Previous National Lotteries Fee (NLC) board chairperson Alfred Nevhutanda asked the State Safety Agency (SSA) in December 2018 to research the leaking of paperwork that exposed lottery corruption.
The NLC’s company secretary at the time outlined media experiences she reported have been depending on “stolen” facts in an affidavit for the SSA.
The SSA did examine. It uncovered the data wasn't a issue of state safety and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for the media to reveal it.
A fresh board and administration has considering that taken more than the NLC and To date have taken steps to end corruption with the establishment.
A Point out Stability Company (SSA) investigation discovered the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “furnished enough motive” for publicity because of the media.
The probe into meant “information and facts stability breaches and sabotage of NLC functions” was undertaken soon after then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to research.
Here's
Nevhutanda’s letter,
an affidavit by now suspended NLC corporation secretary Nompumelelo Nene supporting the request, and
the safety agency’s “private” results and recommendations.
Nevhutanda requested the SSA to investigate the purpose of NLC workers in the alleged leaking of knowledge, and Nene, in her affidavit discovered certain media and experiences that she claimed involved these leaks.
While in the letter outlining its conclusions, the SSA informed the NLC that even though preserving state info was “a authorized critical targeted at preserving the sovereignty and integrity of the point out” this only placed on properly categorized data.
Although it didn't say so instantly, the SSA results implied that the allegedly leaked info didn't drop into this category.
Noticeably, the SSA designed it very clear that the necessity to defend state facts “will not reduce any specific from blowing the whistle on corruption or irregular or criminality”.
The SSA investigation identified the NLC information associated with the alleged breach was “sensitive and privileged in character, although not labeled in terms of the prescripts from the Minimal Data Protection Criteria (Miss out on)”.
“The leakage with the applicable delicate official NLC info to the media does not pose a danger to nationwide security,” the SSA claimed, including which the impression from the breaches was reputational.
The SSA report found “no evidence of the factual and incriminating nature from any from the suspected NLC workforce that might be discovered from the information and info interrogated”.
It also stated that “the prevalence of alleged corruption and irregularities inside the NLC and at its beneficiaries does present enough motive to obtain this kind of exposed within the media”.
Conspiracy claims
In 2020, Nevhutanda told MPs throughout a session of Parliament’s trade, business and Competitiveness portfolio committee that there was “a conspiracy” through which details “stolen” in the NLC was despatched for the US, exactly where he claimed it absolutely was currently being sold to fund a smear campaign against the NLC.
He was repeating related claims he had Earlier produced in Parliament, which involved ad hominem attacks on GroundUp and this reporter but was thorough not to call possibly.
“I arrived right here In this particular August dwelling last yr and documented to honourable associates that information regarding our beneficiaries has actually been stolen and set in one state in America,” he told MPs.
“We called on the Point out Protection Agency to return investigate the make a difference due to the fact we are having reports that our details is making funds for media platforms and journalists,” he explained. “There's been speak, needless to say from one particular supply, one media, that spoke A lot about proactive-funding,” Nevhutanda claimed (referring to GroundUp), but didn't explain to MPs which the SSA investigation had been finished Virtually a year previously.
Proactive funding was at the center of your looting on the lottery. It facet-stepped the traditional grant system. The NLC could alone detect a challenge to fund and appoint a non-profit organisation to supervise it.
Immediately after Nevhutanda 1st advised Parliament in 2018 that he had questioned the SSA to research the meant breach, the South African Nationwide Editors Discussion board issued an announcement saying that his remarks mirrored “a particularly perilous Frame of mind where the media is staying blamed for the NLC’s inherent challenges”.
“As opposed to investigating why thousands and thousands can not be accounted for, the NLC has as an alternative attempted to Solid doubt to the integrity of your journalists associated and it has questioned the SSA to research their sources.”
Proactive assignments manufactured mystery
Safety flaws recognized within the NLC grant funding method throughout the SSA’s investigation, appear to are actually applied as an justification through the NLC to eliminate all proactive-funded assignments from its central grants system.
“In or about 21 December 2019, the classification of all Professional-actively funding projects was heightened to ‘secret’ and tasks were being removed from the grant funding technique and managed manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Data Workplace, Executive Manager Lawful to be able to safeguard [the] data,” Nene said in her affidavit.
“There was lots of internal dialogue, with lots of forwards and backwards, about how to proceed to plug the alleged leaks”, a supply, who was within a senior place at the NLC at some time, instructed GroundUp. “Ultimately, the choice was taken to get rid of all of the proactive jobs through the method and Restrict usage of a handful of persons”.
Some in that handful of people ended up implicated in corruption.
Maselwa, who resigned in the NLC various years ago, has actually been implicated in corruption involving lottery funds. He acquired R4.3-million from lottery cash allotted to develop a library and museum elaborate in Kuruman (see Taung Cultural Music and Arts Expo) which he used to construct a home within an upmarket gated enhancement in Pretoria. The assets is among many paid for with lottery resources which were frozen after the Asset Forfeiture Device acquired a preservation get in December 2022.
The politically-linked Nevhutanda, who was appointed as the NLC board chairperson by previous President Jacob Zuma in 2009 and was close to significant-ups inside the ANC Management, former NLC former Commissioner Thabang Mampane, and ex-Main running officer Phillemon Letwaba, have all been implicated while in the corruption which overwhelmed the NLC on their own look at.
Also implicated are former board users William Huma, who resigned immediately after he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who has since died.
