Claims made that Safa’s already R10m in debt

2013-01-06 10:01

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The SA Football Association (Safa) continues to bleed more cash despite measures put in place to try to stop this.

Just four months into the current financial year, Safa had already recorded a R10 million loss, City Press has been reliably informed.

This comes after the country’s soccer controlling body reported a R56?million loss at the end of the last financial year, which ended in June.

The loss prompted Safa to appoint a task team, which recommended several steps to stop the losses.

Some of the recommendations included a staffing restructuring as well as a reduction of standing committees, from 23 to eight.

The committees have since been reduced, but the staffing process has caused consternation, as all Safa staff members had to reapply for their jobs.

A report presented to Safa’s top brass by auditing firm Ernst & Young late last year showed that it had an income of R80?million, while expenditure was R90?million between July and October, a source who attended the presentation told City Press.

Acting CEO Dennis Mumble on Friday denied that there was a R10?million loss. He said, according to his understanding, it was a matter of “cash flow”.

“I will meet with Buti Lerefolo and Jaco van der Walt this coming week to get a correct statement of our finances,” he said. Lerefolo is a Safa national executive member who chairs the finance committee and Van der Walt is from auditing firm Ernst & Young.

The auditors were appointed by Safa to take charge of the organisation’s finance department following recommendations of the task team on the restructuring.

Mumble said he had already put a freeze on all expenditure at Safa. “I want to know where I am starting from because, as the accounting officer, I must be able to account for that money.”

He said the organisation gets back to full swing tomorrow and will continue with the recruitment process.

“We interviewed four candidates for the three positions of general managers that are available according to the new organogram,” he said. It seems likely that one of the appointments will be made by the end of the week.

Once in place, the new Safa structure will see more work being done by fewer people, Mumble said.

“All job descriptions have been rewritten and all 98 staff members had to reapply for their jobs.”

Mumble also revealed that Safa might go out of the country to get a technical director, a position that will now be known as general manager for football.

“We would prefer to employ a South African and, as a result, we have advertised within the country,” he said. “I am quite confident that we have capable people here who can do the job, but if we fail to get a suitable candidate, we will ask Fifa to assist us in our search.”

Since Ernst & Young was roped in to deal with Safa’s finances, the organisation’s former head of finance, Grony Hluyo, still remains in the employ of the soccer controlling body.

“All others have been employed by Ernst & Young as part of our agreement that they are providing a service as well as a sponsorship,” Mumble said.

Mumble was reinstated in his position by the national executive committee following their meeting on Thursday. It reversed the decision of the emergency committee that had put him on “special leave” following a Fifa report on match-fixing.

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