1 Introduction (1-6) 12/7/09 3:36 PM Page 1 ELECTORAL COMMISSION Report regarding the Management and Administration of the Represented Political Parties' Fund during the financial year 1 April 2008 to 31 March 2009 in terms of Section 8 of the Public Funding of Represented Political Parties Act, 1997 (Act 103 of 1997) Represented Political Parties’ Fund - Annual Report 2008/2009 1 1 Introduction (1-6) 12/7/09 3:36 PM Page 2 Represented Political Parties’ Fund - Annual Report 2008/2009 2 1 Introduction (1-6) 12/7/09 3:36 PM Page 3 CONTENTS Management and Administration............................................................................................................5 Allocations to the Represented Political Parties..................................................................................7 Extracts of Represented Political Parties’ Financial Statements - African Christian Democratic Party .........................................................................................15 - Alliance of Free Democrats.........................................................................................................18 - African National Congress ..........................................................................................................20 - African People’s Convention......................................................................................................24 - Azanian People’s Organisation..................................................................................................25 - Christian Party.................................................................................................................................27 - Democratic Alliance......................................................................................................................29 - Federation of Democrats ............................................................................................................31 - Freedom Front Plus.......................................................................................................................33 - Independent Democrats.............................................................................................................35 - Inkatha Freedom Party ................................................................................................................37 - Minority Front .................................................................................................................................40 - National Alliance............................................................................................................................42 - National Democratic Convention ............................................................................................43 - New Vision Party.............................................................................................................................45 - Pan Africanist Congress of Azania ...........................................................................................46 - United Christian Democratic Party..........................................................................................47 - United Democratic Movement .................................................................................................49 - United Independent Front .........................................................................................................51 Report of the Audit Committee..............................................................................................................53 Report of the Auditor-General ................................................................................................................57 Financial Statements of the Represented Political Parties' Fund - Balance Sheet..................................................................................................................................65 - Income Statement.........................................................................................................................66 - Statement of Changes in Equity...............................................................................................67 - Cashflow Statement......................................................................................................................68 - Notes to the Financial Statements...........................................................................................69 Appendix A: -Detailed Income and Expenditure Statement......................................................................81 Represented Political Parties’ Fund - Annual Report 2008/2009 3 1 Introduction (1-6) 12/7/09 3:36 PM Page 4 Represented Political Parties’ Fund - Annual