SAMRO BOARD COLLAPSES? Nkosi exit leaves organisation in breach of own rules amid Lebethe fund misuse claims

SAMRO faces intensified scrutiny following Dr Daniel Mabutho Nkosi's departure from its board.

This latest exit marks a significant fracture in the organization's leadership. It raises serious questions about transparency, the alleged abuse of SAMRO funds by the CEO Annabelle Lebethe, the alleged abuse of whistle blowers and the stability of the current Board of Directors under the Companies Act 71 of 2008.

Interim Chairperson Sisa Mayekiso, who is himself under investigation by the South African Institute of Chartered Accountants (SAICA), sent a short letter to members on 18 March 2026. The letter confirms the sudden change but offers no details about the reasons behind it.

He wrote:

"Dear SAMRO Member, The Board of Directors of SAMRO wishes to update members on recent governance matters. Following a duly convened Special Board meeting held on Wednesday,18 March 2026, the composition of the Board has changed. Dr Daniel Mabutho Nkosi is no longer serving as a non-executive director of the SAMRO Board. The Board expresses its appreciation to Dr Nkosi for his contributions during his tenure and remains committed to ensuring that SAMRO continues to deliver on its mandate and strategic priorities in the best interest of its members and stakeholders."

"The Board of Directors conveys its gratitude to Dr Nkosi for his service and dedication. We wish him continued success in all his future endeavours."

Nkosi breaks silence: “I refused to be complicit”

While the official statement paints a picture of a routine change in leadership, Nkosi’s account of his departure suggests a potential violation of the Protected Disclosures Act 26 of 2000.

He maintained that his “sin” was taking disciplinary action and refusing to conceal wrongdoing from SAMRO members.

He claimed that the Board wanted him to conceal internal irregularities. He said they expected him to violate the fiduciary duties outlined in Section 76(3) of the Companies Act, which requires directors to act in good faith and in the best interest of the company.

"When I joined the Board I signed a non-disclosure form which I understand. I signed that form not to hide fraud and corruption. But at SAMRO I was expected to turn a blind eye to all the rot and irregularities by the Board. The Board is aware that Annabelle is abusing members' funds, she confessed that she abused SAMRO’s credit card but no steps were taken against her," Nkosi said.

"As a Board member I had to fulfil my duties and hold her accountable. I dismissed her. I did that to protect the organisation and the member funds. They complained that I wasn’t supposed to inform members about Annabelle’s dismissal," he continued.

A week ago, Nkosi informed The Public Dispatch that he had dismissed Lebethe during a meeting on February 4, 2026.

SAMRO immediately denied the dismissal, stating:

“There is absolutely no basis for these claims or allegations, as Ms Lebethe remains the CEO of SAMRO. Any information suggesting otherwise is unfounded and factually incorrect.”

Nkosi challenged the organisation to release the minutes of the 4 February meeting, but it failed to do so.

While SAMRO issued a 'bare denial,' they did not deny [or confirm] the specific allegations of credit card abuse by Lebethe.

Nkosi said that he chose to speak publicly because he believed SAMRO members deserved transparency about how their money is managed.

In his version of events, tensions escalated over time, with repeated clashes between himself and other board members who are implicated in the Fundudzi Forensic Report.

He revealed that Board meetings had become hostile.

“I fought so many battles with the Board and I was starting to become a nuisance to them. I was mistreated and each time we had a meeting I feared for my life. At meetings I was no longer eating their food, I’d buy my own food,” he explained.

Annabelle Lebethe’s long list of controversies

This is not Lebethe’s first brush with misuse-of-funds allegations.

Last year both she and Chief Financial Officer Leanne Thomas allegedly admitted to the Board that they had used SAMRO money to sponsor Dr Sibongile Vilakazi’s book launch.

The event had nothing to do with SAMRO’s mandate or its members. When questioned, the pair allegedly said they were simply 'supporting another woman.' A suggestion was allegely made that they repay R15 000 from their personal pockets. A criminal case was later opened against both Lebethe and Thomas.

Board composition now breaches SAMRO’s own rules.

Critics argue the SAMRO Board has now collapsed and is operating unlawfully.

They point directly to Section 16.2 of the SAMRO Memorandum of Incorporation (MOI), which states:

"A minimum of three and maximum of four non-executive Author/Composer Directors, must form part of the Board.”

As things stand, only one non-executive Author/Composer Director remains. This clear breach of the MOI raises serious questions about the Board’s legal authority to make decisions on behalf of members.

Under the Companies Act 71 of 2008, directors have a fiduciary duty to act in the best interests of the company and its stakeholders (Section 76). Failure to maintain the required Board composition could expose decisions to legal challenge.

Nkosi's exit is direct contravention of the King IV Report on Corporate Governance, which emphasizes ethical and effective leadership.

Furthermore, under Section 71 of the Companies Act, members have the power to board resolutions for the removal of directors who are deemed negligent or derelict in their duties.

A history of silencing whistleblowers

Nkosi is not the first person punished for demanding transparency.

Former Chief Operating Officer Mpho Mofikoe was placed on precautionary suspension and later dismissed for exposing irregularities at SAMRO.

In 2025, at an annual general meeting she was asked by the Board Chairperson, Nicholas Maweni to name Board members implicated in the Fundudzi Forensic report. She was guaranteed protection, yet after naming the implicated Board members she was removed. She is currenlty fighting her dismisal at the CCMA while the implicated Board members remain in their positions.

The events have left many SAMRO members worried about how their royalty money is being handled. With only one Author/Composer Director left, the Board no longer meets the minimum representation required by its own governing document. Trust in SAMRO’s leadership is at an all-time low.

This development (Nkosi's exit), combined with unresolved allegations against Lebethe and a Board that no longer complies with its MOI, paints a worrying picture.

However, members have the right under Section 26 of the Companies Act to demand access to the minutes of the February 4th meeting to establish the truth behind these conflicting accounts

Questions were sent to SAMRO regarding Nkosi’s exit, the allegations of financial misconduct but there was no response