Previous Nationwide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda asked the Point out Security Agency (SSA) in December 2018 to research the leaking of files that uncovered lottery corruption.
The NLC’s enterprise secretary at the time shown media reports she mentioned have been depending on “stolen” information and facts within an affidavit with the SSA.
The SSA did examine. It located the knowledge was not a matter of point out protection and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for that media to reveal it.
A different board and administration has because taken more than the NLC and So far have taken measures to end corruption with the establishment.
A Point out Security Company (SSA) investigation uncovered the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “provided sufficient motive” for publicity because of the media.
The probe into intended “details security breaches and sabotage of NLC operations” was undertaken after then-NLC board chairperson Alfred Nevhutanda wrote towards the SSA in December 2018 requesting it to investigate.
Here is
Nevhutanda’s letter,
an affidavit by presently suspended NLC organization secretary Nompumelelo Nene supporting the request, and
the security agency’s “confidential” results and proposals.
Nevhutanda questioned the SSA to research the role of NLC team inside the alleged leaking of knowledge, and Nene, in her affidavit discovered specific media and studies that she claimed involved these leaks.
Inside the letter outlining its findings, the SSA instructed the NLC that although defending point out facts was “a lawful vital targeted at defending the sovereignty and integrity of the condition” this only applied to appropriately categorised information and facts.
Even though it didn't say so instantly, the SSA results implied the allegedly leaked info did not slide into this group.
Drastically, the SSA created it clear that the need to shield condition info “will not prevent any personal from blowing the whistle on corruption or irregular or criminal activity”.
The SSA investigation uncovered which the NLC information and facts linked to the alleged breach was “delicate and privileged in mother nature, although not categorised regarding the prescripts on the Minimum amount Data Safety Criteria (Miss out on)”.
“The leakage from the suitable sensitive Formal NLC facts for the media doesn't pose a menace to nationwide security,” the SSA claimed, including which the affect of the breaches was reputational.
The SSA report observed “no proof of the factual and incriminating mother nature towards any on the suspected NLC staff members that could be identified from the data and information interrogated”.
What's more, it said that “the prevalence of alleged corruption and irregularities inside the NLC and at its beneficiaries does give ample motive to own these exposed from the media”.
Conspiracy claims
In 2020, Nevhutanda informed MPs in the course of a session of Parliament’s trade, market and Opposition portfolio committee that there was “a conspiracy” by which facts “stolen” in the NLC was sent to your US, where by he claimed it was currently being sold to fund a smear campaign from the NLC.
He was repeating similar promises he had Earlier made in Parliament, which incorporated advert hominem attacks on GroundUp which reporter but was very careful not to name possibly.
“I arrived in this article On this August residence final calendar year and described to honourable associates that specifics of our beneficiaries has become stolen and place in a single state in the united states,” he informed MPs.
“We referred to as on the Point out Protection Company to come look into the make any difference since we're finding experiences that our info is generating cash for media platforms and journalists,” he claimed. “There was communicate, needless to say from a person supply, just one media, that spoke A great deal about proactive-funding,” Nevhutanda mentioned (referring to GroundUp), but did not inform MPs which the SSA investigation had been finished Nearly a year previously.
Proactive funding was at the center in the looting in the lottery. It side-stepped the normal grant system. The NLC could alone detect a job to fund and appoint a non-gain organisation to supervise it.
Following Nevhutanda initially instructed Parliament in 2018 that he had asked the SSA to analyze the supposed breach, the South African Countrywide Editors Discussion board issued an announcement expressing that his remarks reflected “a particularly harmful Perspective exactly where the media is staying blamed for your NLC’s inherent problems”.
“Rather then investigating why thousands and thousands cannot be accounted for, the NLC has in its place tried to cast doubt within the integrity from the journalists involved and it has questioned the SSA to research their sources.”
Proactive projects built top secret
Stability flaws identified during the NLC grant funding technique throughout the SSA’s investigation, appear to are already made use of as an excuse with the NLC to remove all proactive-funded assignments from its central grants system.
“In or about 21 December 2019, the classification of all pro-actively funding jobs was heightened to ‘key’ and initiatives ended up faraway from the grant funding process and managed manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Business office, Government Manager Legal as a way to safeguard [the] details,” Nene explained in her affidavit.
“There was plenty of interior dialogue, with numerous forwards and backwards, about what to do to plug the alleged leaks”, a resource, who was inside a senior place within the NLC at time, advised GroundUp. “In the long run, the choice was taken to eliminate many of the proactive jobs within the method and limit entry to a handful of people”.
Some in that handful of people had been implicated in corruption.
Maselwa, who resigned from your NLC numerous several years ago, continues to be implicated in corruption involving lottery resources. He obtained R4.three-million from lottery cash allocated to build a library and museum advanced in Kuruman (see Taung Cultural New music and Arts Expo) which he applied to create a home within an upmarket gated progress in Pretoria. The home is among many compensated for with lottery funds that were frozen once the Asset Forfeiture Unit acquired a preservation buy in December 2022.
The politically-connected Nevhutanda, who was appointed as being the NLC board chairperson by previous President Jacob Zuma in 2009 and was close to significant-ups within the ANC leadership, former NLC previous Commissioner Thabang Mampane, and ex-Main running officer Phillemon Letwaba, have all been implicated from the corruption which overcome the NLC on their view.
Also implicated are former board users William Huma, who resigned after he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have because died.
