Minstrels accomplish in Athlone on two January 2017. Archive Image: Ashraf Hendricks

A report by attorneys Dabishi Nthambeleni into a R27.3-million grant with the Nationwide Lotteries Commission to your Cape City Minstrel Carnival Affiliation (CTMCA) for your minstrels museum has discovered no proof that a museum at any time existed.
The investigators identified the CTMCA did not make use of the R5-million allotted to purchase or build a museum.
They also found the CTMCA only acquired land worthy of R1.7-million, not R5-million as allotted.
They found the CTMCA employed cash from the Lottery to get workshop machines from amongst its individual directors, Richard “Pot” Stemmet.
A leaked forensic report reveals how countless rand granted to the Cape City Minstrel Carnival Association (CTMCA) with the National Lotteries Fee (NLC) to setup a museum to celebrate town’s abundant minstrel historical past went astray. The museum was hardly ever produced.

The details with the abuse of numerous rands of Lottery resources for the museum that never ever was are exposed within an investigative report commissioned by the NLC in 2021.

The museum grant was Component of a lot more than R64-million in Lottery resources allocated on the CTMCA concerning 2003 and 2017.

The very first Portion of the investigation, by legislation firm Dabishi Nthambeleni, was done involving September 2020 and January 2021 and focused on a R27.three-million grant on the CTMCA in 2014, which integrated funding for the museum. The authorised price range for that museum was greater than R12.eight-million, with R5-million of that allotted for a constructing to deal with the museum.

Read the report (PDF, 7MB)

The NLC tasked Dabishi Nthambeleni to research the acquisition of a making for your museum and if the museum “really existed”.

The company was also instructed to analyze

the purchase with Lottery cash of two vehicles – a 60-seater bus plus a 23-seater bus – for R2.four-million; and
several equipment “acquired for that manufacturing on the costumes and hats” for your minstrels carnival, for R5.four-million.
At some time, convicted prison Richard “Pot” Stemmet was director of your CTMCA. He was appointed a director of the CTMCA in September 1996. He resigned in December 2016 but his spouse Zainonesa and daughter Raziah ongoing as two of several directors of the organisation. Stemmet was reappointed for a director in Could 2021.

The investigation followed substantial reporting by GroundUp with regard to the many rands of Lottery funding allocated towards the CTMCA (see listed here, here and in this article) and the way in which the cash likely aided finance the ANC’s 2014 election marketing campaign from the Western Cape, led by at enough time by Marius Fransman.



The setting up on the appropriate was the meant web-site in the minstrels’ museum, in the middle of an industrial space in Primrose Park, Cape Town. Photo: Raymond Joseph

In response to your Parliamentary problem, previous NLC Commissioner Thabang Mampane shown grants to three CTMCA “jobs” - including the museum - amongst 2012 and 2015. All 3 initiatives had been concluded, she advised MPs.

Although the investigators located no proof that a museum experienced ever existed.

In the beginning the museum was as a consequence of open in rented premises in Crete Road, Wetton. A photograph acquired by GroundUp of your intended Wetton museum demonstrates a espresso store with some musical instruments and minstrel costumes and collages of images haphazardly hung within the partitions, along with a design ship on its plinth in the corner.

In its report, Dabishi Nthambeleni mentioned it was “not able” to confirm if a museum experienced ever operated from these premises.

Stemmet told the investigators the museum were moved simply because they could no longer afford the lease of R100,000 per month. He explained the CTMCA experienced obtained home for R1.seven-million in Schaapkraal to the museum, but couldn't get it rezoned, and had been bought for the same rate. Schaapkraal is in the peri-city area far from the town.

As a result, the museum had been moved to a different site in Primrose Park in February 2021, Stemmet explained to the Dabishi Nthambeleni investigators. But after going to the premises, that happen to be in an industrial space, the investigators claimed they doubted irrespective of whether a suitable museum existed there. Images attached to the report clearly show a mishmash of randomly exhibited uniforms, musical instruments and assorted minstrel paraphernalia nailed on the wall, displayed on tables and distribute out on the ground, without any explanation.

“There is a minimal level of products in the museum [that] by no means signify the greater than 100-calendar year heritage from the Cape Town Carnival, the investigators mentioned, introducing that there was “no signage outdoors the premises indicating they housed a museum and … typically, the museum won't appear to generally be open to the public.”

The CTMCA experienced breached the grant settlement, Dabishi Nthambeleni observed, by transferring The placement in the museum to an alternative location without having notifying the NLC.



The Schaapkraal property, on which no museum was ever constructed. Image: Raymond Joseph

Buses
Stemmet advised the investigators which the CTMCA had to move from the rented Crete Street premises because it experienced operate up a R4-million debt with the town of Cape City and was fearful its equipment will be connected.

“Mainly because of the legal battles plus the debts, the organisation experienced to maneuver its assets from five Crete Highway to avoid the sheriff from attaching the home from the organisation,” Stemmet instructed the investigators.

Sedrick Soeker, The existing director with the CTMCA, told them which the two buses purchased with lottery funds were saved inside a magic formula place “concealed through the Sheriff”. Even so the investigators explained they had been not able to verify that any buses had ever been bought.

