South African Sport, Arts and Culture Minister Gayton McKenzie has dissolved the National Film and Video Foundation (NFVF) council with immediate effect, citing the body's failure to address repeated warnings about unlawful governance practices. The council's dissolution, for the second time in recent years, was announced on 23 September. McKenzie invoked section 6(10) of the NFVF Act to effect the dissolution. The move aims to restore accountability within the institution.
The latest dissolution follows months of tension over the council's appointment of Nondumiso Madlala as Acting Chief Executive Officer in July, despite the NFVF Act prohibiting such appointments from outside the foundation. McKenzie had previously dissolved the council in July 2024 following allegations of mismanagement and corruption. The minister emphasized that accountability "cannot be optional" and expressed his disappointment with the council's actions.
In its written representations, the council conceded that Madlala's appointment was unlawful and that her resignation was defective, leaving her in executive office while still serving as a council member. This created a direct conflict with oversight functions. Madlala was later quietly replaced by Neliswa Bam as acting CEO, without a press release or industry notification. The council's actions reinforced McKenzie's decision to dissolve the council.
Additional factors contributing to the dissolution include the chairperson's resignation and the handling of the former acting CEO's suspension. McKenzie stressed that the move is about institutional accountability, not dishonesty. He thanked council members for their time and service to South African film, emphasizing that accountability at entity level cannot be optional.
To prevent disruption, McKenzie directed that the NFVF CEO assume accounting authority under the Public Finance Management Act until a new council is appointed. Approved and committed funding, including under the current PESP6 Blockbuster cycle, will continue to be processed. The independent whistleblower investigation remains unaffected by the council's dissolution.
McKenzie expressed awareness of the consequences of the previous council dissolution, which stalled funding approvals for three months. He committed to quickly appointing a new council and ensuring that processing continues in a legal manner. The minister emphasized that those who depend on the foundation will not be made to carry the cost of governance issues not of their making.
The minister's decision aims to restore accountability and ensure the continued functioning of the NFVF. The dissolution of the council is expected to pave the way for a new council appointment and the implementation of necessary reforms. The impact of the dissolution on the South African film industry remains to be seen.
Key points
- The NFVF council was dissolved due to its failure to address repeated warnings about unlawful governance practices.
- The council's appointment of Nondumiso Madlala as Acting CEO was deemed unlawful and contributed to the dissolution.
- The minister has committed to quickly appointing a new council to prevent disruption to funding and operations.
