SABC accused of failing to pay production house
Award-winning TV production company Cheeky Media has filed a lawsuit of over R3.5-million against the SABC for non-payment.
The company in charge of producing SABC3’S weekday talkshow, The Real Talk with Anele Mdoda, hauled the SABC to the Joburg High Court last month, citing that the public broadcaster failed to pay it for production work done for seasons three, four and five of the show.
According to court papers, Cheeky Media was commissioned by the SABC in 2016 to produce 110 48-minute episodes of the talkshow.
However, the company said the SABC breached the agreement, signed by Cheeky Media MD Yusuf Stevens and Sizwe Vilakazi of the SABC, when it failed to pay production costs totalling over R480 300 as at October 2017.
Despite the breach of first agreement on October 3 2017, a second contract worth over R30m, excluding VAT, was signed by Stevens and three SABC executives including COO Bessie Tugwana for the production of season four of the show, comprising 250 live episodes.
Again, the SABC defaulted on payments, according to court papers.
“Failure, refusal and/or neglect by the defendant to make payment of amounts due to the plaintiff in respect of the production constituted a breach of the second agreement,” read the papers.
The papers further show: “The defendant remains indebted to the plaintiff in the sum of R825 654 in respect of the second agreement.”
In March 2018, both parties had a tacit agreement to produce season five on the same terms and conditions of second agreement, however, the SABC was in breach of the agreement when it failed to pay production costs of R2 239 754.56 as at October 2018.
According to the papers, the SABC remains indebted to the company to the tune of R3 545 729.32.
In January 2019, the SABC announced the show was canned as it was not commissioned for season five.
SABC acting spokesperson Mmoni Seapolelo has confirmed Cheeky Media lodged a claim against the public broadcaster.
She declined to comment further, saying the matter was before court.