Berita, Eugene Mthethwa and Idols Top 5 finalist among nominees for spot as a trustee of Samro’s retirement fund

Singer-songwriter Berita, EFF and kwaito group Trompies member Eugene Mthethwa are among the names vying for a spot as a trustee of the Southern African Music Rights Organisation (Samro) retirement fund.

Established in 1969 for members of Samro, the retirement annuity fund is a separate legal entity registered with the Registrar of Pension Funds and is administered by a specialist retirement fund administration company, Robson Savage.

Membership of the Samro retirement annuity fund is automatically granted to individuals who have been accepted as members of Samro by the board of directors.

Contributions are made annually to the fund on behalf of every member who earned royalties in any particular year by Samro. The fund invests contributions to accumulate retirement capital for each member.

The Pensions Funds Act stipulates that the Fund’s Members must elect at least 50% of the Fund’s Trustees, while Samor, appoints the remaining 50%.

“This arrangement ensures that members are properly represented on the Board of Trustees and their interests are protected,” Samro told The Citizen.

During his term as a Samro trustee, Mthethwa identified that a special resolution deadlock was due to members’ misunderstanding of the resolution. By clarifying its implications, he facilitated a re-vote that led to its successful approval.

In 2021, the Zimbabwean-born Berita was a board member of the Recording Industry of South Africa (RISA). She contributed to decision-making, policy analysis and stakeholder engagement.

The Thandolwethu singer addressed challenges affecting the credibility of the South African Music Awards (SAMAs) by reviewing policies, consulting industry experts and proposing amendments that the board adopted.

Only two vacancies are available, and the selected pair must be available to attend four quarterly trustee meetings annually, as well as any subcommittee meetings to which they may be appointed.

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The twelve up for nomination

In addition to the two aforementioned artists, a total of 12 individuals have been nominated.

They include former Malaika singer Matshediso Mholo and singer Musa Mashiane, who reached the Top 5 of season 10 of Idols SA.

The list of a dozen is completed by musician and entrepreneur Mfanafuthi Dumakude, jazz artist Gavin Minter, Bongani Dlamini who comes from a governance and communication background, performer and educator Lisa Bauer, singer Mnawemfundo Mngomezulu, musician Tshegofatso Mpanyana, seasoned muso Rashid Lanie and Andrew Lilley.

As a member of the Samro retirement fund, Lilley has raised concerns about the reputational risks associated with Samro’s royalty collection practices, negative press and public mistrust, which directly impact the fund’s contributions.

The nomination and voting process will be completed by April 30, 2025.

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The mistrust of Samro

Samro has been mired in controversy for a number of years from former CEO Sipho Dlamini being implicated in Samro’s R47m investment loss to Arthur Mafokate’s royalty scandal and eventual dismissal.

The organisation recently claimed to be cracking down on corruption in the organisation, but police couldn’t confirm this.

A 2023 investigation commissioned by Samro and conducted by Fundudzi Forensic Services, revealed fraudulent activities involving certain members, including composers, authors and publishers in collusion with a former Samro employee.

The forensic investigation focused on the financial years 2020 to 2022.

This misconduct resulted in irregular royalty claims amounting to R3.4 million, which were flagged during Samro’s internal processes, out of a total of R60 million claimed.

Some R30 million was paid, while the remaining undisbursed amount remains in the undocumented works pool.

“The Samro board and management are resolute in rooting out corruption, strengthening governance and restoring trust in the music industry,” said Samro board chairperson Nicholas Maweni in a statement shared with The Citizen.

Following the investigation, the report indicated a legal obligation to report the matter to the police.

According to Samro, the matter has been referred to the South African Police Service (Saps) and the Hawks (Directorate for Priority Crime Investigation).

However, the Saps and the Hawks couldn’t confirm the investigation without a case number, which The Citizen requested from Samro to no avail.

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