Former Nationwide Lotteries Fee (NLC) board chairperson Alfred Nevhutanda asked the Condition Protection Company (SSA) in December 2018 to analyze the leaking of files that uncovered lottery corruption.
The NLC’s organization secretary at time shown media stories she reported were being based on “stolen” information within an affidavit for that SSA.
The SSA did examine. It identified the information wasn't a make any difference of condition security and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for the media to show it.
A different board and management has since taken about the NLC and To this point have taken steps to end corruption with the establishment.
A State Protection Company (SSA) investigation discovered the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “delivered ample motive” for exposure through the media.
The probe into intended “facts stability breaches and sabotage of NLC functions” was carried out after then-NLC board chairperson Alfred Nevhutanda wrote for 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 ask for, and
the security company’s “confidential” conclusions and suggestions.
Nevhutanda questioned the SSA to research the function of NLC team while in the alleged leaking of data, and Nene, in her affidavit recognized unique media and studies that she claimed associated these leaks.
Within the letter outlining its results, the SSA explained to the NLC that whilst defending state facts was “a lawful very important directed at defending the sovereignty and integrity from the point out” this only applied to correctly categorised facts.
Although it didn't say so instantly, the SSA findings implied that the allegedly leaked information didn't slide into this group.
Significantly, the SSA designed it distinct that the need to secure state facts “won't avert any unique from blowing the whistle on corruption or irregular or criminal activity”.
The SSA investigation identified which the NLC details linked to the alleged breach was “sensitive and privileged in nature, although not classified when it comes to the prescripts in the Least Facts Protection Specifications (Overlook)”.
“The leakage of the relevant sensitive official NLC data towards the media isn't going to pose a threat to countrywide protection,” the SSA said, adding which the affect in the breaches was reputational.
The SSA report discovered “no proof of the factual and incriminating nature versus any in the suspected NLC employees that would be identified from the knowledge and facts interrogated”.
Furthermore, it mentioned that “the prevalence of alleged corruption and irregularities throughout the NLC and at its beneficiaries does offer sufficient motive to own these types of uncovered in the media”.
Conspiracy claims
In 2020, Nevhutanda told MPs in the course of a session of Parliament’s trade, sector and Level of competition portfolio committee that there was “a conspiracy” wherein facts “stolen” with the NLC was sent to the US, wherever he claimed it was being marketed to fund a smear marketing campaign in opposition to the NLC.
He was repeating comparable statements he experienced previously designed in Parliament, which integrated advertisement hominem assaults on GroundUp which reporter but was careful not to name both.
“I arrived below Within this August property very last calendar year and reported to honourable members that details about our beneficiaries is stolen and place in one state in the usa,” he explained to MPs.
“We termed over the Point out Safety Agency to come back investigate the make a difference simply because we've been receiving reviews that our information and facts is creating money for media platforms and journalists,” he claimed. “There has been converse, obviously from just one resource, a single media, that spoke Substantially about proactive-funding,” Nevhutanda stated (referring to GroundUp), but failed to explain to MPs the SSA investigation were concluded Pretty much a calendar year before.
Proactive funding was at the guts with the looting of your lottery. It facet-stepped the conventional grant approach. The NLC could by itself recognize a undertaking to fund and appoint a non-revenue organisation to supervise it.
Just after Nevhutanda initially advised Parliament in 2018 that he experienced requested the SSA to analyze the intended breach, the South African Countrywide Editors Forum issued a press release stating that his remarks mirrored “a particularly risky Mindset wherever the media is becoming blamed to the NLC’s inherent problems”.
“As an alternative to investigating why tens of millions can not be accounted for, the NLC has rather tried to cast question on the integrity of the journalists concerned and has requested the SSA to analyze their resources.”
Proactive jobs produced mystery
Protection flaws determined from the NLC grant funding procedure throughout the SSA’s investigation, appear to have been utilised being an excuse with the NLC to eliminate all proactive-funded initiatives from its central grants technique.
“In or about 21 December 2019, the classification of all pro-actively funding initiatives was heightened to ‘top secret’ and initiatives had been faraway from the grant funding system and taken care of manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Data Office environment, Executive Manager Lawful as a way to safeguard [the] info,” Nene said in her affidavit.
“There was a great deal of interior discussion, with lots of backwards and forwards, about how to proceed to plug the alleged leaks”, a supply, who was inside a senior situation within the NLC at the time, told GroundUp. “Eventually, the choice was taken to eliminate every one of the proactive initiatives in the system and limit usage of A few folks”.
Some in that handful of individuals ended up implicated in corruption.
Maselwa, who resigned with the NLC numerous yrs back, continues to be implicated in corruption involving lottery funds. He been given R4.three-million from lottery funds allocated to build a library and museum sophisticated in Kuruman (see Taung Cultural Tunes and Arts Expo) which he made use of to create a house in an upmarket gated enhancement in Pretoria. The home is among quite a few compensated for with lottery money which were frozen once the Asset Forfeiture Unit received a preservation order in December 2022.
The politically-linked Nevhutanda, who was appointed as the NLC board chairperson by previous President Jacob Zuma in 2009 and was near to substantial-ups while in the ANC Management, former NLC previous Commissioner Thabang Mampane, and ex-chief functioning officer Phillemon Letwaba, have all been implicated while in the corruption which overwhelmed the NLC on their own observe.
