The Special Investigating Unit (SIU) has noted a misrepresentation of facts in the South African National Editors’ Forum (SANEF) media statement on its former chairperson, Makhudu Sefara, to whom the SIU traced the National Lotteries Commission (NLC) funds to his business, Unscripted Communications, and to his personal bank accounts.
Without providing the public with context or the full picture of the contents of a letter sent by Sefara’s legal representative, SANEF’s media statement gives the impression that the SIU has exonerated Sefara as a beneficiary of NLC funds.
This is not a reflection of the letter sent to his lawyers.
SANEF states it has seen the letter that the SIU sent to Sefara’s legal representatives.
The SIU’s letter set out the following facts:
- Todi Media’s director, Daniel Makwela, failed to provide evidence of how the R1.5 million NLC grant was used. Instead, he offered to repay R1.1 million. The SIU rejected the offer and demanded a full account of the funds in a sworn affidavit, along with supporting documents, before considering any settlement.
- When Todi Media could not account for the funds, it offered to repay the full R1.5 million as the final settlement.
- The SIU findings showed payments of R900 000 to Black Dungaree and R550 000 to Unscripted Communication, Sefara’s company.
The SIU explicitly stated: “Unscripted Communication was never a subject of the SIU investigation and as such there is no finding against your client nor his company.”
However, as part of the SIU investigation, the money was followed and found in Sefara’s business and personal bank accounts.
Furthermore, Todi Media could not produce any agreement to justify the payment made to Unscripted Communication, a day after receiving money from the NLC.
The SIU confirmed it had no claim against Unscripted Communication and that liability rested solely with Todi Media, which refunded the entire grant.
However, the SIU did not say that Sefara did not benefit from the funds, as Todi Media or Makwela could not provide any evidence of how the funds were utilised, as stated in the grant application.
The SIU denied publishing “offending statements” about Mr Sefara or his company, stressing that its media statement was a factual account of Todi Media's misuse of NLC funds.
The SIU emphasised that the onus was on Todi Media to demonstrate how the funds were utilised. Instead, Todi Media opted for repayment in full and final settlement.
These facts demonstrate that SANEF’s statement misrepresented the SIU’s position.
The SIU did not investigate or exonerate Sefara as a beneficiary. The Unit’s communications were confined to Todi Media’s misuse of NLC funds and its voluntary repayment.
All of these facts were explained to Sefara when he had a meeting with the SIU.
By ignoring these clear points, SANEF’s statement misled the public and undermined the integrity of the SIU’s work.
The SIU remains committed to protecting the public interest by recovering misused state funds.
Enquiries:
Selby Makgotho
Spokesperson: Special Investigating Unit
Cell: 083 718 6128
E-mail: SIUMedia@siu.org.za
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