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Home Entertainment Zimbabwe Music Royalty Scandal Explodes as Star Musician Sanii Makhalima Demands Answers:...

Zimbabwe Music Royalty Scandal Explodes as Star Musician Sanii Makhalima Demands Answers: “Where Did Our Millions Go”?

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Musician Sanii Makhalima has formally questioned the sharp decline in royalty payouts at the Zimbabwe Music Rights Association (ZIMURA), sparking a broader debate within the local music industry regarding the transparency and operational efficiency of the collective management organisation.

Makhalima, who stated he has been following developments at the organisation from the sidelines for some time, has now moved to publicly raise specific questions, particularly concerning figures contained within the organisation’s executive summary. His scrutiny comes against a backdrop of increasing agitation among Zimbabwean artists regarding the management of their intellectual property rights and the fairness of current remuneration structures.

According to Makhalima’s analysis of the available data, ZIMURA collected approximately US$1,948 million in 2023. Of that amount, expenditure accounted for roughly 51,66 percent, or US$1,006 million, while approximately US$942,000 was paid out to members.

The figures for 2024 present a starkly different scenario. Collections fell to approximately US$1,640 million, while expenditure increased to about US$1,05 million, representing 64,06 percent of total collections. Consequently, member payouts declined significantly to approximately US$590,000.

“I have watched and listened from the sidelines for some time but I think this has now gone on for far too long,” Makhalima said. “After reading the Executive Summary and looking at the figures, I have some questions that I don’t believe have been properly answered. That is the anomaly.”

Makhalima calculated that while collections declined by about US$308,000, administrative expenditure increased by roughly US$44,000. Most concerning to him is that member payouts fell by approximately US$352,000, which marks a decline of about 37 percent.

The scrutiny of ZIMURA’s finances aligns with broader industry frustrations. Other prominent artists, including Dino Mudondo, have recently expressed dissatisfaction with the state of the local music industry, raising alarms over issues ranging from copyright infringement by cover bands to the complexities involving multiple collective management organisations. The confusion surrounding the roles and efficacy of ZIMURA and other bodies, such as the Zimbabwe Music and Copyright Collective (ZICCO), has created an atmosphere of deep distrust. Musicians have even petitioned Parliament to intervene in the growing chaos, highlighting that royalty payments remain erratic and insufficient for many creators.

In his critique, Makhalima questioned whether the justifications provided for the reduced distributions adequately addressed the financial impact of the challenges currently faced by the organisation. The executive summary cited a range of difficulties, including economic, regulatory and operational disruptions, licensing constraints, delays in broadcaster payments, competition from a rival collective management organisation and various legal disputes.

“We need the figures, not just the explanations,” Makhalima said, demanding a more granular approach to financial reporting. He specifically asked how much of the approximately US$352,000 reduction in member payouts could be directly attributed to each of the factors cited by the organisation.

He also raised concerns over why expenditure rose to 64,06 percent of collections in 2024 at a time when overall collections had fallen by 15,8 percent. To address this, he called for a detailed breakdown of the approximately US$1,05 million expenditure recorded in 2024. This, he argued, should include a clear account of salaries, executive and board remuneration, allowances, legal fees, consultancy costs, rent, vehicles, travel, information technology, audit and banking costs, debt recovery and other operational expenses.

To facilitate greater accountability, he requested year-on-year expenditure figures from 2019 to 2024 to allow members to effectively track changes in the organisation’s operational costs.

Furthermore, regarding the impact of delays in broadcaster payments, Makhalima called for aged debtor schedules for 2023 and 2024. Such a document would outline who owes the organisation money, the total outstanding amounts, the duration of those debts, the amounts successfully recovered and whether any debts had been written off.

On the subject of increased competition from a rival organisation, he asked for disclosure regarding how much royalty income ZIMURA believes has been lost as businesses have shifted their licensing to the competing body.

Makhalima also sought clarification on the transition from local currency to United States dollar royalty collections in 2024. Specifically, he wants to know the exact amount collected in foreign currency, the exchange rates applied, the timing of conversions and any recorded foreign exchange gains or losses.

He maintained that his objective was not to make unsubstantiated claims, but to ensure that members possess sufficient information to understand the organisation’s financial health.

“For every dollar collected in 2024, where did it go? Reconcile the US$1.640m against administration, staff, local artists, foreign rights holders, trust funds, receivables, payables, reserves and every other allocation,” he said. “There should be no unexplained money. At this point, I believe an independent audit or forensic financial review, agreed upon transparently with the members, is necessary.”

He emphasised the need for empirical evidence to settle the matter. “This is not about making accusations without evidence. It is about getting the evidence. If everything is above board, the books should clearly demonstrate it. If there are discrepancies, unexplained expenditure, questionable write-offs, related-party transactions or other irregularities, then members deserve to know.”

Ultimately, the musician boiled his concerns down to a single, pressing query for the organisation: “Where did the money go?”

He stressed that he expects these answers to be supported by tangible financial documentation, including financial statements, ledgers, bank records, debtor schedules and contracts, rather than mere narrative explanations. The call for forensic scrutiny echoes wider pleas from within the industry, where artists are increasingly vocal about the need for systemic reform and greater financial integrity to ensure they receive fair compensation for their creative work.