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Allegations Of Wasteful Spending At SAFA

Allegations Of Wasteful Spending At SAFA

With Banyana Banyana having qualified for the FIFA Women's World Cup and Bafana Bafana coming off the back of one of their great victories in recent times against Morocco in the Africa Cup of Nations qualifiers, it would seem that all is well at SAFA and that the association is on the right track. However, several sources that the Siya crew spoke to have confirmed that all is not well at SAFA and that financial problems persist despite the denials from the authorities.

The boycott by Banyana players on the weekend for their game against Botswana allegedly over money issues seems to indicate otherwise. Add to this the reports that Bafana Bafana players threatened to strike ahead of their most recent match against Morocco due to alleged unpaid salaries also seems to indicate there are cash flow concerns.

At the time, it was also revealed from inside the Bafana camp that some members of the technical team had not been paid for the AFCON qualifiers played earlier in the year against Liberia. In an attempt to address what seems like a cash flow issue, the South African Football Association is allegedly planning to retrench members of the administrative staff in order to cut costs and to help balance the books.

The Siya crew has been contacted and informed that these potential retrenchments have upset members within SAFA who could be affected and that rather than make retrenchments, wasteful spending should be an area that should be targeted to help make the savings that SAFA is looking for. A recent gathering hosted by SAFA for an NEC meeting in Nasrec on the day Bafana defeated Morocco at FNB Stadium, has been pointed out as an example of unnecessary spending, with sources alleging that a lot of money that could have been saved, was allegedly used recklessly and unnecessarily to cater for guests.

The Siya crew spoke to well-placed sources about these latest allegations against the association.

What the Siya crew has been told...

Despite denials, SAFA is allegedly being affected by financial problems in its day-to-day operations, which have also resulted in some of the members of the administrative staff being paid late, according to sources. It is alleged that the financial problems have also resulted in some of the service providers connected to the association not receiving their payments on time at certain times.

"SAFA is considering downsizing the staff because the association is saying it is experiencing financial problems. They are saying the cost-cutting exercise is necessary to alleviate the financial troubles," said the source.

"If that is the case, shouldn't the cost-cutting exercise start from the top? By that, I mean the NEC, who are the policy makers," the informant said.

In April, SAFA held their congress and football Indaba at the Emperors Palace in Ekurhuleni, which was not attended by their counterparts from the Premier Soccer League (PSL), something which again highlighted the tension between the two organisations that has been going on for years.

"The congress which was held a few weeks ago was a waste of resources, although SAFA claims not to have such resources. All the regions and all the affiliates were invited into that meeting and unnecessarily so," said the source.

"That congress was a waste of money. We are talking about almost 300 delegates, and they were accommodated in 5-star hotels. They were eating expensive food and enjoying themselves, which came as a surprise for an organisation which claims to have no money and threatening about retrenching the staff," another source said.

"People were flown in from Cape Town, Northern Cape, North West, KwaZulu-Natal, Eastern Cape and everywhere else to the congress. On top of that, all those people got accommodated in 5-star hotels with the money SAFA claim not to have. Bodyguards, more than 20 of them, were hired and no one really knows why," the mole added.

Further information received by the Siya crew suggests that the SAFA NEC meeting held in Nasrec was seen by many as a waste of resources as there could have been other ways to host it like virtually, which has been a norm for most organisations around the world these days since the days of Covid.

"On the 17th of June, there was an NEC meeting and people were flown to Johannesburg. For an organisation claiming not to have money, all these trips and expenses could have easily been avoided," one source pointed out.

On the issue of a financial turmoil ahead of Bafana's latest match, different sources have confirmed that indeed there was an issue, which was later resolved to allow for the fixture to go ahead as planned.

"Soccer Laduma wrote that Bafana were not paid for the Liberia game, which was true (at the time), and instead of paying the team the association has been busy wasting money on unnecessary gatherings. Was it necessary to fly all those people to Jo'burg for an NEC meeting while they have been provided with expensive tablets and expensive cell phones by the organisation? Many people didn't think it was necessary to do so. That is something that could have been held virtually but SAFA didn't see it that way," the source further explained.  

SAFA House
SAFA House

What are the facts?

In 2014, SAFA launched Vision 2022, and as part of its intended plan, the association was meant to have financial stability through audited financial statements, maintain honesty and integrity, achieve an increase in revenue, manage costs, and diversify income sources, among other objectives.