Every time a new administration, such as the total board and govt, took above within the NLC in late 2022 and early 2023, they identified a “chaotic mess” during the documentation referring to proactive funding, Considerably of which was paper-centered. Important documents have been missing. Information held for safekeeping by document storage firm Metrofile had been signed out and never ever returned.
The NLC was in the position to Get well copies of some สลาก กิน files from its Mimecast email archiving technique and the laptops of their assistants and help staff members.
Information stories
In his one December 2018 letter, dealt with to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has pointed out with grave issue probable information stability breaches as well as unauthorised use and/or dissemination of private data acquired as a result of performing Formal functions in the Fee by NLC workers. The activities are intended to undermine the integrity of the Commission while disrupting the productive functions [on the NLC] and creating insurmountable reputational damage into the Commission since the custodian of private information entrusted to it by its beneficiaries.”
His request to the SSA to research was supported within an affidavit by suspended NLC enterprise secretary, Nomphumelelo Nene.
Nene is presently dealing with a disciplinary inquiry soon after she was unsuccessful in authorized action to put aside conclusions of irregular expenditure on her check out.
The goal of her affidavit, Nene claimed, was “to report the functions which transpired associated with details security breaches within the Nationwide Lotteries Fee”.
She shown numerous information reviews which she claimed were being the outcome of such “breaches” (see at the end of this article).
Nene mentioned that a whistle-blower approached the NLC alleging that amongst its workers, Sello Qhino, had “provided her classified NLC Data and persistently encouraged her to supply the data to GroundUp”.
Qhino, who blew the whistle over a series of dodgy lottery-funded tasks in Kuruman immediately after tries to raise the issue internally had been dismissed, was subsequently fired.
Referring to an eighteen November 2018 report within the Each day Dispatch with regard to the misappropriation of Lottery funds, Nene claimed which the NLC recognized and then suspended Zintle Rungqu. She was an employee while in the NLC’s East London Office environment, who was the companion as well as mother of whistleblower Mzukise Makatse’s 3 small children.
Rungqu and Makatse feel Rungqu was punished for the reason that Makatse blew the whistle. She was suspended and charged internally, With all the NLC paying out R470,000 on legal professionals to represent it, but was discovered not guilty and permitted to return to operate.
“The prevalent Consider these content is usually that [they contain] labeled data associated with proactive funding tasks,” Nene said in her affidavit.
When Runqu was suspended, Makatse moved out of your relatives residence to go ahead and take heat off her and his small children. Going through homelessness, he moved into an Workplace in an vacant factory belonging to a buddy.
Both of those Makatse and Qhino are participating in an NLC reparation course of action meant to recognise the hurt a number of people experienced at the fingers on the NLC. Apologies and, sometimes, economical payment are envisioned.
“Some individuals had been actually impacted really negatively by this … This is absolutely unpleasant,” NLC Commissioner Jodi Scholtz informed the Every day Maverick last calendar year.
“I fulfilled several these folks. It absolutely was just so heart-wrenching that their whole lives happen to be turned the other way up,” mentioned Scholtz.
Among the People she achieved had been Qhino and Makatse.
Harmless platform necessary for whistleblowers
The SSA uncovered the absence at the time of a correct channel for whistleblowers to report corruption led them to turn to your media.
“Failure to possess a focused anti-corruption channel will result in staff presenting these kinds of conditions beyond the NLC,” the SSA claimed in its results.
“Supplied the magnitude of corruption in condition institutions, it remains crucial that it makes certain that the NLC complies with all protection prescripts and that its focus is on guaranteeing that illegal and irregular perform is adequately mitigated against and by guaranteeing an satisfactory channel for whistle-blowers to report untoward perform with no becoming intimidated.”
It proposed that the NLC create a “safe channel” for employees to offer info on any “untoward activity” that might not protect against or discourage employees from blowing the whistle. A whistle-blowers policy, determined by the Shielded Disclosures Act twenty five of 2000, is a requirement.”
Media reports Nene outlined
A 10 December 2017 report within the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Wellness and Physical fitness Centre in Limpopo. GroundUp has worked intently with Anton van Zyl, an investigative reporter and proprietor in the Limpopo Mirror, to expose NLC corruption. “The posting had components of data not readily available in the public area, thus elevating issue on inner Information protection breaches. The allegations in the media have been independently investigated,” Nene said. “Even so, employees liable for divulging labeled information have however to get determined”;
A 28 January 2018 short article posted by the Dally Dispatch “citing numerous allegations in the Limpopo Mirror post published on ten December 2017 in addition to a new allegation concerning a former employee by the identify of Mzukisi Makatse. He was charged and summarily dismissed with the menace triggered to the organisation.”
A 16 November 2018 article from the Lowvelder in regards to the misappropriation of NLC resources involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, Despite receiving R27-million in lottery grants, the rehab has never been concluded. “The Lowvelder article contained categorized facts in terms of NLC policy, elevating even more problems of inside information and facts stability breaches,” Nene reported in her affidavit. “The prima facie proof with regards to these allegations did not warrant an independent Investigation, nevertheless [it] highlighted the heightened info stability challenges in the NLC.”
A 22 November 2018 GroundUp expose about a dodgy R27.five-million grant to Denzhe Principal Care, a hijacked NPO. Nene claimed GroundUp had verified in its story that it had been according to leaked NLC files. This was despite the NLC rejecting a PAIA (Marketing of Usage of Details) ask for for particulars with regard to the undertaking, she claimed