Image Credit: FINANCIAL MAIL/RUSSELL ROBERTS
The Special Investigating Unit (SIU) has secured a landmark High Court judgment ordering three former SABC executives to repay more than R11.5 million they unlawfully approved for the broadcaster’s controversial former COO, Hlaudi Motsoeneng, almost a decade ago.
The ruling, delivered by Judge Allyson Crutchfield in the Johannesburg High Court, held Mbulaheni Obert Maguvhe, Ndivhoniswani Aaron Tshidzumba, and Maleshane Audrey Raphela jointly and severally liable for the debt.
Background: The “Success Payments”
- In September 2016, the three executives approved “success payments” to Motsoeneng for allegedly securing over R1 billion in funds for the SABC.
- The payments were later found to be unlawful, sparking years of legal battles.
The SIU first pursued recovery from Motsoeneng himself. While the courts eventually dismissed his appeals, including a final attempt to have the matter heard by the Constitutional Court in September 2024, the outstanding debt remained.
By then, the SIU had successfully claimed R6.47 million from Motsoeneng’s pension fund. However, this was not enough to cover the debt, which had escalated to around R18 million with interest. The SIU then pursued the balance from the executives who authorised the payout.
The Court’s Order
The High Court ruled:
“The second, third and fifth defendants are ordered to pay the Special Investigating Unit the amount of R11 508 549.12, together with interest a tempore mora from date of service of summons to date of payment, jointly and severally, the one paying the other to be absolved.”
- The order means the SIU can recover the full amount from any one of the defendants, who would then have to recover contributions from the others.
- The trio were also ordered to pay the SIU’s legal costs, including counsel fees.
- The default judgment suggests they failed to oppose the case or did not appear in court.
SIU Enforcement Powers
With the judgment in hand, the SIU is empowered to take swift enforcement action, including seizing the defendants’ assets and property to recover the money.
The outcome marks a significant victory for the SIU in its mandate to pursue corruption-linked recoveries and restore funds to the public purse.