About
Subscribe

Outrage over govt World Cup ticket spend

Tallulah Habib
By Tallulah Habib
Johannesburg, 05 Jul 2010

The Democratic Alliance (DA) has again lashed out at government for spending cash on Soccer World Cup tickets, as it has now emerged that parastatals splurged R110 million of tax payers' money on soccer games.

The opposition party has vowed to pursue the issue in Parliament.

Earlier this year, finance minister Pravin Gordhan urged municipalities, provincial departments and national departments to refrain from spending public money on World Cup tickets.

Nevertheless, weekend papers reported that “struggling” state-owned entities and government departments have spent R110 million on World Cup tickets. Among these are Sentech, the SABC, Transnet, the Council for Scientific and Industrial Research (CSIR), the Industrial Development Corporation (IDC) and the Department of Science and Technology (DST).

While this amount is double what was initially publicly declared, the entities believe it is money well spent. SABC spokesperson Kaizer Kganyago says the broadcaster is proud to have spent R3.3 million on tickets for games throughout SA, as this money goes towards building relationships with stakeholders that provide 80% of the SABC's revenue.

Science and technology minister Naledi Pandor says the expense was built into the Defence, Peace, Safety and (DPSS) unit's budget, because the World Cup is a “once-in-a-lifetime opportunity to invite and interact with key DPSS stakeholders”. The DPSS falls under the auspices of the CSIR.

“This is a once in a lifetime event,” echoed Sentech's head of corporate communications, Polly Modiko. “Surely, as a business, we have to take care of our clients and stakeholders... unless they want to micromanage us?”

DA spokesman Andricus van der Westhuizen says the tickets should have rather gone to foreign investors. He argues that state-owned enterprises have no competition so should spend less time entertaining advertisers, and more on making SA a better country.

“Till we know who the recipients are, we can't do much. But we will be asking questions in Parliament,” he said.

Cosatu is also upset about the spending.

"It's the most selfish way of spending money and it is recklessness of the worst kind," said Cosatu general secretary Zwelinzima Vavi.

According to Gordhan's warning earlier this year, using taxpayers' money to buy tickets for the tournament could be a breach of the Public Finance Management Act and the Code of Ethics for Public Servants, used to regulate government spending. Those found in defiance of this warning could face the Auditor-General and chairman of the standing committee on public accounts for their actions.

Share