Former Nationwide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda requested the Condition Stability Company (SSA) in December 2018 to investigate the leaking of documents that exposed lottery corruption.
The NLC’s enterprise secretary at some time listed media reviews she mentioned have been based upon “stolen” facts in an affidavit for your SSA.
The SSA did look into. It observed the knowledge was not a make any difference of condition security and the “prevalence of alleged corruption and irregularities” gave “ample motive” for that media to expose it.
A new board and management has because taken around the NLC and So far have taken actions to finish corruption in the institution.
A Condition Stability Agency (SSA) investigation identified the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “delivered ample motive” for publicity from the media.

The probe into supposed “info safety breaches and sabotage of NLC operations” was undertaken following then-NLC board chairperson Alfred Nevhutanda wrote towards the SSA in December 2018 requesting it to analyze.

Here's

Nevhutanda’s letter,
an affidavit by at this time suspended NLC corporation secretary Nompumelelo Nene supporting the request, and
the safety company’s “confidential” conclusions and suggestions.
Nevhutanda asked the SSA to research the function of NLC staff in the alleged leaking of knowledge, and Nene, in her affidavit identified precise media and reports that she claimed included these leaks.

In the letter outlining its results, the SSA instructed the NLC that while safeguarding point out information was “a legal crucial aimed toward protecting the sovereignty and integrity of the state” this only applied to properly classified information and facts.

Although it did not say so specifically, the SSA conclusions implied the allegedly leaked details did not slide into this group.

Significantly, the SSA manufactured it apparent that the need to shield point out info “doesn't avert any unique from blowing the whistle on corruption or irregular or criminality”.

The SSA investigation found that the NLC information linked to the alleged breach was “delicate and privileged in character, although not classified concerning the prescripts of your Minimum Details Stability Criteria (MISS)”.

“The leakage on the suitable delicate Formal NLC information towards the media doesn't pose a threat to countrywide protection,” the SSA mentioned, adding which the effect in the breaches was reputational.

The SSA report found “no proof of a factual and incriminating character against any with the suspected NLC personnel that might be discovered from the information and facts interrogated”.

Furthermore, it mentioned that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does give enough motive to have these uncovered in the media”.

Conspiracy promises
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 information “stolen” within the NLC was despatched on the US, in which he claimed it was staying offered to fund a smear marketing campaign from the NLC.

He was repeating equivalent promises he had Beforehand created in Parliament, which included advertisement hominem assaults on GroundUp which reporter but was mindful not to call possibly.

“I arrived right here With this August house final yr and described to honourable customers that specifics of our beneficiaries continues to be stolen and put in one state in the usa,” he explained to MPs.

“We termed on the Point out Protection Agency to return take a look at the subject mainly because we're obtaining experiences that our facts is producing revenue for media platforms and journalists,” he explained. “There has been chat, obviously from a person source, one particular media, that spoke much about proactive-funding,” Nevhutanda explained (referring to GroundUp), but didn't tell MPs that the SSA investigation had been accomplished Pretty much a year earlier.

Proactive funding was at the heart on the looting on the lottery. It aspect-stepped the conventional grant approach. The NLC could by itself recognize a undertaking to fund and appoint a non-earnings organisation to oversee it.

Just after Nevhutanda initially advised Parliament in 2018 that he had requested the SSA to investigate the meant breach, the South African Nationwide Editors Discussion board issued a statement indicating that his remarks reflected “an incredibly hazardous Angle in which the media is remaining blamed for your NLC’s inherent challenges”.

“Instead of investigating why thousands and thousands can't be accounted for, the NLC has instead tried to cast question on the integrity from the journalists involved and has asked the SSA to analyze their resources.”

Proactive initiatives designed solution
Safety flaws recognized in the NLC grant funding procedure in the SSA’s investigation, show up to have already been utilized being an excuse from 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 jobs was heightened to ‘top secret’ and initiatives were being faraway from the grant funding technique and maintained manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Workplace, Government Supervisor Lawful so as to safeguard [the] details,” Nene explained in her affidavit.

“There was loads of internal dialogue, with plenty of backwards and forwards, about what to do to plug the alleged leaks”, a source, who was inside a senior placement with the NLC at time, told GroundUp. “In the end, the choice was taken to eliminate the many proactive jobs in the system and Restrict entry to A few men and women”.

Some in that handful of people ended up implicated in corruption.

Maselwa, who resigned in the NLC various a long time back, is implicated in corruption involving lottery resources. He gained R4.three-million from lottery money allotted to build a library and museum complex in Kuruman (see Taung Cultural New music and Arts Expo) which he utilised to make a dwelling in an upmarket gated advancement in Pretoria. The assets is one of a number of paid for with lottery money which were frozen following the Asset Forfeiture Device received a preservation order in December 2022.

The politically-linked Nevhutanda, who was appointed since 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 in the corruption which overwhelmed the NLC on their enjoy.

Also implicated are previous board users William Huma, who resigned right 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 entire 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, much of which was paper-centered. Critical documents were being missing. Data files held for safekeeping by document storage enterprise Metrofile had been signed out and hardly ever returned.