Stemmet also confirmed which the buses had been concealed to stop them being seized. But once the investigators requested to be taken for the position exactly where the buses have been saved, he explained to them that “the owner of The trick location was not accessible to open up the premises for us”.

“The CTMCA couldn't give proof of payment for two autos that it allegedly procured with grant money,” the investigators noted.

Soeker also advised them the Schaapkraal house had been offered because of the financial debt.

“Mr Soeker defined that Based on his comprehension, due to financial debt owed to town of Cape Town, the CTMCA resolved It could be ideal to promote their [Schaapkraal] home … and also to also to cover the assets on the CTMCA to steer clear of the sheriff from attaching the home.”

JP Smith, Cape Town’s mayco member for basic safety and security, has Earlier told GroundUp the CTMCA “threw dollars away” on litigation with town.

“Annually like clockwork, as we strategy the tip of your year, the CTMCA picks a legal battle with the City, over permits or another thing. We hardly ever initiate it. They keep throwing cash absent on vexatious litigation which they get rid of and have expenses awarded versus them. This is solely self-inflicted,” he claimed.

Soeker told the Dabishi Nthambeleni investigators that the primary role gamers on issues of Lottery funding were being Stemmet and former CTMCA board member Kevin Momberg, “who ended up in command of all of the admin, finances and working หวย หุ้น the CTMCA.” The investigators said they were struggling to Make contact with Momberg.

Hats
All through their “investigation in loco” in the Primrose Park premises, the investigators “located various machines, some in fantastic condition, some in poor problem and many that seemed rusty and very outdated”. Stemmet explained to the investigators that there was also an off-web page storage facility where “devices plus some machinery” were saved.

“We questioned him to get us to the power but he was evasive to our ask for.”

Based upon photographs and invoices in GroundUp’s possession, some, Otherwise all, with the things look like devices that was illegally removed from the CTMCA’s previous premises. Stemmet is struggling with fees for this removing.

According to the remaining development report submitted for the NLC from the CTMCA, the machinery was procured from Martin-Conne Milliners, an organization in which Stemmet, his wife and his daughter ended up administrators at some time.

The investigators found this “alarming”.

“Through the CIPC research of Martin-Conne Milliners and the invoices submitted, we note the following alarming discovering: Mr Stemmet himself can be a director of Martin-Conne Milliners. The registered tackle of the organization is five Crete Street, Wetton, Cape City, precisely the same handle on which the museum was intended to be created and/or transformed,” they reported.

An audit by accountants Kopano Integrated, attached to your investigative report, recorded that the CTMCA was in the entire process of paying for “equipment, plant and stock” valued at R8.one-million from Stalph 164 CC, trading as Martin-Conne Milliners. Staph 164 was an in depth Company of which Stemmet was one of the directors.

As outlined by Dabishi Nthambeleni, the corporate has compensated R1.2-million like a deposit, indicating R6.nine-million is still owed, although there isn't a payment day set for when this need to be paid.

The Kopano audit and the near website link between the businesses “indicate to us that there is ‘foul Enjoy’ involved in the purchase with the machinery with the museum workshop”, the investigators mentioned during the report.

“We find that it is very probable that CTMCA utilised the funding with the NLC to ‘refund’ certainly one of its principal directors for your property at the next overpriced level than the actual cost and price of the residence and/or machinery.”

Tips
Dabishi Nthambeleni concluded that it had been unable to ascertain how the grant for the CTMCA were expended.

“Actually, an in depth report on how the funding with the NLC was employed, could be unachievable since the CTMCA doesn't have any receipts, or evidence of payments to confirm the amounts put in on Each individual item it requested funding for. The interim report and ultimate report with the CTMCA only connect invoices,” Dabishi Nthambeleni concluded.

The investigators uncovered which the NLC experienced not done a site visit prior to approving the grant. But this was not regular apply at time and they uncovered no evidence of carelessness by NLC workforce.

At enough time, the NLC’s principles didn't call for funded organisations to submit proof of payment with interim reports, they pointed out. This intended that the CTMCA was ready to receive a 2nd tranche of funding without having to give evidence that it experienced employed the main tranche for its intended goal.

Next the appointment of a whole new board, commissioner and senior government workforce, the NLC has tightened up on these along with other difficulties.

Dabishi Nthambeleni proposed that

the NLC drop any upcoming funding purposes with the CTMCA;
the CTMCA and any users who ended up involved with the grant be subjected on the NLC’s “delinquency” method;
the NLC open a felony situation of fraud with SAPS or maybe the Hawks for allegations of fraud; and
the NLC start off the process of recovering the misappropriated resources.
But, rather than act to the report’s tips, the NLC – beneath its former administration – chose to suppress it, since it experienced done Together with the former reports into corruption it had commissioned.

GroundUp sent queries to Stemmet and Soeker through SMS, and requested for e mail addresses to ship the inquiries by e mail way too. But no response had been received at some time of publication.



The minstrel “museum” in Crete Street, Wetton. Photograph: Raymond Joseph