Report 2008/2009 4 1 Introduction (1-6) 12/7/09 3:36 PM Page 5 MANAGEMENT AND ADMINISTRATION The Public Funding of Represented Political Parties Act, 1997 (hereafter referred to as the Act) determined that the financial year of the Fund will run from 1 April of every year until 31 March in the following year. The Chief Electoral Officer, subject to the direction of the Commission, is responsible for the management and administration of the Fund and is its Accounting Officer and Chief Executive Officer. For each financial year the Commission must have records kept of moneys received by/or accruing to the Fund, allocations made/and payments therefrom and of expenditure arising from the allocation of moneys and a current record of the capital and liabilities of the Fund. Allocations to parties are made in accordance with the prescribed formula. A number of purposes for which such moneys may not be used by parties, is set out in the Act. The manner in which parties have to deal with and account for moneys allocated to them, is set out in the Act. At the end of each financial year every party must prepare a statement showing the amount received and the purposes for which it was spent and have the statement and its books of records of accounts audited. The auditor must express an opinion as to whether the allocated moneys were spent for purposes not authorised by the Act. The auditor's report and the audited statements must be submitted to the Commission. Particulars of allocations made to represented political parties in respect of the 2008/2009 financial year are included in this report. Extracts from the financial statements of represented political parties, as they were filed with the Commission, are published in this report. The Auditor-General’s report is unqualified but draws attention to the non-submission of audited financial statements by four political parties in paragraph 9 of the Auditor-General’s report. Action in terms of section 6(7) and 7(2)(b) of the Act have been instituted where applicable. In addition, paragraphs 10 – 13 of the Auditor-General’s report draw attention to the non-compliance with the relevant legislation by various political parties in respect of their financial statements. The Commission expresses its appreciation to the accounting officers of political parties for their co-operation. Represented Political Parties’ Fund - Annual Report 2008/2009 5 1 Introduction (1-6) 12/7/09 3:36 PM Page 6 Represented Political Parties’ Fund - Annual Report 2008/2009 6 2 Allocations (7-12) 12/7/09 3:37 PM Page 1 ALLOCATIONS TO REPRESENTED POLITICAL PARTIES Represented Political Parties’ Fund - Annual Report 2008/2009 7 2 Allocations (7-12) 12/7/09 3:37 PM Page 2 Represented Political Parties’ Fund - Annual Report 2008/2009 8 2 Allocations(7-12)12/7/093:37PMPage3 ALLOCATIONS TO REPRESENTED POLITICAL PARTIES FOR THE YEAR ENDED 31 MARCH 2009 Represented Political Parties’ Fund Parties’ Political Represented R88.335,570 was available to the nineteen Represented Political Parties, as follows: R 79,502,013 Proportional (90%) Table 1: Total Number of Members - Representation R 8,833,557 Equitable (10%) NATIONAL WESTERN LIMPOPO EASTERN GAUTENG KWA-ZULU NORTHERN NORTH WEST MPUMALANGA FREE STATE TOTAL ASSEMBLY CAPE CAPE NATAL CAPE AFRICAN CHRISTIAN DEMOCRATIC PARTY 4 2 1 NIL 1 1 1 NIL NIL 1 11 ALLIANCE OF FREE DEMOCRATS NIL NIL NIL NIL 1 NIL NIL NIL NIL NIL 1 AFRICAN NATIONAL CONGRESS 297 27 46 53 51 41 25 27 27 25 619 AFRICAN PEOPLE'S CONVENTION 2 NIL NIL 1 1 NIL NIL NIL NIL NIL 4 AZANIAN PEOPLE'S ORGANISATION 1 NIL NIL NIL NIL NIL NIL NIL NIL NIL 1 CHRISTIAN PARTY NIL NIL NIL NIL NIL NIL NIL NIL 1 NIL 1 DEMOCRATIC ALLIANCE 47 11 1 5 13 5 2 2 2 3 91 FEDERATION OF DEMOCRATS 1 NIL NIL NIL NIL NIL NIL NIL NIL NIL 1 FREEDOM FRONT PLUS 4 NIL NIL NIL 2 NIL 1 1 NIL 1 9 INDEPENDENT DEMOCRATS 4 1 NIL NIL 2 NIL 1 NIL NIL NIL 8 -AnnualReport 2008/2009 INKATHA FREEDOM PARTY 23 NIL NIL NIL 2 27 NIL NIL NIL NIL 52 MINORITY FRONT 2 NIL NIL NIL NIL 2 NIL NIL NIL NIL 4 NATIONAL ALLIANCE 1 NIL NIL NIL NIL NIL NIL NIL NIL NIL 1 NATIONAL DEMOCRATIC CONVENTION 4 NIL NIL NIL NIL 3 NIL NIL NIL NIL 7 REPRESENTED POLITICAL PARTIES NEW VISION PARTY NIL NIL 1 NIL NIL NIL NIL NIL NIL NIL 1 PAN AFRICANIST CONGRESS 1 NIL NIL NIL NIL NIL NIL NIL NIL NIL 1 UNITED CHRISTIAN DEMOCRATIC PARTY 3 NIL NIL NIL NIL NIL NIL 3 NIL NIL 6 UNITED DEMOCRATIC MOVEMENT 6 NIL NIL 4 NIL 1 NIL NIL NIL NIL 11 UNITED INDEPENDENT FRONT NIL 1 NIL NIL NIL NIL NIL NIL NIL NIL 1 TOTAL 400 42 49 63 73 80 30 33 30 30 830 NUMBER OF PARTIES 5 4 4 8 7 5 4 3 4 9 2 Allocations(7-12)12/7/093:37PMPage4 10 ALLOCATIONS TO REPRESENTED POLITICAL PARTIES FOR THE YEAR ENDED 31 MARCH 2009 (continued) Represented Political Parties’ Fund Parties’ Political Represented Table 2: