The appellant, Sankie Mthembi-Mahanyele, was the National Minister of Housing. In December 1998, the Mail & Guardian newspaper published a 'report card' grading cabinet ministers. The report stated that the appellant had 'awarded a massive housing contract to a close friend' (referring to Dr Thandi Ndlovu and Motheo Construction) and criticized her for the dismissal of Director-General Billy Cobbett. The report gave her a grade of 'F' (fail). The appellant sued for defamation, claiming R3 million in damages. The background involved the Mpumalanga Housing Board's 1997 award of a R190 million contract to Motheo Construction, a newly incorporated company with no track record, whose sole director was Ndlovu, a close friend of the appellant. Cobbett had referred the matter to the Auditor-General due to irregularities and was subsequently dismissed. The matter received extensive media coverage throughout 1997, with numerous newspapers questioning the appellant's involvement and calling for an inquiry. The Auditor-General and the Dreyer Commission found multiple irregularities in the contract award, though neither inquiry examined the appellant's direct role.