Previous National Lotteries Commission (NLC) board chairperson Alfred Nevhutanda asked the Point out Safety Company (SSA) in December 2018 to research the leaking of documents that uncovered lottery corruption.
The NLC’s corporation secretary at enough time outlined media experiences she explained were being dependant on “stolen” data within an affidavit for the SSA.
The SSA did examine. It observed the data wasn't a matter of state safety and the “prevalence of alleged corruption and irregularities” gave “sufficient motive” to the media to reveal it.
A different board and management has considering the fact that taken over the NLC and thus far have taken actions to end corruption with the establishment.
A Point out Stability Agency (SSA) investigation discovered that the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “provided sufficient motive” for exposure with the media.
The probe into intended “information and facts stability breaches and sabotage of NLC functions” was carried out following then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to investigate.
Here's
Nevhutanda’s letter,
an affidavit by presently suspended NLC business secretary Nompumelelo Nene supporting the ask for, and
the security agency’s “private” results and recommendations.
Nevhutanda questioned the SSA to research the role of NLC staff members inside the alleged leaking of knowledge, and Nene, in her affidavit recognized certain media and studies that she claimed included these leaks.
In the letter outlining its conclusions, the SSA explained to the NLC that though shielding condition information was “a legal critical aimed at guarding the sovereignty and integrity from the condition” this only applied to appropriately categorised information and facts.
Even though it did not say so right, the SSA conclusions implied that the allegedly leaked facts didn't slide into this group.
Drastically, the SSA made it apparent that the need to guard condition information “would not protect against any specific from blowing the whistle on corruption or irregular or criminality”.
The SSA investigation identified that the NLC data involved with the alleged breach was “delicate and privileged in mother nature, although not categorised with regards to the prescripts with the Minimum Data Safety Criteria (Miss out on)”.
“The leakage with the appropriate sensitive Formal NLC facts towards the media does not pose a threat to countrywide protection,” the SSA explained, including which the affect with the breaches was reputational.
The SSA report observed “no proof of a factual and incriminating nature versus any on the suspected NLC employees which could be recognized from the knowledge and information interrogated”.
In addition it stated that “the prevalence of alleged corruption and irregularities inside the NLC and at its beneficiaries does deliver ample motive to get these types of uncovered during the media”.
Conspiracy promises
In 2020, Nevhutanda told MPs in the course of a session of Parliament’s trade, market and Levels of competition portfolio committee that there was “a conspiracy” wherein facts “stolen” through the NLC was sent into the US, wherever he claimed it was being marketed to fund a smear campaign from the NLC.
He was repeating related promises he had Earlier made in Parliament, which incorporated advertisement hominem assaults on GroundUp and this reporter but was mindful not to call possibly.
“I arrived here In this particular August house final year and claimed to honourable customers that details about our beneficiaries continues to be stolen and set in one state in the united states,” he advised MPs.
“We named within the State Stability Agency to come consider the make any difference mainly because we are acquiring experiences that our info is creating cash for media platforms and journalists,” he reported. “There was talk, not surprisingly from a single resource, a single media, that spoke Significantly about proactive-funding,” Nevhutanda reported (referring to GroundUp), but did not notify MPs which the SSA investigation were finished Nearly a calendar year previously.
Proactive funding was at the heart with the looting in the lottery. It aspect-stepped the conventional grant process. The NLC could alone establish a task to fund and appoint a non-financial gain organisation to oversee it.
Soon after Nevhutanda first told Parliament in 2018 that he experienced requested the SSA to research the supposed breach, the South African Nationwide Editors Discussion board issued an announcement saying that his remarks mirrored “an especially harmful attitude where by the media is staying blamed for your NLC’s inherent difficulties”.
“Rather than investigating why hundreds of thousands can not be accounted for, the NLC has rather made an effort to Forged doubt about the integrity of the journalists associated and it has requested the SSA to analyze their resources.”
Proactive initiatives made magic formula
Stability flaws determined inside the NLC grant funding method throughout the SSA’s investigation, look to happen to be employed being an excuse because of the NLC to remove all proactive-funded initiatives from its central grants technique.
“In or about 21 December 2019, the classification of all Professional-actively funding jobs was heightened to ‘secret’ and projects had been removed from the grant funding program and preserved manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Business office, Government Manager Authorized in an effort to safeguard [the] facts,” Nene reported in her affidavit.
“There was loads of inside discussion, with a lot of back and forth, about how to proceed to plug the alleged leaks”, a supply, who was inside a senior posture with the NLC at the time, advised GroundUp. “In the end, the decision was taken to eliminate every one of the proactive jobs from your process and limit entry to A few individuals”.
Some in that handful of individuals were being implicated in corruption.
Maselwa, who resigned from the NLC numerous several years back, has been implicated in corruption involving lottery funds. He received R4.three-million from lottery resources allotted to develop a library and museum elaborate in Kuruman (see Taung Cultural Music and Arts Expo) which he employed to create a household in an upmarket gated advancement in Pretoria. The property is among many paid for with lottery cash which were frozen following the Asset Forfeiture Device acquired a preservation get 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 inside the ANC Management, previous NLC previous Commissioner Thabang Mampane, and ex-chief running officer Phillemon Letwaba, have all been implicated within the corruption which overcome the NLC on their own look at.
Also implicated are previous board customers William Huma, who resigned after he was confronted with evidence of how he had profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who's got since died.