Whenever a new administration, such as the complete board and govt, took over at the NLC in late 2022 and early 2023, they discovered a “chaotic mess” from the documentation associated with proactive funding, Significantly of which was paper-primarily based. Critical documents ended up lacking. Documents held for safekeeping by doc storage firm Metrofile had been signed out and hardly ever returned.
The NLC was able to Get better copies of some หวย ไทยรัฐ files from its Mimecast e mail archiving system and also the laptops of their assistants and aid employees.
News studies
In his 1 December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has pointed out with grave issue attainable facts protection breaches plus the unauthorised use and/or dissemination of confidential information received because of carrying out Formal capabilities from the Commission by NLC workers. The activities are meant to undermine the integrity in the Fee even though disrupting the effective functions [in the NLC] and causing insurmountable reputational harm on the Fee as the custodian of non-public information and facts entrusted to it by its beneficiaries.”
His ask for with the SSA to analyze was supported within an affidavit by suspended NLC corporation secretary, Nomphumelelo Nene.
Nene is now struggling with a disciplinary inquiry just after she was unsuccessful in authorized motion to set aside conclusions of irregular expenditure on her check out.
The objective of her affidavit, Nene stated, was “to history the functions which transpired relating to information and facts protection breaches at the Nationwide Lotteries Fee”.
She outlined a variety of information reviews which she claimed ended up the effects of these “breaches” (see at the end of this article).
Nene explained that a whistle-blower approached the NLC alleging that considered one of its workforce, Sello Qhino, experienced “furnished her classified NLC Info and persistently inspired her to provide the knowledge to GroundUp”.
Qhino, who blew the whistle on the series of dodgy lottery-funded tasks in Kuruman just after attempts to lift The problem internally have been dismissed, was subsequently fired.
Referring to an eighteen November 2018 report during the Daily Dispatch regarding the misappropriation of Lottery cash, Nene stated the NLC determined then suspended Zintle Rungqu. She was an employee from the NLC’s East London office, who was the spouse plus the mom of whistleblower Mzukise Makatse’s a few small children.
Rungqu and Makatse imagine Rungqu was punished simply because Makatse blew the whistle. She was suspended and charged internally, Using the NLC investing R470,000 on lawyers to symbolize it, but was identified not responsible and permitted to return to work.
“The widespread Think about these articles is [they include] classified data referring to proactive funding projects,” Nene mentioned in her affidavit.
When Runqu was suspended, Makatse moved out of your relatives property to take the heat off her and his children. Experiencing homelessness, he moved into an Business in an empty factory belonging to a pal.
The two Makatse and Qhino are participating in an NLC reparation process meant to recognise the damage lots of people endured on the arms with the NLC. Apologies and, in some instances, financial compensation are envisioned.
“Some folks were seriously affected incredibly negatively by this … This is basically distressing,” NLC Commissioner Jodi Scholtz advised the Every day Maverick past yr.
“I fulfilled a couple of these people. It had been just so coronary heart-wrenching that their whole life have already been turned the wrong way up,” explained Scholtz.
Between Those people she met were Qhino and Makatse.
Protected platform required for whistleblowers
The SSA found the absence at some time of a correct channel for whistleblowers to report corruption led them to turn into the media.
“Failure to possess a dedicated anti-corruption channel will bring about staff members presenting these kinds of situations outside of the NLC,” the SSA claimed in its results.
“Provided the magnitude of corruption in state institutions, it stays essential that it ensures that the NLC complies with all safety prescripts Which its aim is on ensuring that unlawful and irregular carry out is adequately mitigated from and by making sure an sufficient channel for whistle-blowers to report untoward conduct without the need of being intimidated.”
It advisable the NLC set up a “Protected channel” for employees to provide info on any “untoward activity” that will not prevent or discourage workforce from blowing the whistle. A whistle-blowers coverage, based upon the Guarded Disclosures Act twenty five of 2000, is actually a requirement.”
Media stories Nene listed
A ten December 2017 report within the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Exercise Centre in Limpopo. GroundUp has labored intently with Anton van Zyl, an investigative reporter and operator of the Limpopo Mirror, to expose NLC corruption. “The post had factors of knowledge not available in the public area, thus increasing worry on inner Details safety breaches. The allegations inside the media had been independently investigated,” Nene stated. “Nevertheless, workers responsible for divulging labeled information and facts have still to be determined”;
A 28 January 2018 write-up published because of the Dally Dispatch “citing numerous allegations with the Limpopo Mirror post released on ten December 2017 along with a new allegation associated with a former worker with the title of Mzukisi Makatse. He was charged and summarily dismissed to the menace caused to the organisation.”
A 16 November 2018 write-up while in the Lowvelder concerning the misappropriation of NLC funds involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, in spite of obtaining R27-million in lottery grants, the rehab has never been completed. “The Lowvelder article contained labeled details when it comes to NLC plan, raising further more considerations of interior info protection breaches,” Nene said in her affidavit. “The prima facie evidence regarding these allegations didn't warrant an unbiased Investigation, nonetheless [it] highlighted the heightened information and facts security hazards in the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.five-million grant to Denzhe Most important Treatment, a hijacked NPO. Nene said GroundUp had confirmed in its Tale that it absolutely was dependant on leaked NLC files. This was despite the NLC rejecting a PAIA (Promotion of Use of Facts) request for details concerning the challenge, she claimed