Millions of rands meant for community radio station Jozi FM have allegedly gone unaccounted for, with the station’s licence holders demanding answers over what happened to the money.
Speaking during a media briefing on Friday, Jozi FM executive Mpho Mhlongo claimed R12 million was paid into the station’s account, before a separate account was opened to keep the project funds away from the station’s day-to-day finances.
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“What came into our account was R12 million. That came into our account,” Mhlongo said.
He said investigations later uncovered further payments which brought the amount to about R34 million.
“During investigations it was discovered that there were other tranches… that came in later to an amount of about R34 million,” he said.
But Mhlongo said the big question remained: what happened to the money?
“We are yet to see a single microphone, a single brick, a single anything as it stands today,” he said.
He said if the money had been returned to the National Lotteries Commission (NLC) because the station had failed to deliver on the projects, there would at least be an explanation.
“But as it stands now, we do not still know what happened to it,” he said.
Mhlongo also claimed that the station’s management had previously raised the issue with the relevant authority but had not received satisfactory answers.
The allegations form part of a wider battle over the governance and ownership of Jozi FM.
Mhlongo said the station is a community radio station belonging to the Soweto community and that the Soweto Media Forum represents its licence holders.
Mhlongo also claimed the station had not held an AGM since 2023 and questioned the recognition of certain board members.
He said he had previously been suspended after raising questions about the funds.
“This was my second time that I’ve been suspended or my contract being maybe nullified or suspended,” he said.
Mhlongo said other board members later also began demanding answers about the money.
He recalled being involved in discussions about plans for new studios and equipment which he said would have given staff a bigger and more modern workplace.
“I came back to report to my staff. People were excited that we were going to have our own space that is bigger, that is better, equipment that is state-of-the-art,” he said.
“But unfortunately that never came to be.”
Jozi FM’s lawyer Brian Dile said the legal issues surrounding the station were complex and needed to be considered against the relevant laws.
Dile said there were aspects of the authorities’ conduct that did not make sense to him from a legal perspective.
Dile also addressed questions around an investigation by the Special Investigating Unit (SIU) into money allegedly received from the National Lotteries Commission.
He said his understanding was that the investigation centred on a former director who had since been removed from his position.
“My understanding is that there were monies that were meant for the station, for the company, that came from Lottery. He applied for the money. He got the money. And then when the money was supposed to be used for the company, it was not used for the company,” Dile said.
However, Dile stressed that the original lottery application records indicated that the funding had been applied for on behalf of Jozi FM.
Dile said the SIU investigation was ongoing.
ICASA has ordered a forensic-style examination of Jozi FM’s finances amid allegations of financial mismanagement, with the station required to produce bank statements and financial records covering several years.
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