By: Sello Theletsane
Failure to account for public funds appears to be the real reason behind the indefinite closure of one of South Africa’s foremost national heritage sites, Liliesleaf, in Rivonia.
This week, the heritage museum announced it was closing its doors indefinitely. The museum claimed it had faced a funding crisis for several years.
“This has been compounded and exacerbated by the impact of Covid. Despite the successful efforts in raising funds from corporates and the public, who showed great generosity in coming to the aid of Liliesleaf, earlier in the year through a crowdfunding initiative, the funds raised only helped so far. Liliesleaf has been living on borrowed time ever since,” the museum added in its statement.
However, the Department of Sport, Arts and Culture (DSAC) has rubbished this claim by Nicholas Wolpe, founder and chief executive officer of Liliesleaf Trust.
In a statement, the department said it had funded Liliesleaf in the range of R70 million, over a period of 13 years. “For the 2020/2021 financial year, an additional R1,8 million was budgeted for the trust. All this is being done against an understanding of the historical significance and contribution of Liliesleaf to the liberation of our country.”
The department added that in 2015, it entered into a Memorandum of Agreement (MoA) with Liliesleaf Trust “to upgrade and enhance the facility’s exhibition infrastructure”.
“Based on this contract of R9 million, the first tranche of R8,1 million was transferred to the trust. The remaining R900 000 could not be honoured due to failure of Liliesleaf Trust to account for the initial payment of R8,1 million, an obligation spelt out in the MoA between DSAC and Liliesleaf Trust.”
“In terms of PFMA Section 38, government cannot continue funding an institution that fails to account for public funds that it receives from the government.”
“Consequently, on the 4th of May 2021 DSAC, led by Minister Nathi Mthethwa, escalated the failure of the CEO to report and account for the R8.1 million to the Liliesleaf Board, led by former President Kgalema Motlanthe. The Board committed to do a forensic investigation into the matter and report back to DSAC. The Department is still awaiting feedback from the board in this regard.”
The department said Liliesleaf Trust was ineligible to receive yearly operational funds from DSAC since the site has not been designated as a Declared Cultural Institution under the Cultural Institutions Act and a Schedule 3 A Public Entity under the PFMA.
“Numerous suggestions in this regard by the government have not been found favourable by the trust. However, they refused to be declared, preferring to remain independent and self-sufficient.”
