Previous National Lotteries Commission (NLC) board chairperson Alfred Nevhutanda questioned the Condition Safety Company (SSA) in December 2018 to research the leaking of files that exposed lottery corruption.
The NLC’s organization secretary at some time stated media reports she claimed have been dependant on “stolen” facts in an affidavit with the SSA.
The SSA did investigate. It located the information wasn't a matter of state protection and the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for that media to expose it.
A brand new board and administration has considering the fact that taken about the NLC and So far have taken steps to end corruption with the establishment.
A State Protection Company (SSA) investigation discovered which the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “supplied sufficient motive” for publicity via the media.
The probe into supposed “details protection breaches and sabotage of NLC functions” was carried out immediately after then-NLC board chairperson Alfred Nevhutanda wrote to the SSA in December 2018 requesting it to investigate.
Here's
Nevhutanda’s letter,
an affidavit by currently suspended NLC company secretary Nompumelelo Nene supporting the ask for, and
the safety agency’s “private” conclusions and suggestions.
Nevhutanda asked the SSA to analyze the purpose of NLC personnel within the alleged leaking of data, and Nene, in her affidavit recognized precise media and reviews that she claimed associated these leaks.
Within the letter outlining its results, the SSA instructed the NLC that while safeguarding point out information was “a legal essential targeted at preserving the sovereignty and integrity of the point out” this only placed on properly categorized details.
Although it didn't say so instantly, the SSA conclusions implied that the allegedly leaked info didn't slide into this class.
Considerably, the SSA made it apparent that the need to protect condition info “would not avert any person from blowing the whistle on corruption or irregular or criminal activity”.
The SSA investigation found the NLC information and facts involved in the alleged breach was “sensitive and privileged in character, but not labeled in terms of the prescripts in the Bare minimum Facts Stability Benchmarks (Pass up)”.
“The leakage of the relevant delicate Formal NLC data for the media will not pose a threat to countrywide safety,” the SSA mentioned, adding the effect of your breaches was reputational.
The SSA report observed “no evidence of a factual and incriminating mother nature towards any of your suspected NLC personnel that could be recognized from the data and data interrogated”.
What's more, it mentioned that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does give sufficient motive to acquire such exposed within the media”.
Conspiracy claims
In 2020, Nevhutanda informed 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 and facts “stolen” with the NLC was sent towards the US, where he claimed it absolutely was getting sold to fund a smear campaign against the NLC.
He was repeating very similar claims he had Beforehand created in Parliament, which bundled ad hominem attacks on GroundUp which reporter but was very careful not to name either.
“I came in this article in this August house previous calendar year and noted to honourable users that information about our beneficiaries has become stolen and set in one state in the usa,” he advised MPs.
“We called to the State Safety Company to return consider the issue for the reason that we are having reports that our facts is making dollars for media platforms and journalists,” he said. “There has been discuss, obviously from 1 resource, one particular media, that spoke much about proactive-funding,” Nevhutanda said (referring to GroundUp), but did not inform MPs the SSA investigation were completed almost a yr previously.
Proactive funding was at the center with the looting from the lottery. It aspect-stepped the traditional grant course of action. The NLC could by itself detect a project to fund and appoint a non-revenue organisation to oversee it.
Following Nevhutanda initial told Parliament in 2018 that he experienced requested the SSA to investigate the meant breach, the South African Nationwide Editors Discussion board issued an announcement stating that his remarks mirrored “a very harmful attitude wherever the media is becoming blamed for that NLC’s inherent difficulties”.
“Rather than investigating why hundreds of thousands can't be accounted for, the NLC has as a substitute made an effort to Forged question about the integrity with the journalists included and has asked the SSA to analyze their resources.”
Proactive initiatives manufactured mystery
Safety flaws identified in the NLC grant funding procedure over the SSA’s investigation, look to happen to be made use of as an justification through the NLC to eliminate all proactive-funded projects from its central grants process.
“In or about 21 December 2019, the classification of all pro-actively funding tasks was heightened to ‘top secret’ and tasks have been faraway from the grant funding procedure and maintained manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Office environment, Govt Supervisor Authorized so as to safeguard [the] facts,” Nene reported in her affidavit.
“There was loads of interior discussion, with a lot of back and forth, about how to proceed to plug the alleged leaks”, a supply, who was inside a senior position for the NLC at time, told GroundUp. “In the long run, the decision was taken to get rid of all of the proactive initiatives in the process and Restrict entry to A few people today”.
Some in that handful of individuals ended up implicated in corruption.
Maselwa, who resigned from the NLC a number of several years in the past, has long been implicated in corruption involving lottery resources. He received R4.three-million from lottery resources allotted to make a library and museum elaborate in Kuruman (see Taung Cultural New music and Arts Expo) which he made use of to make a household in an upmarket gated advancement in Pretoria. The property is among many paid for with lottery cash that were frozen once the Asset Forfeiture Unit received a preservation order in December 2022.
The politically-related Nevhutanda, who was appointed because the NLC board chairperson by previous President Jacob Zuma in 2009 and was close to substantial-ups within the ANC Management, previous NLC previous Commissioner Thabang Mampane, and ex-Main working officer Phillemon Letwaba, have all been implicated from the corruption which confused the NLC on their observe.
