Below is the full text of the announcement from Chess SA regarding the Outstanding Debt to FIDE. This was sent out on Sunday, 9 August 2015.
09 August 2015
Provincial Presidents & Executive Boards
Regional Presidents & Executive Boards
SA Chess Community
Dear South African Chess Community
RE: UPDATE ON CHESS SA DEBT TO FIDE
It is with great pleasure that I am able to announce to all of you that Chess South Africa has managed to reach an agreement with a Private Consortium to purchase the South African Junior Chess Championship (SAJCC) for a fee of R2.1 million rand.
The Nationals will now grow to an even bigger event and will still take place in the various Provinces.
After three (3) years Chess South Africa will receive a royalty fee from the Consortium of R300 000-00 (THREE HUNDRED THOUSAND RAND) every year with the necessary CPI increases per annum. This money will be used for sending Managers and Coaches overseas with the selected SA teams.
Chess South Africa will have the opportunity to buy back the SAJCC once the Consortium has made at least a 25% return on their investment.
This is truly a watershed moment in the History of Chess SA. We will now be in a position to settle all outstanding debts to FIDE and the 2014 World Youth Arbiters. The settlement of these outstanding accounts will be done in the next two (2) weeks. Chess SA will then have absolutely no more debt going forward. We will now be able to put this nightmare behind us and get our players to compete internationally again. Now we can focus on building the Federation, which we set out to do but we were lumped with previous debt incurred.
As I have stated before in previous communications, we do not run away from the challenges but face them head on and solve them together. Never, never and I repeat never again will our players suffer because of administrators not doing their work properly. Not on my watch! I hope that huge lessons can be learnt from what we as a Federation had to go through. We will now have to tighten the belts, build again and work together for a more improved Chess SA. Our focus will now turn to the development of the game and High Performance training for our elite players. We trust and hope that the good news is what every player and parent has been waiting for and that we can now go out into the world as Ambassadors of Chess SA. I ask all of you to have HOPE because it provides Higher Opportunities for People to Excel.
Be the Chess Ambassador armed with HOPE! “Gens Una Sumus” (We are all one Family)!
Chess SA: President