Financial services group Momentum yesterday issued a stern warning to Cricket South Africa, calling on the Board of Directors to resign or risk losing it as a sponsor.
Momentum laid out a list of six “requirements” in a statement released yesterday afternoon, the first of which called for the resignation of the remaining eight members of Cricket SA’s Board, or alternatively the resignation of the organisation’s president Chris Nenzani and vice-president Beresford Williams.
While reiterating its support for Cricket SA, Momentum, which has been a sponsor of the sport in this country for seven years, said it was concerned by the lack of good governance at Cricket SA.
“We have outlined very specific governance and reputational requirements that CSA has to deliver in order to restore confidence in the administrative body of South African cricket,” said Momentum’s head of sponsorship Carel Bosman.
He said the company had held various conversations with CSA’s current interim chief executive Jacques Faul and head of commercial Kugandrie Govender.
“We will be holding the CSA Board accountable to get its house in order. Failing such remedy, Momentum will have to reconsider its sponsorship agreement at the end of the current season,” Bosman added.
Momentum’s requirements include an independent forensic audit of CSA’s financial affairs, a four year concern assessment to be conducted by independent auditors, the appointment of a lead independent director to the Board, the appointment of an independent director with on-field experience and “active engagement” with the players union, the SA Cricketers Association.
In issuing those requirements, Momentum has gone one step further than Cricket SA’s other headline sponsor, Standard Bank, who last week said it would not be renewing it’s sponsorship of the sport after its current contract ends in April next year.
Cricket South Africa has been engulfed in controversy for the last two years since Thabang Moroe was made its interim CEO following the dismissal of Haroon Lorgat. Moroe almost immediately upon taking up the position, enraged the players by criticising Saca and lately his handling of the post-World Cup reconstruction around the national team has been shambolic.
Speaking last weekend, Faul said building relationships with prospective sponsors would be vital for Cricket SA, which is facing enormous debt.
“Corporate SA is actually a small world and when things like this happen it is concerning because they all talk to each other.”
Momentum said it would continue to support CSA “through the highs and lows on their journey to success”. “The process is not going to be easy and we expect a fair bit of pain as the independent audit and resulting corrective actions unfold.”