SAFA President and Co-Accused Released on Bail Amid R1.1 Million Fraud Charges

The allegations stem from a Service Level Agreement (SLA) reportedly signed between SAFA and Grit Communications in December 2017.

Danny Jordaan, President of the South African Football Association (SAFA), appeared in the Johannesburg Specialised Commercial Crime Court with two co-accused, former SAFA Chief Financial Officer Gronie Hluyo and Trevor Neethling, a former journalist and director of Grit Communications. All three were charged with multiple counts, including fraud, theft, and conspiracy, linked to a financial discrepancy exceeding R1.1 million. The court granted them bail set at R20,000 each, with a follow-up court date scheduled for December 5, 2024.

The allegations stem from a Service Level Agreement (SLA) reportedly signed between SAFA and Grit Communications in December 2017. Prosecutors allege that Jordaan, bypassing SAFA’s governance protocols, signed the agreement without the necessary approvals. The agreement, which allegedly began on October 1, 2017, was reportedly backdated by Jordaan and Neethling, allowing Grit Communications to provide PR services under questionable terms.

According to National Prosecuting Authority (NPA) spokesperson Phindi Mjonondwane, the PR services were ostensibly arranged to protect Jordaan’s personal image amid serious allegations against him in 2017. Additionally, prosecutors allege that Jordaan authorized private security services from Badger Security, costing over R40,000, purportedly for SAFA’s 2018 elective congress. However, these services were allegedly used for Jordaan’s personal protection.

Per SAFA statutes, only the Chief Financial Officer and the Chief Executive Officer have the authority to enter into binding contracts on behalf of the organization. Jordaan’s actions, the NPA contends, were unauthorized, as SAFA already had a PR and communications team. Despite these irregularities, Hluyo, then SAFA CFO, is alleged to have approved payments to both Grit Communications and Badger Security, knowing the transactions were outside of SAFA’s standard protocols.

The SAFA scandal has prompted calls for greater transparency and accountability within South Africa’s leading football organization. In response to public scrutiny, SAFA has issued a brief statement, affirming cooperation with the authorities while refraining from further comment as the legal process unfolds. This case is anticipated to highlight compliance issues within SAFA, with the court appearance scheduled in December expected to provide more insights into the alleged misuse of funds and breach of SAFA regulations.