Whenever a new administration, including the whole board and executive, took more than at the NLC in late 2022 and early 2023, they discovered a “chaotic mess” in the documentation concerning proactive funding, much of which was paper-centered. Critical paperwork had been lacking. Files held for safekeeping by doc storage organization Metrofile were signed out and in no way returned.
The NLC was able to Get well copies of some ตรวจ ล้อ ต เต อ รี่ files from its Mimecast e mail archiving program and also the laptops in their assistants and assist workers.
Information studies
In his one December 2018 letter, resolved to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has noted with grave problem doable info protection breaches and the unauthorised use and/or dissemination of confidential data received on account of carrying out official functions while in the Fee by NLC workforce. The activities are intended to undermine the integrity in the Fee when disrupting the successful functions [of your NLC] and resulting in insurmountable reputational harm to your Fee as being the custodian of personal facts entrusted to it by its beneficiaries.”
His request for your SSA to research was supported in an affidavit by suspended NLC corporation secretary, Nomphumelelo Nene.
Nene is at present struggling with a disciplinary inquiry just after she was unsuccessful in lawful motion to set aside findings of irregular expenditure on her watch.
The goal of her affidavit, Nene claimed, was “to report the gatherings which transpired regarding data security breaches within the Nationwide Lotteries Fee”.
She detailed various news reviews which she claimed had been the outcomes of such “breaches” (see at the end of this informative article).
Nene said that a whistle-blower approached the NLC alleging that among its personnel, Sello Qhino, had “provided her labeled NLC Facts and persistently encouraged her to provide the data to GroundUp”.
Qhino, who blew the whistle on the number of dodgy lottery-funded jobs in Kuruman after attempts to lift the issue internally have been disregarded, was subsequently fired.
Referring to an eighteen November 2018 posting in the Day by day Dispatch in regards to the misappropriation of Lottery resources, Nene reported that the NLC determined then suspended Zintle Rungqu. She was an staff inside the NLC’s East London Office environment, who was the partner and the mom of whistleblower Mzukise Makatse’s three kids.
Rungqu and Makatse think Rungqu was punished due to the fact Makatse blew the whistle. She was suspended and charged internally, with the NLC shelling out R470,000 on lawyers to signify it, but was observed not responsible and permitted to return to work.
“The prevalent factor in these content is the fact [they involve] categorized facts concerning proactive funding projects,” Nene mentioned in her affidavit.
When Runqu was suspended, Makatse moved out of the spouse and children home to go ahead and take heat off her and his young children. Going through homelessness, he moved into an Business within an vacant factory belonging to a pal.
Both of those Makatse and Qhino are taking part in an NLC reparation approach intended to recognise the harm many people experienced with the arms with the NLC. Apologies and, in some instances, economic compensation are predicted.
“Some folks ended up really affected extremely negatively by this … This is really painful,” NLC Commissioner Jodi Scholtz informed the Day-to-day Maverick previous yr.
“I met a couple of these people. It was just so coronary heart-wrenching that their full life have been turned the other way up,” mentioned Scholtz.
Amongst those she achieved have been Qhino and Makatse.
Safe platform desired for whistleblowers
The SSA located the absence at the time of an appropriate channel for whistleblowers to report corruption led them to show for the media.
“Failure to have a devoted anti-corruption channel will end in employees presenting these kinds of situations outside of the NLC,” the SSA stated in its findings.
“Specified the magnitude of corruption in condition institutions, it continues to be essential that it ensures that the NLC complies with all stability prescripts and that its focus is on guaranteeing that illegal and irregular perform is adequately mitigated towards and by making sure an satisfactory channel for whistle-blowers to report untoward carry out without having remaining intimidated.”
It advised which the NLC build a “Protected channel” for workers to deliver info on any “untoward activity” that will not avoid or discourage staff members from blowing the whistle. A whistle-blowers plan, determined by the Secured Disclosures Act twenty five of 2000, is a need.”
Media experiences Nene stated
A ten December 2017 report from the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and fitness and Fitness Centre in Limpopo. GroundUp has labored closely with Anton van Zyl, an investigative reporter and operator on the Limpopo Mirror, to show NLC corruption. “The report experienced aspects of information not readily available in the public domain, therefore boosting problem on internal Facts safety breaches. The allegations within the media ended up independently investigated,” Nene said. “On the other hand, workers chargeable for divulging classified data have still to generally be discovered”;
A 28 January 2018 article printed with the Dally Dispatch “citing many allegations through the Limpopo Mirror short article posted on ten December 2017 plus a new allegation regarding a former staff because of the name of Mzukisi Makatse. He was billed and summarily dismissed for the danger triggered to the organisation.”
A 16 November 2018 posting while in the Lowvelder in regards to the misappropriation of NLC resources involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Regardless of obtaining R27-million in lottery grants, the rehab has not been concluded. “The Lowvelder short article contained categorised details with regard to NLC coverage, elevating more considerations of internal info stability breaches,” Nene claimed in her affidavit. “The prima facie evidence with regards to these allegations did not warrant an unbiased Investigation, on the other hand [it] highlighted the heightened data security pitfalls within the NLC.”
A 22 November 2018 GroundUp expose a few dodgy R27.5-million grant to Denzhe Key Care, a hijacked NPO. Nene explained GroundUp had confirmed in its story that it had been according to leaked NLC paperwork. This was Regardless of the NLC rejecting a PAIA (Advertising of Access to Facts) request for specifics about the undertaking, she explained
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