Constitutional Court Dismisses Hlaudi Motsoeneng’s Appeal, Liable for R11.5 Million Success Fee

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Hlaudi Motsoeneng ordered to pay back SABC millions

Hlaudi Motsoeneng

By Thabo Mosia

In a final blow to former South African Broadcasting Corporation (SABC) Chief Operating Officer Hlaudi Motsoeneng, the Constitutional Court has dismissed his appeal to avoid repaying the controversial R11.5 million success fee. This decision marks the end of Motsoeneng’s legal attempts to overturn previous rulings declaring the payment unlawful and invalid. His total financial liability now stands at approximately R18 million, including accrued interest.

The case dates back to 2016 when Motsoeneng was awarded the R11.5 million by the SABC board as a reward for securing a deal with MultiChoice, worth R553 million, to broadcast two SABC channels on DStv. However, the Gauteng High Court later found that the SABC board lacked the authority to approve the success fee. This led to a series of legal challenges that have now culminated in the Constitutional Court’s rejection of Motsoeneng’s appeal.

The Special Investigating Unit (SIU) played a crucial role in recovering a portion of the funds, successfully reclaiming over R6.4 million from Motsoeneng’s pension benefits. The SIU has welcomed the Constitutional Court’s decision as a significant step towards recovering the remaining amount, and they are prepared to pursue further actions to collect the outstanding sum.

Motsoeneng’s legal woes have been ongoing for several years. He first lost his appeal at the Gauteng High Court, which ruled in favor of the SABC and the SIU. His subsequent appeal to the Supreme Court of Appeal (SCA) was dismissed in January 2023. Despite his efforts to petition the Constitutional Court, this final ruling has now made it clear that he is liable for the full repayment of the success fee, along with interest.

In response to the Constitutional Court’s decision, the SIU issued a statement on 19 September 2024, commending the ruling and highlighting their commitment to recovering public funds. The SIU spokesperson, Kaizer Kganyago, expressed satisfaction with the outcome, emphasizing the unit’s dedication to holding individuals accountable for unlawful gains.

Motsoeneng has consistently denied any wrongdoing, arguing that the success fee was approved by the SABC’s Governance and Nominations Committee. However, the courts have repeatedly rejected his claims, and it remains uncertain whether he has the means to repay the full amount. Should he fail to settle the debt, the SIU has indicated that they may pursue the sale of his assets to recover the outstanding balance.

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Constitutional Court Dismisses Hlaudi Motsoeneng’s Appeal, Liable for R11.5 Million Success Fee 7

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