Tuesday, 22 April 2025

The Economic Freedom Fighters (EFF) has learned, with utter disgust, of alarming reports indicating that members of the Southern African Music Rights Organisation (SAMRO) board are allegedly plotting to sell the SAMRO building located at 20 De Korte Street, Braamfontein, Johannesburg, without the consultation or approval of the organisation’s members, as required by the organisation’s Memorandum of Incorporation (MOI).

Such behaviour constitutes a violation of the MOI, which mandates that the sale of organisational assets be subject to a transparent and consultative process involving all members, particularly in the context of special resolutions.

Reports indicate that this matter was extensively deliberated in a recent SAMRO board meeting, with a potential buyer already identified. However, the transaction has reportedly stalled due to internal divisions within the board, with some members strongly objecting on the basis that such a sale cannot proceed without the consent of SAMRO members at an Annual General Meeting (AGM).

These developments only deepen our existing concerns regarding the SAMRO board’s lack of transparency and increasing disregard for its own governance processes. The EFF is particularly concerned that these plans are emerging amidst the board’s ongoing failure to act on the damning findings of the Fundudzi Forensic Investigation, which exposed widespread corruption and fraudulent claims of royalties by individuals and publishers, some of whom still occupy positions of power within the organisation.

The Board’s inability or unwillingness to take decisive action against those implicated in stealing millions from composers and artists further calls into question its legitimacy and its commitment to ethical leadership. Instead of focusing on justice and accountability, the board appears more invested in disposing of assets behind closed doors, a move that can only be interpreted as a desperate attempt to divert attention from deeper institutional failures.

The EFF notes with concern the growing frustration and anxiety within the music industry, as SAMRO continues to act without the meaningful involvement of its primary stakeholders, the artists and composers whose works generate the royalties the organisation exists to manage. The current structure, which gives disproportionate power to large music publishers, is fundamentally unjust and must be challenged.

The EFF therefore demands that all current board members be subjected to an independent vetting process, to assess their fitness to lead an institution as critical as SAMRO. We reiterate that we will not stand idle while black artists, many of whom are politically aligned with our movement, are exploited by a system designed to serve corporate interests at their expense.

Acting in the best interests of SAMRO members, who are overwhelmingly black and African, the EFF fully supports the growing calls for an urgent Extraordinary General Meeting. This meeting must ensure full transparency and accountability regarding the Fundudzi Report, all related criminal matters, and the alleged attempt to unlawfully sell the SAMRO building.

Should the board fail to urgently convene this EGM, the EFF will initiate legal action to have the board held accountable, or placed under administration, pending a full investigation into the alleged cover-up of criminal acts and the attempt to dispose of assets in violation of the MOI.

The EFF stands unwavering in its support for the rights of artists and the principle that their intellectual and economic contributions must be respected, protected, and governed with integrity.

ISSUED BY THE ECONOMIC FREEDOM FIGHTERS

Leigh-Ann Mathys (National Spokesperson) 082 304 7572

Thato Lebyane (Media Enquiries) 078 304 7572