Also implicated are former board customers William Huma, who resigned just after he was confronted with proof of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have since died.
Whenever a new administration, including the entire board and govt, took around within the NLC in late 2022 and early 2023, they found out a “chaotic mess” during the documentation regarding proactive funding, Considerably of which was paper-based mostly. Key files 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 Recuperate copies of some ผล สลากกินแบ่ง paperwork from its Mimecast e-mail archiving method and the laptops of their assistants and support staff members.
News stories
In his 1 December 2018 letter, resolved to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has noted with grave worry possible data 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 staff members. The things to do are meant to undermine the integrity with the Fee even though disrupting the powerful functions [from the NLC] and producing insurmountable reputational damage on the Fee because the custodian of non-public details entrusted to it by its beneficiaries.”
His ask for for your SSA to investigate was supported in an affidavit by suspended NLC company secretary, Nomphumelelo Nene.
Nene is at present dealing with a disciplinary inquiry just after she was unsuccessful in lawful action to put aside findings of irregular expenditure on her watch.
The objective of her affidavit, Nene said, was “to record the situations which transpired associated with info safety breaches for the Countrywide Lotteries Commission”.
She detailed a variety of news stories which she claimed ended up the final results of such “breaches” (see at the end of this article).
Nene said that a whistle-blower approached the NLC alleging that one of its employees, Sello Qhino, experienced “presented her classified NLC Information and facts and persistently inspired her to supply the knowledge to GroundUp”.
Qhino, who blew the whistle with a series of dodgy lottery-funded projects in Kuruman after makes an attempt to lift the issue internally ended up ignored, was subsequently fired.
Referring to an 18 November 2018 short article inside the Each day Dispatch in regards to the misappropriation of Lottery cash, Nene said that the NLC identified then suspended Zintle Rungqu. She was an personnel from the NLC’s East London Business, who was the partner and also the mom of whistleblower Mzukise Makatse’s a few kids.
Rungqu and Makatse believe that Rungqu was punished simply because Makatse blew the whistle. She was suspended and charged internally, with the NLC spending R470,000 on attorneys to signify it, but was observed not guilty and allowed to return to operate.
“The common factor in these article content is [they require] categorised info associated with proactive funding initiatives,” Nene reported in her affidavit.
When Runqu was suspended, Makatse moved out of the loved ones residence to take the warmth off her and his children. Facing homelessness, he moved into an office within an empty factory belonging to an acquaintance.
Both of those Makatse and Qhino are participating in an NLC reparation procedure meant to recognise the harm some people endured at the palms of the NLC. Apologies and, sometimes, financial compensation are predicted.
“Some people have been really impacted quite negatively by this … This is really painful,” NLC Commissioner Jodi Scholtz informed the Day-to-day Maverick very last calendar year.
“I achieved two or three these individuals. It absolutely was just so coronary heart-wrenching that their complete lives have already been turned upside down,” said Scholtz.
Among the All those she satisfied were Qhino and Makatse.
Harmless platform needed for whistleblowers
The SSA uncovered the absence at time of an appropriate channel for whistleblowers to report corruption led them to turn into the media.
“Failure to have a committed anti-corruption channel will bring about personnel presenting such circumstances beyond the NLC,” the SSA reported in its findings.
“Provided the magnitude of corruption in condition establishments, it stays important that it makes certain that the NLC complies with all stability prescripts Which its aim is on making sure that unlawful and irregular carry out is adequately mitigated against and by ensuring an suitable channel for whistle-blowers to report untoward perform devoid of currently being intimidated.”
It advised that the NLC create a “Protected channel” for workers to offer info on any “untoward action” that may not avert or discourage workers from blowing the whistle. A whistle-blowers coverage, according to the Secured Disclosures Act twenty five of 2000, is actually a prerequisite.”
Media experiences Nene outlined
A 10 December 2017 report while in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Health and fitness Centre in Limpopo. GroundUp has worked closely with Anton van Zyl, an investigative reporter and owner from the Limpopo Mirror, to expose NLC corruption. “The article experienced features of data not readily available in the public domain, thus elevating concern on interior Information and facts protection breaches. The allegations within the media were independently investigated,” Nene claimed. “Even so, workers chargeable for divulging categorized information and facts have but to generally be recognized”;
A 28 January 2018 report posted from the Dally Dispatch “citing quite a few allegations within the Limpopo Mirror article printed on 10 December 2017 as well as a new allegation associated with a former worker through the name of Mzukisi Makatse. He was charged and summarily dismissed with the danger brought about on the organisation.”
A 16 November 2018 article during the Lowvelder with regard to the misappropriation of NLC cash involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Despite receiving R27-million in lottery grants, the rehab has not been finished. “The Lowvelder short article contained classified facts when it comes to NLC coverage, boosting more problems of interior info safety breaches,” Nene claimed in her affidavit. “The prima facie proof with regards to these allegations didn't warrant an impartial Investigation, having said that [it] highlighted the heightened information security risks throughout the NLC.”
A 22 November 2018 GroundUp expose a few dodgy R27.five-million grant to Denzhe Principal Care, a hijacked NPO. Nene stated GroundUp experienced confirmed in its story that it absolutely was based upon leaked NLC documents. This was Regardless of the NLC rejecting a PAIA (Marketing of Access to Facts) request for aspects with regards to the undertaking, she said