BUSINESS BODIES
Struggling state-owned entities splash out on sponsorships
DA to ask auditor-general Kimi Makwetu to investigate the payments
Business associations and related organisations have been living off embattled state-owned enterprises through sponsorships, service costs and membership fees, Public Enterprises Minister Lynne Brown admitted to Parliament. In a written reply to questions, Brown said Transnet alone had made payments amounting to R4.6m to the Black Management Forum (BMF), the Black Business Council (BBC), Business Unity SA and the South African Chamber of Commerce and Industry. The Department of Trade and Industry paid out R7m in sponsorship and fees. Overall, state departments forked out R14m to similar organisations via sponsorships. The chamber of commerce and industry, the BMF and the BBC each receive at least R1m from government departments and entities for membership fees, events and sponsorship. The majority of the state-owned entities are struggling with viability and have to ask the government for bailouts. Brown said payments to the chamber of commerce and industry by Transnet over the last...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.