Previous National Lotteries Fee (NLC) board chairperson Alfred Nevhutanda questioned the State Protection Company (SSA) in December 2018 to analyze the leaking of files that uncovered lottery corruption.
The NLC’s organization secretary at enough time stated media reports she stated had been based upon “stolen” facts in an affidavit for your SSA.
The SSA did investigate. It uncovered the knowledge was not a matter of condition security and the “prevalence of alleged corruption and irregularities” gave “ample motive” for that media to expose it.
A new board and administration has given that taken over the NLC and To this point have taken steps to end corruption on the establishment.
A Point out Security Agency (SSA) investigation identified the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “offered enough motive” for publicity by the media.
The probe into supposed “data protection breaches and sabotage of NLC operations” was carried out following then-NLC board chairperson Alfred Nevhutanda wrote into the SSA in December 2018 requesting it to investigate.
Here is
Nevhutanda’s letter,
an affidavit by presently suspended NLC company secretary Nompumelelo Nene supporting the request, and
the security agency’s “private” conclusions and recommendations.
Nevhutanda asked the SSA to research the position of NLC employees from the alleged leaking of data, and Nene, in her affidavit identified certain media and stories that she claimed included these leaks.
From the letter outlining its conclusions, the SSA advised the NLC that when shielding condition facts was “a authorized crucial aimed at preserving the sovereignty and integrity in the state” this only applied to appropriately categorized data.
Although it did not say so straight, the SSA findings implied which the allegedly leaked information and facts didn't drop into this class.
Substantially, the SSA produced it clear that the necessity to defend state information and facts “isn't going to avoid any person from blowing the whistle on corruption or irregular or criminality”.
The SSA investigation identified which the NLC info involved with the alleged breach was “delicate and privileged in mother nature, but not categorized when it comes to the prescripts on the Minimum amount Data Stability Requirements (Miss out on)”.
“The leakage of your related sensitive official NLC details to your media does not pose a threat to national security,” the SSA stated, adding which the impact of your breaches was reputational.
The SSA report observed “no evidence of the factual and incriminating nature against any on the suspected NLC workers which could be recognized from the knowledge and facts interrogated”.
Furthermore, it stated that “the prevalence of alleged corruption and irregularities throughout the NLC and at its beneficiaries does give ample motive to possess such exposed while in the media”.
Conspiracy statements
In 2020, Nevhutanda explained to MPs throughout a session of Parliament’s trade, market and Level of competition portfolio committee that there was “a conspiracy” wherein information “stolen” within the NLC was despatched for the US, exactly where he claimed it absolutely was staying offered to fund a smear marketing campaign from the NLC.
He was repeating equivalent promises he had Earlier created in Parliament, which bundled advertisement hominem assaults on GroundUp which reporter but was cautious not to name possibly.
“I arrived right here During this August residence past year and noted to honourable associates that information regarding our beneficiaries has long been stolen and set in a single point out in the united states,” he explained to MPs.
“We called within the State Security Company to come back investigate the issue due to the fact we're obtaining experiences that our information and facts is building dollars for media platforms and journalists,” he claimed. “There was discuss, obviously from 1 resource, one particular media, that spoke Significantly about proactive-funding,” Nevhutanda reported (referring to GroundUp), but did not tell MPs the SSA investigation were finished Pretty much a yr previously.
Proactive funding was at the guts of the looting on the lottery. It aspect-stepped the traditional grant procedure. The NLC could alone determine a task to fund and appoint a non-gain organisation to supervise it.
After Nevhutanda very first advised Parliament in 2018 that he had asked the SSA to investigate the meant breach, the South African Countrywide Editors Forum issued a statement saying that his remarks reflected “an extremely risky Mindset in which the media is getting blamed for your NLC’s inherent complications”.
“As opposed to investigating why hundreds of thousands can not be accounted for, the NLC has instead made an effort to cast question to the integrity with the journalists concerned and it has asked the SSA to analyze their resources.”
Proactive assignments created secret
Protection flaws determined in the NLC grant funding method in the course of the SSA’s investigation, look to happen to be utilised as an excuse via the NLC to eliminate all proactive-funded assignments from its central grants program.
“In or about 21 December 2019, the classification of all Professional-actively funding jobs was heightened to ‘solution’ and projects have been faraway from the grant funding method and maintained manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Office environment, Government Supervisor Legal so as to safeguard [the] details,” Nene said in her affidavit.
“There was plenty of inside discussion, with many back and forth, about what to do to plug the alleged leaks”, a resource, who was in a very senior place within the NLC at the time, informed GroundUp. “Ultimately, the decision was taken to get rid of all the proactive assignments through the program and limit access to A few individuals”.
Some in that handful of people have been implicated in corruption.
Maselwa, who resigned in the NLC various many years in the past, continues to be implicated in corruption involving lottery resources. He acquired R4.three-million from lottery cash allotted to construct a library and museum advanced in Kuruman (see Taung Cultural Tunes and Arts Expo) which he used to construct a residence within an upmarket gated advancement in Pretoria. The residence is among numerous paid out for with lottery money which were frozen once the Asset Forfeiture Device acquired a preservation purchase in December 2022.
The politically-connected Nevhutanda, who was appointed as the NLC board chairperson by previous President Jacob Zuma in 2009 and was close to higher-ups within the ANC Management, previous NLC former Commissioner Thabang Mampane, and ex-chief working officer Phillemon Letwaba, have all been implicated while in the corruption which overcome the NLC on their view.
