Martin-Conne Milliners and also the invoices submitted, we Observe the next alarming obtaining: Mr Stemmet himself is often a director of Martin-Conne Milliners. The registered deal with of the organization is 5 Crete Highway, Wetton, Cape Town, the identical handle on which the museum was intended to be developed and/or transformed,” they claimed.
An audit by accountants Kopano Integrated, hooked up into the investigative report, recorded that the CTMCA was in the whole process of buying “equipment, plant and inventory” valued at R8.one-million from Stalph 164 CC, trading as Martin-Conne Milliners. Staph 164 was an in depth corporation of which Stemmet was one of the administrators.
Based on Dabishi Nthambeleni, the corporate has compensated R1.two-million to be a deposit, which means R6.9-million remains to be owed, nevertheless there isn't any payment date set for when this has to be paid.
The Kopano audit and the shut website link in between the businesses “point out to us that there's ‘foul Engage in’ associated with the acquisition in the machinery with the museum workshop”, the investigators mentioned within the report.
“We discover that it is remarkably probable that CTMCA applied the funding from the NLC to ‘refund’ amongst its primary directors for your house at the next overpriced rate than the particular rate and price of the assets and/or equipment.”
Tips
Dabishi Nthambeleni concluded that it had been unable to establish how the grant towards the CTMCA had been used.
“In fact, a detailed report on how the funding of your NLC was applied, might be extremely hard because the CTMCA doesn't have any receipts, or proof of payments to confirm the amounts spent on Each individual merchandise it asked for funding for. The interim report and final report on the CTMCA only connect invoices,” Dabishi Nthambeleni concluded.
The investigators found the NLC experienced not executed a web page visit just before approving the grant. But this was not normal follow at time and so they identified no proof of carelessness by NLC workforce.
At enough time, the NLC’s principles did not have to have funded organisations to submit evidence of payment with interim studies, they identified. This meant which the CTMCA was in the position to receive a 2nd tranche of funding while not having to offer evidence that it had used the 1st tranche for its intended reason.
Subsequent the appointment of a new board, commissioner and senior government team, the NLC has tightened up on these and various problems.
Dabishi Nthambeleni encouraged that
the NLC drop any future funding applications from your CTMCA;
the CTMCA and any associates who had been associated with the grant be subjected on the NLC’s “delinquency” approach;
the NLC open a criminal case of fraud with SAPS or maybe the Hawks for allegations of fraud; and
the NLC start out the whole process of recovering the misappropriated cash.
But, rather then act about the report’s suggestions, the NLC – under its previous administration – selected to suppress it, because it experienced accomplished With all the prior reports into corruption it had commissioned.
GroundUp despatched questions to Stemmet and Soeker through SMS, and questioned for email addresses to deliver the issues by email far too. But no reaction were been given at time of publication.
The minstrel “museum” in Crete Street, Wetton. Picture: Raymond Joseph