30 August 2022

We welcome the timeous publication of the political party funding disclosures, which covers the period 1 April to 30 June 2022. During the quarter only four parties, ActionSA, ANC, DA and Patriotic Alliance, disclosed a cumulative disclosure amount of over R27 million.

Notably, the ANC disclosed an amount of R10 million from an entity called Botho-Botho Commercial Enterprises, of which, prolific ANC benefactor, Patrice Motsepe is the sole director. Since April 2021, Motsepe’s companies have donated just over R21.7 million to the governing party, accounting for 28% of the party’s overall donations.

Similarly, Fynbos Ekwiteit, a repeat donor to DA whose one director has been a high-ranking member of the party, donated R15 million to the party. Since 1 April 2021, the company has donated 32.5% of the party’s total private and disclosed donations.

The Multi-Party Democracy Fund, which aims to strengthen our multi-party democracy has not received any donations. MVC encourages donors to consider making donations to this Fund to strengthen our multi-party democracy.

Positive steps

We applaud the IEC for committing to expand their investigative capacity. The Commission will establish a panel of legal and forensic experts who will, when required, investigate contraventions of the Act which will help to ensure effective enforcement.

Further, we look forward to the Commission’s Party Funding Annual Report, which will be published later in the year and will incorporate political parties’ Audited Financial Statements (AFS). We anticipate that the AFS will allow for a deeper understanding of who funds and influences our politics.

However, we remain concerned that crucial donor identifying information such as the company registration number and other disclosed details are not published.

Weaknesses in the PPFA

The 5th set of political party funding disclosures does expose weaknesses in the Political Party Funding Act. The Act does not place a threshold limit on related donor entities or donor entities with indistinguishable interests, allowing entities to circumvent the annual thresholds. Patrice Motsepe, through his companies, can far exceed the R15 million annual threshold to the ANC and wield an absurd amount of influence on our politics.

Further, the information that donors are obliged to disclose is limited. These entities do not disclose crucial identifying information such as their shareholder and directorship information. This information will create greater transparency and mitigate against the risk of donors being able to donate both personally and through a privately owned company, thereby exceeding the threshold.

As we await the publication of the Party Funding Annual Report, we must work towards ensuring that the PPFA continues to deepen transparency and, ultimately, limit private interest in our politics.

Media Enquiries 
Sheilan Clarke 
+27 73 429 25 93 
communications@myvotecounts.org.za