Chairperson, the first question was whether we have been informed of any sports federations other than the SA Rugby Union which are executing programmes of transformation; if not, what is the position; and secondly, whether we have found that the department or sport federations and other sporting structures are dealing with governance issues.
With regard to the first question, the answer is yes. We are aware that sport federations are implementing transformation programmes. As part of the National Sport and Recreation Indaba held last year, a transformation charter was adopted by all stakeholders in sport, and Sport and Recreation SA consequently revised the financial and nonfinancial support framework and presented it to the national federations. According to the frameworks, sport and recreation bodies are to receive a guaranteed funding allocation for administration and conditional funding allocations for programmes.
Transformation is one of the key criteria that should be fulfilled by the federations in order for them to receive the conditional portion of the grant. The business plans submitted by 58 national federations for the current financial year outline various programmes to be undertaken to address transformation imperatives. They also provide the statistical information that outlines the details in terms of beneficiaries. This is with a particular focus on previously disadvantaged individuals, especially women.
In addition to the abovementioned measures, as Sport and Recreation SA, we have also appointed the Eminent Persons Group, EPG. The EPG is the advisory committee to the Minister on all matters relating to transformation and the implementation of the Transformation Charter.
With regard to Question 2, yes, the governance issues are dealt with appropriately by the department, sport federations and other structures. To this end, the National Sport and Recreation Amendment Act of 2007 provides guidance and defines the responsibilities of all stakeholders.
The Act empowers the SA Sports Confederation and Olympic Committee to institute an investigation into the affairs of the federation where good governance has been compromised or if there are allegations of any malpractice of any kind, including corruption in the administration. The SA Sports Confederation undertakes this responsibility whenever the need arises.
Lastly, and in addition to that, the financial and nonfinancial support framework, as published by the department, requires that the federations address or uphold good governance practices to qualify for the conditional portion of the grant allocation.
Hon Chairperson, I think the hon Minister has covered all the basic questions. There have been some examples recently where some federations have had some governance issues.
Are you satisfied that the actions taken by Cricket SA and Athletics SA meet the criteria? Secondly, do you think that possibly the Lotto should be involved in rewarding, in a disproportionate fashion, federations that do adhere to the Transformation Charter as opposed to those who don't?
Yes, I'm happy about Cricket SA in terms of implementing the Nicholson recommendations. However, we still have challenges with regard to ASA, because it is faced with a number of challenges which, among other things, includes the question of maladministration and fraudulent and corrupt activities in the past. We now have all hands on deck to ensure that we address the challenges that they are faced with.
As things stand, they asked for a bailout from us, but the bailout is not going to be a blank cheque. We are not just going to give them R5 million without there being any accountability.
Therefore, to us it means that if we give them a bailout, they have to allow us to do a forensic audit on what happened with regard to the public resources or the resources that were spent by Athletics SA. We are, therefore, fully committed to assisting them financially, but we need to get everything else in order before we can actually give our full assistance to ASA.
With regard to Cricket SA, we are very happy, excited and over the moon. We are on track. With regard to those who are defending themselves in relation to the matters arising from the Nicolson recommendations, those matters are being dealt with in the labour court and they have made their case. We wouldn't like to comment on it because it's a matter that we have responded to, in defence of our stance and the accusations that have been levelled against us. Therefore, it's a matter before the court, and the court will decide on that.
With regard to the Lotto, the answer is yes. In fact, what we are emphasising here is that we are no longer giving money to federations without conditions because they must commit to transformation and good governance.
To this end, we are supporting and assisting them to ensure that there are proper good-governance mechanisms in place before each federation can get its portion of the conditional grant from the department.
Thank you, hon Minister. Hon members, there are a lot of members standing around in the passages. Will you please take your seats. Hon members, I am sorry, but the time allocated for questions has expired. Outstanding replies received will be printed in Hansard.
See also QUESTIONS AND REPLIES.