6 points on the MultiChoice findings about ANN7 - AS IT HAPPENED

2018-01-31 13:44

MultiChoice has revealed the outcome of its internal investigation into several payments made to the SABC and ANN7.


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31 Jan 14:59
The introduction of MultiChoice's statement:

31 Jan 14:56

The review found no evidence of corruption or illegal activity. It is evident from the findings that the presently polarised political environment in South Africa and controversy around the ANN7 channel ownership demanded a higher level of diligence and scrutiny than was the practice previously.

Naspers supports the recommendations made by the MultiChoice Board to ensure that governance of sensitive issues like channel ownership is tightened and elevated further to avoid similar problems in the future.

31 Jan 14:56
Both the Naspers Audit and Risk Committees and the Naspers Board are satisfied that the MultiChoice review was extensive and complied with its governance requirements.

31 Jan 14:52
Subsequently, the Chair of the MultiChoice Audit and Risk Committee provided a detailed explanation of the review process, as well as the findings and recommendations, to the Naspers Audit and Risk Committees. On Thursday, 25 January, the Naspers Board reviewed the processes.

31 Jan 14:52

A review was performed by the MultiChoice Audit and Risk Committee. The Committee was chaired by Don Eriksson CA (SA), and comprised four non-executive directors and independent non-executive director, Advocate Kgomotso Moroka (SC), who was seconded to the Committee.

The Committee was supported by attorneys Webber Wentzel, for legal issues and contracts, as well as an independent audit firm, for forensics and payments. The Committee had all relevant contracts scrutinised, five years of payment information and emails checked, executives involved interviewed, and undertook objective contract and cost comparisons. The Committee then presented its findings and recommendations to the full MultiChoice Board.  

31 Jan 14:52

Naspers comments on MultiChoice South Africa’s review of its carriage contract with the TV channel ANN7, and its Government lobbying

The Naspers Audit and Risk Committees, and the Naspers Board, have considered the process undertaken by MultiChoice South Africa to assess its carriage agreement with the news channel ANN7 and its government lobbying, following certain allegations made in November 2017.

31 Jan 14:49
Bob van Dijk: We are sharing the key points only of the internal report. The findings and the recommendations will be available only.

31 Jan 14:48
Calvo Mawela: There is no state capture at play here.

31 Jan 14:48
Calvo Mawela: We will not share the report because it is commercially sensitive.

31 Jan 14:45
Bob van Dijk: I am comfortable with the conclusions of the investigation and we stand by that.

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31 Jan 13:44

Multichoice to reveal the outcome of investigation

Multichoice will hold a media briefing on Wednesday to reveal the outcome of their internal investigation into several payments made to the SABC and ANN7.   The payments were allegedly made to influence government policy on digital migration in favour of Multichoice.  

It emerged through the Gupta Leaks last year that the video entertainment and internet company paid ANN7 millions to allegedly influence South Africa's long-stalled digital migration switch from analogue to digital TV.

MultiChoice then launched an internal probe into the matter, led by its audit and risk committees. The findings are to be made to the board, which will then take necessary action, the company said in a statement in early November. The DA had lodged a complaint with Icasa on November 27, 2017.

The DA also requested MultiChoice make publicly available the contracts with ANN7 and the SABC, according to the letter sent to Icasa. Icasa chair Rubben Mohlaloga responded to the DA’s request on January 26, 2018 in a letter. Mohlaloga said in the letter that the complaint was referred to its Compliance and Consumer Affairs division “to investigate and communicate with the DA directly."

Mohlaloga also said that the parties concerned will have to be provided with the complaint as well as other relevant attachments, and be given an opportunity to respond to the allegations within a specified period.  

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