Sama loses ConCourt bid to appeal ruling ordering it to return Samatu millions

The South African Medical Association (Sama) was disputing a ruling made in May last year which found that it had unduly taken advantage of the trade union structure to benefit financially from it.

Picture: www.samedical.org

JOHANNESBURG - The South African Medical Association (Sama) has lost its last legal bid to overturn a ruling that ordered it to return millions of rands’ worth of assets to trade union Samatu.

The Constitutional Court has dismissed the association’s leave to appeal a Labour Court ruling which ordered it to transfer money to the trade union.

READ: Liquidation threat hangs over Sama over millions owed to union Samatu

The Constitutional Court said that the appeal by Sama had no prospect of success after their application was dismissed at the Labour Appeals Court.

Sama was disputing a ruling made in May last year which found that it had unduly taken advantage of the trade union structure to benefit financially from it.

READ MORE: Court places Samatu under administration following independence concerns

For over 20 years, the medical association operated the trade union as its subsidiary, sometimes exercising full control of its affairs against prescripts of the Labour Relations Act.

An administrator appointed by the Labour Registrar after the union was placed under administration has worked out that the association owed about R12 million in yearly Bargaining Council levies and subscription fees of over R2.6 million monthly.

The payments will be backdated to cover the past 20 years.

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