Monday, 20 January 2025.

The Economic Freedom Fighters (EFF) condemns the ongoing corruption at the Southern African Music Rights Organisation (SAMRO), following revelations of R3.4 million in fraudulent claims facilitated by former employees. This disgraceful conduct is not an isolated incident but part of SAMRO’s longstanding failure to prioritise the rights and livelihoods of South African musicians.

 

SAMRO, mandated to collect royalties and license fees for artists, has once again proven itself to be a haven for corruption. The Funduzi Forensic Services investigation has uncovered that former employees colluded with publishers to fraudulently claim funds without ownership proof, amounting to gross irregularities in the management of artists’ earnings. Despite SAMRO’s claims of taking legal action, its history is riddled with scandals, exposing a pattern of exploiting musicians and failing to uphold its mandate.

 

For decades, South African artists have been subjected to systemic exploitation, from the apartheid era, when they were stripped of their copyright ownership, to the present day, where SAMRO has repeatedly colluded with major recording companies to cheat musicians out of their royalties and publishing rights. This latest scandal demonstrates

 

SAMRO’s continued betrayal of the creative industry and the artists who rely on it for fair compensation.

SAMRO’s shady dealings have been well-documented, including its controversial 2018 loss of R47 million in some plan to invest in a music right organisation in the United Arab Emirates. The deal “fell through” resulting in  the loss of these millions that were never accounted for, an utterly misguided use of the funds of SAMRO members. Additionally, SAMRO has been embroiled in scandals around its opaque administration fees, which have inexplicably siphoned millions from the royalties meant for musicians. These practices have left countless South African artists impoverished, unable to reap the rewards of their creativity.

 

The EFF has been consistent in the fight for royalties and publishing rights for artists, exposing the injustices and corruption within SAMRO and the exploitation of South African musicians. In February 2021 following a protest by our Member of Parliament Fighter Eugene Mthethwa at SAMRO offices, we challenged SAMRO to publish a list of its top-earning artists, and to shed light on how royalties are distributed. SAMRO, however, refused and continues to refuse to comply or address these concerns, highlighting the dire need for systemic change in the music rights sector to ensure fairness and justice for all artists.

 

The EFF is, therefore, calling for tough actions to be taken against all those who have been found guilty of corrupt activities and to be named and shamed as a harsh deterrent of such a conduct that has rendered many artists/composers poor and unable to make ends meet. This cannot be a matter treated with impunity when the sector’s many great sons and daughters have faced the shame of being buried through sponsored funerals.

 

The EFF further calls for government to further investigate SAMRO and all other collecting societies to assess if they are managed properly in the best interests of their members. These follow-ups should be informed by the Copyright Review

 

Commission’s Report and its recommendations that were adopted by Parliament in 2011, as there has never been any updates post that exercise.

 

Additionally, the EFF has raised concern about the ongoing delays in the enactment of the Copyright Amendment Bill and the Performers’ Protection Amendment Bill, both of which are crucial in addressing the exploitation of South African artists. These bills, introduced to Parliament in 2017, aim to strike a fair balance between the rights of copyright holders and users, while also protecting the economic and creative rights of performers.

 

Despite their importance, President Cyril Ramaphosa has continuously delayed their implementation, citing questionable constitutional concerns. Most recently, in October 2024, he referred the bills to the Constitutional Court, further stalling progress. These delays perpetuate the suffering of artists and performers, who continue to be denied fair compensation and control over their work. This lack of urgency in signing the bills into law reflects the government’s neglect of those who drive the creative economy.

 

ISSUED BY THE ECONOMIC FREEDOM FIGHTERS

Leigh-Ann Mathys (National Spokesperson) 082 304 7572

Thato Lebyane (Media Enquiries) 078 304 7572