Also implicated are previous board associates William Huma, who resigned right after he was confronted with proof of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, that has considering that died.
Whenever a new administration, such as the total board and executive, took over at the NLC in late 2022 and early 2023, they found a “chaotic mess” in the documentation concerning proactive funding, A lot of which was paper-centered. Important paperwork ended up lacking. Documents held for safekeeping by document storage enterprise Metrofile were signed out and never returned.
The NLC was capable to Get better copies of some ตรวจ สลากกินแบ่ง รัฐบาล paperwork from its Mimecast electronic mail archiving technique as well as the laptops of their assistants and guidance employees.
News stories
In his one December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has famous with grave issue doable details stability breaches as well as the unauthorised use and/or dissemination of private info received on account of executing Formal features during the Fee by NLC personnel. The things to do are intended to undermine the integrity in the Commission though disrupting the efficient functions [in the NLC] and triggering insurmountable reputational damage to your Fee given that the custodian of private information and facts entrusted to it by its beneficiaries.”
His ask for for your SSA to investigate was supported within an affidavit by suspended NLC enterprise secretary, Nomphumelelo Nene.
Nene is currently facing a disciplinary inquiry just after she was unsuccessful in legal motion to put aside results of irregular expenditure on her view.
The goal of her affidavit, Nene explained, was “to record the gatherings which transpired referring to facts stability breaches in the Nationwide Lotteries Commission”.
She stated various news reviews which she claimed have been the final results of such “breaches” (see at the conclusion of this article).
Nene reported that a whistle-blower approached the NLC alleging that one of its employees, Sello Qhino, experienced “offered her classified NLC Info and persistently inspired her to supply the data to GroundUp”.
Qhino, who blew the whistle on the number of dodgy lottery-funded tasks in Kuruman following makes an attempt to lift the issue internally were being dismissed, was subsequently fired.
Referring to an eighteen November 2018 article from the Every day Dispatch about the misappropriation of Lottery money, Nene explained the NLC determined and after that suspended Zintle Rungqu. She was an worker from the NLC’s East London office, who was the companion plus the mother of whistleblower Mzukise Makatse’s three young children.
Rungqu and Makatse feel Rungqu was punished due to the fact Makatse blew the whistle. She was suspended and charged internally, While using the NLC paying out R470,000 on lawyers to stand for it, but was identified not responsible and allowed to return to work.
“The popular factor in these article content is [they contain] classified data concerning proactive funding tasks,” Nene explained in her affidavit.
When Runqu was suspended, Makatse moved out with the family house to take the heat off her and his youngsters. Experiencing homelessness, he moved into an Place of work within an empty manufacturing unit belonging to an acquaintance.
Each Makatse and Qhino are participating in an NLC reparation process intended to recognise the damage a number of people suffered with the palms with the NLC. Apologies and, sometimes, monetary compensation are predicted.
“Some people today were being actually impacted extremely negatively by this … This is absolutely painful,” NLC Commissioner Jodi Scholtz informed the Everyday Maverick final calendar year.
“I satisfied a few these people. It had been just so coronary heart-wrenching that their complete life have been turned the wrong way up,” reported Scholtz.
Amid Those people she met had been Qhino and Makatse.
Safe and sound System desired for whistleblowers
The SSA discovered the absence at enough time of a suitable channel for whistleblowers to report corruption led them to show on the media.
“Failure to have a dedicated anti-corruption channel will bring about employees presenting this sort of conditions outside of the NLC,” the SSA reported in its findings.
“Specified the magnitude of corruption in point out institutions, it stays important that it makes certain that the NLC complies with all stability prescripts and that its concentrate is on ensuring that illegal and irregular perform is adequately mitigated versus and by making certain an adequate channel for whistle-blowers to report untoward carry out without having remaining intimidated.”
It advised the NLC create a “safe channel” for workers to provide information on any “untoward activity” that will not avert or discourage staff members from blowing the whistle. A whistle-blowers coverage, dependant on the Shielded Disclosures Act twenty five of 2000, can be a necessity.”
Media experiences Nene stated
A 10 December 2017 report in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Well being and Health and fitness Centre in Limpopo. GroundUp has labored closely with Anton van Zyl, an investigative reporter and proprietor of the Limpopo Mirror, to expose NLC corruption. “The short article had aspects of knowledge not available in the public area, thus raising issue on inside Information and facts stability breaches. The allegations during the media were being independently investigated,” Nene reported. “However, workforce accountable for divulging categorised facts have but to generally be determined”;
A 28 January 2018 article revealed from the Dally Dispatch “citing a lot of allegations in the Limpopo Mirror short article published on 10 December 2017 and also a new allegation concerning a previous staff from the title of Mzukisi Makatse. He was charged and summarily dismissed for your risk induced on the organisation.”
A 16 November 2018 report while in the Lowvelder about the misappropriation of NLC resources involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, in spite of acquiring R27-million in lottery grants, the rehab has never been finished. “The Lowvelder article contained labeled details with regards to NLC policy, elevating further worries of interior details protection breaches,” Nene said in her affidavit. “The prima facie evidence with regard to these allegations did not warrant an impartial Investigation, on the other hand [it] highlighted the heightened information and facts security hazards inside the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.5-million grant to Denzhe Major Care, a hijacked NPO. Nene stated GroundUp had verified in its Tale that it had been determined by leaked NLC documents. This was Regardless of the NLC rejecting a PAIA (Marketing of Access to Information) ask for for specifics in regards to the venture, she said