Also implicated are previous board associates William Huma, who resigned after he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who has due to the fact died.
When a new administration, including the total board and government, took around at the NLC in late 2022 and early 2023, they found a “chaotic mess” within the documentation referring to proactive funding, Considerably of which was paper-based mostly. Crucial documents had been lacking. Data files held for safekeeping by doc storage firm Metrofile had been signed out and never ever returned.
The NLC was in the position to Get well copies of some หวย หุ้น ช่อง 9 วัน นี้ paperwork from its Mimecast email archiving process as well as the laptops in their assistants and assistance staff members.
Information reports
In his 1 December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has observed with grave worry possible details protection breaches as well as unauthorised use and/or dissemination of private information obtained on account of performing Formal features while in the Fee by NLC staff. The actions are meant to undermine the integrity on the Commission though disrupting the powerful functions [on the NLC] and leading to insurmountable reputational hurt towards the Fee because the custodian of non-public information entrusted to it by its beneficiaries.”
His request with the SSA to research was supported within an affidavit by suspended NLC company secretary, Nomphumelelo Nene.
Nene is at the moment facing a disciplinary inquiry right after she was unsuccessful in authorized action to put aside conclusions of irregular expenditure on her watch.
The purpose of her affidavit, Nene stated, was “to document the functions which transpired associated with facts protection breaches for the Nationwide Lotteries Commission”.
She mentioned many information reviews which she claimed were the results of such “breaches” (see at the end of this informative article).
Nene stated that a whistle-blower approached the NLC alleging that one of its staff members, Sello Qhino, experienced “presented her categorised NLC Info and persistently encouraged her to deliver the information to GroundUp”.
Qhino, who blew the whistle on the series of dodgy lottery-funded assignments in Kuruman just after tries to lift The difficulty internally were being ignored, was subsequently fired.
Referring to an 18 November 2018 post while in the Day-to-day Dispatch with regard to the misappropriation of Lottery resources, Nene said the NLC recognized then suspended Zintle Rungqu. She was an worker in the NLC’s East London Business, who was the lover plus the mother of whistleblower Mzukise Makatse’s 3 children.
Rungqu and Makatse believe that Rungqu was punished simply because Makatse blew the whistle. She was suspended and billed internally, With all the NLC spending R470,000 on lawyers to depict it, but was found not guilty and allowed to return to work.
“The widespread Consider these article content is that [they include] categorized data associated with proactive funding assignments,” Nene mentioned in her affidavit.
When Runqu was suspended, Makatse moved out in the household property to take the warmth off her and his little ones. Going through homelessness, he moved into an Place of work within an empty manufacturing facility belonging to a pal.
Both Makatse and Qhino are taking part in an NLC reparation procedure intended to recognise the harm some people endured within the fingers with the NLC. Apologies and, in some cases, monetary compensation are anticipated.
“Some folks have been genuinely influenced incredibly negatively by this … This is de facto agonizing,” NLC Commissioner Jodi Scholtz advised the Day-to-day Maverick final year.
“I achieved two or three these people today. It absolutely was just so heart-wrenching that their entire life are already turned upside down,” reported Scholtz.
Amid These she achieved have been Qhino and Makatse.
Protected System required for whistleblowers
The SSA observed the absence at the time of a correct channel for whistleblowers to report corruption led them to show into the media.
“Failure to possess a dedicated anti-corruption channel will lead to personnel presenting these types of instances outside of the NLC,” the SSA said in its findings.
“Given the magnitude of corruption in point out institutions, it continues to be crucial that it ensures that the NLC complies with all stability prescripts and that its aim is on making certain that illegal and irregular conduct is adequately mitigated towards and by making certain an satisfactory channel for whistle-blowers to report untoward carry out without the need of being intimidated.”
It recommended which the NLC build a “Risk-free channel” for employees to provide info on any “untoward exercise” that may not protect against or discourage staff members from blowing the whistle. A whistle-blowers policy, dependant on the Protected Disclosures Act 25 of 2000, is actually a need.”
Media stories Nene outlined
A ten December 2017 report in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Wellbeing and Health and fitness Centre in Limpopo. GroundUp has worked intently with Anton van Zyl, an investigative reporter and proprietor with the Limpopo Mirror, to show NLC corruption. “The article experienced factors of knowledge not out there in the general public domain, therefore raising concern on interior Information security breaches. The allegations in the media were being independently investigated,” Nene reported. “Having said that, personnel to blame for divulging categorized information have nonetheless for being discovered”;
A 28 January 2018 report published through the Dally Dispatch “citing quite a few allegations through the Limpopo Mirror post released on ten December 2017 along with a new allegation associated with a previous staff by the name of Mzukisi Makatse. He was charged and summarily dismissed for the threat triggered on the organisation.”
A 16 November 2018 report while in the Lowvelder regarding the misappropriation of NLC funds involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Despite getting R27-million in lottery grants, the rehab hasn't been concluded. “The Lowvelder report contained classified information and facts regarding NLC plan, boosting even further worries of interior data stability breaches,” Nene mentioned in her affidavit. “The prima facie proof with regards to these allegations didn't warrant an independent Investigation, on the other hand [it] highlighted the heightened information stability dangers 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 experienced verified in its story that it was according to leaked NLC documents. This was Regardless of the NLC rejecting a PAIA (Marketing of Access to Information and facts) ask for for specifics in regards to the undertaking, she stated