MultiChoice to probe ANN7 payments
MultiChoice will probe payments it has made to the ANN7 television channel following allegations that it tried to influence government policy on digital migration.
The company, which owns DSTV and M-Net, released a statement following various media reports detailing an alleged irregular relationship with the former Gupta-owned channel.
It has been accused of paying R100-million in kickbacks to the SABC in exchange for the public's broadcaster "political influence over digital migration", as well as R25-million to ANN7.
The company allegedly increased its annual payment to ANN7 from R50m to R141m.
In the statement, MultiChoice independent non-executive director Don Eriksson said: "The MultiChoice board has read the various media reports alleging that MultiChoice has entered into an irregular relationship for the carriage of the ANN7 channel. The board is aware that the ANN7 channel has caused real public concern because of the allegations of corruption levelled at the former owners of the channel.
"These allegations have negatively impacted the reputation of MultiChoice."
The company's audit and risk committees will probe any possible corporate governance failures as well as assess the payments made to ANN7 and whether it is comparable to payments made for other locally-produced channels.
The Democratic Alliance (DA) has previously called on MultiChoice to make all its contracts with ANN7 public.
The party will also ask the chairperson of Parliament's communications committee to institute the "now overdue inquiry into state capture".