CSA rejects new bonus allegations

Cricket South Africa has once again denied allegations that chief executive officer Gerald Majola and some senior staff members were unjustly awarded bonuses.

Cricket South Africa has once again denied allegations that chief executive officer Gerald Majola and some senior staff members were unjustly awarded bonuses.

Published Jun 12, 2011

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Cricket South Africa (CSA) has rejected allegations that the federation is embroiled in another bonus scandal.

“The bonuses were well merited and were approved by the chairperson of Remco – the body's remuneration committee,” CSA chief financial officer Nassei Appiah said in a statement on Sunday.

The Sunday Times reported that three members of CSA staff – chief executive officer Gerald Majola, corporate relations manager Kass Naidoo and Appiah – had awarded themselves R1.9 million in bonuses, of which Majola allegedly received R1.4 million, without revealing the full figures to the federation's board.

Majola was at the centre of a controversy surrounding R4.7 million in bonus payments last year – of which he received R1.7

million – after it was revealed that 40 staff members had received bonuses in 2009, for hosting the Indian Premier League and ICC Champions Trophy tournaments, without disclosing the details to Remco.

Majola was cleared in November following an internal CSA investigation, but was cautioned that future payments needed to be fully cleared with the remuneration committee.

Appiah said they had revealed the figures regarding the most recent bonus payments and salary increases at a Remco meeting in April.

“All these facts have been well documented and the entire meeting has, in fact, been recorded on tape,” he said.

Appiah said Remco had agreed on a general salary increase of seven percent for CSA staff, related to current market conditions, and it had been decided that some employees were being paid below the salary rates applicable to their positions.

He said it was also agreed that bonuses should be performance driven.

“The chairperson of Remco, Thandeka Mgoduso, agreed with the decisions taken with the exception of one salary adjustment which was originally set at ten percent but, after discussion with the CEO, was reduced to eight percent,” Appiah said.

“As far as the bonuses were concerned it was decided that senior staff should be rewarded for the most exceptional year in the history of CSA in which there was the successful running of the Indian tour, the inaugural match at the Moses Mabhida Stadium in Durban and the holding of the Twenty20 Champions League.

“As a result revenue was increased from R497 million to R727 million which represented an exceptional increase of more than R230 million.”

CSA is currently undergoing a forensic audit after president Mtutuzeli Nyoka, who won a court case and was reinstated in May after being ousted by the board in February, had repeatedly called for an internal investigation into the body's financial affairs.

CSA said Remco would hold another meeting later this month. The agenda would include the framework for salary increases and bonuses and the payments thereof. – Sapa

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