Whatever! The SABC board was appointed after Polokwane - that is 2007. So, you must get your date right about when the SABC board was appointed. [Interjections.]
Tata Nelson Mandela said the following in 1995, and I quote:
The launch into African skies of satellites that can fill the airwaves with television and radio from all over the world has already made the concept of a global village a reality. But the question is: How is this village organised?
The spectre of a privileged few setting the cultural agenda for the world's majority is very real. If we allow this to happen, then the potential of new technologies to build bridges will have been wasted.
The Portfolio Committee on Communications is of the view that both television and radio are fascinating mediums to experience in that they open the world to all. They are committed to educating all citizens. Our portfolio committee's deliberation over the past two weeks has been a resounding demonstration of this fact.
In view of the acrimonious relations between the shareholder, the SABC's executive management and the SABC board and, moreover, the lack of clarity in relation to the status of membership of the board, the functionality of the board, the exercise of fiduciary responsibilities by the board, the financial and funding crisis of the SABC board, the Deloitte report on the breakdown in corporate governance at the SABC, the failure on the part of the executive management to effectively manage the finances and the operations of the SABC board, the Portfolio Committee on Communications was prompted to conduct an inquiry in terms of the Rules of the National Assembly.
In addition, the Broadcasting Act of 1999, which was amended in 2009, is explicit that the National Assembly may, after due inquiry and by the adoption of a resolution, recommend the dissolution of the board if it fails in any or all of the following: discharging its fiduciary duties, adhering to the Charter, and carrying out its duties as contemplated in section 13. The fiduciary duties of the board are clearly listed in chapter 4 of the Broadcasting Act of 1999.
The inquiry produced the following conclusions. The SABC is in a state of crisis, both financially and in terms of the breakdown in corporate governance. There is a lack of common purpose among members of the board and the executive management, thereby impairing their ability to carry out their statutory fiduciary duties. The tension between some members of the executive management and some members of the board had contributed to a virtual breakdown in their relationships to the overall detriment of the SABC. The SABC reported a financial loss of R839 million for the 2008-09 financial year as a result of declining revenue and unrestrained overexpenditure, resulting in the current severe cash-flow crisis. There is confusion about the actual status of the board since many resignations have been received. And, although the board might still technically have been able to constitute a quorum, it was ineffective and dysfunctional.
The portfolio committee is also mindful of the fact that there are allegations of violation of the sound operational management of the SABC by the executive management, which could warrant further investigation by the Auditor-General's office and by the shareholder.
The portfolio committee notes the appeal made by some board members at the end of the inquiry to dissolve the board. The appeal by board members reduces the potential of the current board to collectively and legally execute its statutory duties.
The Portfolio Committee on Communications appeals to the National Assembly to adopt its recommendation, which is to dissolve the SABC Board as envisaged in section 15A(1)(b) of the Broadcasting Act. I thank you. [Applause.]