South Africa's Sports Minister Thokozile Xas responds to a call from a Ministerial Inquiry into widespread changes at SASCOC ©YouTube

A damning report published into the South African Sports Confederation and Olympic Committee (SASCOC) has recommended a major management overhaul after claiming to find an organiation that is factional and dysfunctional, fails to meet governance compliance standards and wastes money.

The Ministerial Inquiry, headed by retired Judge Ralph Zulman and assisted by Ali Bacher and attorney Shamima Gaibie, painted the bleak picture of the running of the organisation.

It claimed factionalism had rendered the SASCOC Board dysfunctional, corporate governance and compliance controls were absent, finances had been wasted on litigation among employees and leaders, and senior executives had received excessive travel benefits while travelling to international sporting events.

The report had been commissioned after SASCOC President Gideon Sam, former chief executive Tubby Reddy and other senior members of the SASCOC leadership were accused of a range of indiscretions, from mismanagement of funds to ignoring administrative processes. 

The Sport and Recreation Act of 1998 needed to be amended to clarify the role of SASCOC in relation to the Department of Sport, South Africa's Sports Minister Thokozile Xasa said following publication of the report. 

The SASCOC Board, Xasa added, needed to be made of members without direct links to existing sports governing bodies in the country. 

There should also be three independent positions at all times on the Board - the President, an accountant and a commercial lawyer - and these appointments would need to be made by an independent committee. 

In addition, no Board member would be able to serve for longer than two four-year terms, while the President would earn a monthly retainer and not be considered a full-time position. 

A South African Ministerial Inquiry, chaired by retired judge Ralph Zulman, claimed that SASCOC was a dysfunctional organisation and that major changes were required ©YouTube
A South African Ministerial Inquiry, chaired by retired judge Ralph Zulman, claimed that SASCOC was a dysfunctional organisation and that major changes were required ©YouTube

The positions of chief executive, chief finance officer, chief operating officer and a director of communications, the reports recommends, must be advertised and filled fairly while the applicants must also have no links to any sporting bodies. 

Xasa also recommended that travel benefits for the President and chief executive needed to be discussed at the next SASCOC Board meeting and that international travel in general needed to be limited. 

An independent audit should be conducted that examined SASCOC's finances over at least the last five years, and any mismanagement or exploitation of funds needs to be dealt with. 

"The report that I presented captures what needs to be done in the immediate as well as what needs to be done in terms of restructuring in order to incorporate the kind of recommendations and focus that it needs," Xasa said.

Sam will continue to lead the current SASCOC Board which will remain in place while the organisation introduces new structural controls to improve the standard of the board and executive members and tackle the institution’s inherent problems.

The report is set to be the main item at the SASCOC Annual General Meeting due to take place today in Johannesburg. 

Gideon Sam is set to remain as President of SASCOC in the short-term but will be expected to introduce major changes to the organisation demanded following the Government inquiry ©Getty Images
Gideon Sam is set to remain as President of SASCOC in the short-term but will be expected to introduce major changes to the organisation demanded following the Government inquiry ©Getty Images

Regarding allegations of corruption against Reddy, fired in January following allegations of sexual harassment, Xasa claimed she was debarred from interfering or to getting involved in this matter "as it relates to the termination of the services of an executive member of a sports body which in any event is a labour matter".

She urged the organisation, however, to recover such funds if the allegations could be proven.

The Ministerial Inquiry’s recommendations approved by the Minister must be enacted by 30 April next year and the Board must provide monthly updates on its progress.

Xasa admitted, though, that SASCOC had disputed a number of recommendations, some of which she made compromises on and others which she rejected.

"In as far as the representations of SASCOC are concerned, in general it is apparent that while SASCOC agrees with some of the Committee’s recommendations it does not agree with other substantial recommendations that in the Commission’s view are fundamental to governance of sport in the Republic of South Africa," she said.

"And in essence it is apparent in SASCOC's response to the Commission’s recommendation’s that SASCOC is opposed to any external or independent oversight to their role, function and use of public monies.

"I am of the view that SASCOC's representation is totally at loggerheads with the good governance as the said SASCOC Board members, inclusive of the President, accountant and commercial lawyer must indeed relinquish such membership and affiliation."