South Africa’s music royalty agency hits back

The Southern African Music Rights Organisation (Samro) has responded to the scandal relating to the suspension of its Chief Operating Officer, Mpho Mofikoe.

Samro, founded in 1961, is a non-profit copyright asset management society that protects music creators’ rights by licensing music use, collecting fees, and distributing royalties to over 15,000 members.

The agency was recently rocked by a scandal. Insiders alleged that Mofikoe revealed R30 million allegedly spent on board members and R60 million in suspected fraudulent claims.

According to sources, Mofikoe’s revelations triggered the Fundudzi forensic investigation, which examined questionable royalties and suspicious boardroom dealings.

The forensic investigation uncovered over R3.4 million in questionable claims by former SAMRO employees, who allegedly enabled publishers to collect royalties without owning the works.

The report revealed gross irregularities, including payments made without proof of ownership and alleged employee involvement.

Tensions escalated after a contentious extraordinary general meeting (EGM) on July 10, where three board members were dismissed.

Insiders allege that Mofikoe was instructed to identify the members during the meeting and is now bearing the brunt of her compliance.

“She followed orders but has become the target. The CEO removed her from the investigation and demanded all evidence be handed over or face charges.”

In a statement on 19 August, Samro said that these allegations by the COO are to be addressed through formal processes “to determine the veracity thereof” and that they “are not Samro’s statements or consistent with any findings to date.”

It said that the COO “is not a whistleblower in the undocumented claims matter” under investigation and that “the true whistleblowers” have been identified in a forensic report commissioned by Samro.

They had appointed the suspended COO to handle the report on behalf of Samro.

“The report does not contain fault findings against parties named by the suspended COO,” claimed Samro.

The organisation said that it has cooperated fully with law enforcement, is actively pursuing a criminal investigation, and is implementing all recommendations from the report.

Samro categorically denied the grievances raised by the suspended COO, calling them “vague, unsubstantiated and unsustainable,” and reiterated that matters concerning the COO remain sub judice (under judicial consideration).

The suspended board members’ “inconsistent” removal

During the EGM on 10 July 2025, there was the removal of three non-executive board members in a process Samro now acknowledges was “inconsistent with procedural requirements” and open to challenge.

“The correct approach is to ask members to rescind and set aside the 10 July removal resolution and, if members so choose, to vote afresh on properly tabled removal resolutions,” it said, emphasising the need to balance due process with member choice.

To finalise the matter, Samro will hold both the previously postponed EGM and a new EGM on Friday, 29 August 2025. Members are urged to register and participate.

“Together we can regularise the 10 July 2025 outcome should this remain the will of the members, and we can move forward with unity and purpose,” the organisation said.

The music royalty agency said that its focus remains on completing the governance process and securing “a compliant process, a clean member mandate and a stable governance platform for the important work that lies ahead.”