The NLC was capable to Get better copies of some หวย ลาว วัน นี้ paperwork from its Mimecast email archiving procedure plus the laptops of their assistants and aid personnel.

News stories
In his one December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has pointed out with grave problem probable details stability breaches and also the unauthorised use and/or dissemination of confidential facts attained as a result of executing official features while in the Fee by NLC workforce. The activities are meant to undermine the integrity of your Fee when disrupting the helpful features [on the NLC] and leading to insurmountable reputational harm to the Fee since the custodian of personal information and facts entrusted to it by its beneficiaries.”

His request for your SSA to analyze was supported in an affidavit by suspended NLC enterprise secretary, Nomphumelelo Nene.

Nene is at the moment facing a disciplinary inquiry immediately after she was unsuccessful in legal action to put aside conclusions of irregular expenditure on her watch.

The objective of her affidavit, Nene claimed, was “to record the activities which transpired regarding information and facts security breaches in the National Lotteries Commission”.

She outlined different news reviews which she claimed had been the outcomes of these “breaches” (see at the conclusion of this information).

Nene claimed that a whistle-blower approached the NLC alleging that considered one of its personnel, Sello Qhino, had “delivered her labeled NLC Info and persistently inspired her to supply the data to GroundUp”.

Qhino, who blew the whistle on a series of dodgy lottery-funded projects in Kuruman just after makes an attempt to raise The problem internally had been disregarded, was subsequently fired.

Referring to an 18 November 2018 post within the Daily Dispatch about the misappropriation of Lottery cash, Nene said the NLC discovered after which suspended Zintle Rungqu. She was an personnel during the NLC’s East London Workplace, who was the spouse plus the mom of whistleblower Mzukise Makatse’s a few children.

Rungqu and Makatse think Rungqu was punished since Makatse blew the whistle. She was suspended and charged internally, Using the NLC spending R470,000 on legal professionals to depict it, but was identified not responsible and allowed to return to operate.

“The frequent Think about these articles or blog posts is [they contain] categorized information associated with proactive funding projects,” Nene mentioned in her affidavit.

When Runqu was suspended, Makatse moved out with the family members property to take the heat off her and his small children. Facing homelessness, he moved into an Workplace in an vacant manufacturing unit belonging to an acquaintance.

Both Makatse and Qhino are taking part in an NLC reparation process meant to recognise the damage a lot of people suffered in the arms with the NLC. Apologies and, in some instances, monetary payment are expected.

“Some persons had been definitely impacted incredibly negatively by this … This is absolutely distressing,” NLC Commissioner Jodi Scholtz informed the Day by day Maverick final yr.

“I fulfilled a couple of these people. It had been just so heart-wrenching that their complete lives are already turned the wrong way up,” claimed Scholtz.

Between All those she fulfilled have been Qhino and Makatse.

Secure System essential for whistleblowers
The SSA identified the absence at the time of a suitable channel for whistleblowers to report corruption led them to show for the media.

“Failure to possess a dedicated anti-corruption channel will end in workers presenting these types of circumstances beyond the NLC,” the SSA reported in its findings.

“Provided the magnitude of corruption in condition establishments, it stays very important that it ensures that the NLC complies with all security prescripts and that its target is on making sure that unlawful and irregular carry out is adequately mitigated towards and by making certain an satisfactory channel for whistle-blowers to report untoward conduct with out becoming intimidated.”

It suggested which the NLC create a “Risk-free channel” for employees to deliver information on any “untoward exercise” that might not avoid or discourage employees from blowing the whistle. A whistle-blowers coverage, according to the Shielded Disclosures Act 25 of 2000, is often a requirement.”

Media studies Nene mentioned
A 10 December 2017 report in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Health Centre in Limpopo. GroundUp has worked carefully with Anton van Zyl, an investigative reporter and proprietor of your Limpopo Mirror, to expose NLC corruption. “The report had aspects of knowledge not out there in the general public domain, thereby raising concern on internal Details security breaches. The allegations in the media had been independently investigated,” Nene explained. “Even so, staff answerable for divulging labeled details have however to generally be determined”;
A 28 January 2018 article released from the Dally Dispatch “citing many allegations within the Limpopo Mirror write-up released on ten December 2017 and a new allegation associated with a former worker with the title of Mzukisi Makatse. He was charged and summarily dismissed to the risk brought on for the organisation.”
A 16 November 2018 article in the Lowvelder in regards to the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Regardless of receiving R27-million in lottery grants, the rehab hasn't been accomplished. “The Lowvelder post contained categorised details when it comes to NLC plan, elevating further problems of inner information safety breaches,” Nene reported in her affidavit. “The prima facie proof regarding these allegations didn't warrant an unbiased Investigation, nevertheless [it] highlighted the heightened facts stability threats throughout the NLC.”
A 22 November 2018 GroundUp expose about a dodgy R27.5-million grant to Denzhe Main Treatment, a hijacked NPO. Nene said GroundUp experienced verified in its story that it absolutely was determined by leaked NLC documents. This was Regardless of the NLC rejecting a PAIA (Marketing of Access to Information) ask for for particulars regarding the project, she claimed