A consortium behind the ANC’s 2024 campaign has turned to the courts after months of failed attempts to recover outstanding fees.
The ANC is facing mounting legal and financial pressure after allegedly failing to settle more than R20 million for election campaign services and ignoring court deadlines, triggering an application for a default judgment against the party.
The application, brought by Sisonke Consortium and O’Brian Digital, which is part of the consortium that ran the ANC’s 2024 campaign, has been filed in the High Court in Johannesburg.
Legal action intensifies over unpaid campaign contract
According to court papers, the companies started the proceedings on 14 August, seeking payment from the ANC for work undertaken as part of a large-scale communications contract.
This after several fruitless attempts to recoup the funds, with the ANC served with the full court application, including the notice of motion on 26 August at its headquarters, Luthuli House, in Johannesburg.
However, the party, which lost its decades-long dominance and suffered a heavy defeat with 40.2% in the polls, allegedly failed to file a notice of intention to defend the litigation within the required 10-day period, which lapsed on 9 September.
Consortium seeks default judgment after ANC missed deadline
Because the ANC did not respond, the applicants are now asking the court to grant judgment in their favour in terms of Rule 31(5) of the SA Uniform Rules of Court, which allows for a default judgment when a respondent does not timeously oppose a claim.
The consortium is seeking payment of R20 878 220.22, interest at 11% from the date of default, costs on scale C, the highest tariff rates for legal fees, and further relief.
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The debt relates to a contract reportedly worth R70 million, which carried a minimum monthly invoice of R3 million from August 2023 to May 2024.
Contract value and disputed balance under scrutiny
Sisonke Consortium alleges while the ANC paid R50 million, it failed to settle the remaining balance of more than R20 million.
A director, Mxolisi Tyawa, states in an affidavit the company delivered all contracted services.
He said the matter has dragged on for more than 18 months without any resolution, but would not comment further Sources close to the consortium say the work was awarded after the company responded to a public tender, disputing claims it was secured through political links.
“The fallout has now escalated into a full-blown legal confrontation, months ahead of the local government elections next year,” a source said.
ANC yet to respond as legal pressures mount
Mahlengi Bhengu-Motsiri, ANC spokesperson, had not replied to a request for comment by the time of publishing.
In October, the party withdrew its court application to unfreeze its bank accounts attached over a R85 million debt to Ezulweni Investments after reaching a settlement.
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