Joyous Celebration: Director Denies Financial Misconduct Allegations

A dispute over financial management and governance is unfolding within the iconic South African gospel group Joyous Celebration, with accusations of financial irregularities leveled against two of its directors. The situation has escalated to the point of an alternative dispute resolution application filed with the Companies Tribunal, revealing a complex web of disagreements and a potential sale of the organization.

At the center of the controversy are Mthunzi Namba and Jabu Hlongwane, co-directors accused of failing to properly account for funds, leading to a R1 million tax demand from the South African Revenue Service (Sars) in 2024. Specific allegations, as detailed in the application, include secretly securing sponsorships and hosting events, diverting event revenue to personal accounts or companies, and utilizing company assets for over R1 million in personal expenses – including travel and car rentals – over a three-year period. A further claim alleges a R300,000 loan taken from Joyous Celebration in 2017 remains unpaid.

Lindelani Mkhize, the third director, has publicly rejected the allegations, characterizing them as stemming from longstanding governance disputes. In a statement released on Tuesday, February 17, 2026, Mkhize asserted there was no improper or unlawful conduct. He further revealed that Namba and Hlongwane had, in fact, planned to exit Joyous Celebration as early as December 2021.

Mkhize’s statement sheds light on a shift in administrative practices that appears to be a key point of contention. Historically, major events, sponsorships, and bookings were managed by an external agency. When that agency departed, these responsibilities were brought in-house, managed through the “Joyous Office.” According to Mkhize, it was during this period of internal administration that “significant liabilities, including tax-related obligations, accumulated and accounting concerns became apparent.”

Upon discovering these issues, Mkhize initiated an internal review, requesting historical bank statements and commissioning an independent accountant to examine the records. He directly questioned the accounting practices, receiving a response from Pastor Hlongwane that directed him to address his inquiries to her, rather than the individual responsible for processing payments. Hlongwane reportedly stated, “If there is payments you want to ask about, I suggest that you ask me. Mpho does not make payments. He might have an idea about other things, but payments are made at the office.”

Mkhize maintains he has been actively working to stabilize the organization for the past 24 months, continuing his production leadership role, maintaining records, and facilitating bookings through a non-profit foundation affiliated with him. He describes these actions as “interim stabilization measures pending formal resolution of the governance dispute and potential sale.”

The core of the disagreement, according to Mkhize, centers on the distinction between operational remuneration – performance fees tied to active participation – and ownership returns, or dividends. He argues that membership in Joyous Celebration does not automatically entitle individuals to ongoing operational payments in the absence of active participation or formally declared distributions.

The situation highlights the challenges faced by long-standing organizations navigating evolving administrative structures and financial complexities. The shift from external management to internal control appears to have created vulnerabilities, leading to the accumulation of liabilities and sparking a dispute among the directors. The potential sale of Joyous Celebration, as alluded to by Mkhize, suggests the disagreements may be too significant to resolve internally.

Joyous Celebration has been a cornerstone of the South African gospel music scene for decades, known for its vibrant performances and uplifting message. The current dispute raises questions about the future direction of the group and the preservation of its legacy. The outcome of the alternative dispute resolution process will likely determine whether the organization can overcome these internal challenges and continue to thrive.

The allegations come at a time when scrutiny of financial governance within arts and cultural organizations is increasing globally. The case serves as a reminder of the importance of transparent accounting practices, clear roles and responsibilities, and robust internal controls, particularly when transitioning administrative functions.

As the dispute unfolds, the focus will be on the findings of the Companies Tribunal and the potential implications for the future of Joyous Celebration. The resolution of this matter will not only impact the individuals involved but also the broader gospel music community in South Africa and beyond.