SAFA promised sound governance whereby transparency and strong committees were to be built and a solid regulatory environment to manage relations among the sport's participants. It was promised that the 2010 FIFA World Cup dividend would be used to develop the game at grassroots level in the country. More promises were made about assembling a strong team to run the association at administrative level whereby strong management would lead the plans in establishing a SAFA academy to train coaches, referees, administrators, as well as other professionals who service the sport.

SAFA made a commitment to developing and maintaining a positive image by improving relations with the media, have respect for others, respect for sponsors, among other issues. It remains arguable if any, or all those promises were fulfilled although what is clear is that there has been chopping and changing in some crucial positions at SAFA, including the departure of Advocate Tebogo Motlanthe who was replaced by Lydia Monyepao in the role of CEO. Under Danny Jordaan as the president of SAFA since taking over the reins in September 2013, the association has had four CEOs in Dennis Mumble, Russel Paul, Gay Mokoena and Motlanthe, with Monyepao now serving as the fifth incumbent.

When SAFA refuted reports of financial troubles 

In January this year, during a media briefing held at SAFA House, the association addressed journalists on the state of the association's finances through Chief Financial Officer Gronie Hluyo, who refuted the reports of financial instability. 

"Unfortunately, SAFA is not broke, its finances are well and very much in order and if there is any doubt, the media is free to check our financial reports on our website. On top of that, SAFA has good governance structures comprising, among others, the finance, audit and remuneration sub-committees. There is proper accountability within our finances, we have never failed to honour our obligations to our service providers, and we pay our utility services on time. We have fund- ing for all our competitions and national teams. With grants from FIFA both for operation and other projects, SAFA's finances can only get better. So, SAFA is on a sound financial footing," he said at the time, as also quoted on SAFA's official website.  

The story behind the scenes 

SAFA employee comments on jobs being on the line 

A SAFA employee, who spoke to the Siya crew on condition of anonymity, paints a gloomy picture about the latest happenings at the association with regards to the allegations. 

"From what I understand, SAFA is struggling financially, or at least that is what some of the staff members at the association have been made to believe. You can contact some of them and they will tell you that they have been told that the association is on a cost-cutting exercise and that jobs are on the line. What is surprising is that some of these people whose jobs are on the line are already overworked (because they are not enough). In 2018, SAFA had about 200 full-time staff members and that number has since been reduced to almost 80. Go to SAFA and check, there are under 60 staff members there as we speak, and it has been like that since 2020. SAFA is a laughingstock compared to countries like Morocco who have over 300 staff members in their football federation. Those people run football development and that is the core business of the federation. How is it possible that the association (SAFA) consists of 59 staff members while it has 50 NEC members? It doesn't make sense. Where have you ever seen the directors being almost the same number as the workers? NEC members should be no more than 10 people and that's where they need to start at when reducing the number of personnel to cut costs. These are the people who have trav- elling allowances and allowances and that's where the money goes," the source said. 

Insider confirms financial problems at SAFA 

"It's true that before there have been issues of non-payment for Bafana players in recent months. Before the recent match against Morocco, the players did threaten to strike. Also, there was a delay in the payment of earlier matches against Liberia. Look at what is happening now with Banyana Banyana as they are also at loggerheads with SAFA with issues to do with bonuses. It's been an ongoing problem and it's just that no one from SAFA will comment on it," said the source. 

SAFA responds through an attorney 

A right of reply was sent by the Siya crew to SAFA to CEO Lydia Monyepao but the association opted to reply through their legal representative Lesedi Mphahlele of Fairbridges Wertheim Becker Attorneys. 

"The questions that you have sent to our client revolve around the same allegations that have been forwarded in the public by the disgruntled former employees of SAFA who SAFA is currently taking action against. There will be no comment made on the questions you sent because the matter is sub judice," he said. 

Watch this space 

As things stand, the said planned changes and talk of possible retrenchments remain allegations as the association has decided against commenting on them. The association's lawyer is pointing at former employees of SAFA as being disgruntled and allegedly spreading information about their ex-employers, though the Siya crew can confirm that none of the former SAFA employees who were in top management commented on the matter. With the association having taken the legal route on the matter, as confirmed by the lawyer, it is clear that the truth will be uncovered through a court of law and the Siya crew will keep you posted. 

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