Previous Countrywide Lotteries Fee (NLC) board chairperson Alfred Nevhutanda requested the Point out Security Agency (SSA) in December 2018 to investigate the leaking of documents that uncovered lottery corruption.
The NLC’s company secretary at some time mentioned media reviews she claimed were based upon “stolen” data within an affidavit with the SSA.
The SSA did examine. It found the information wasn't a subject of point out security and the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for the media to expose it.
A whole new board and administration has because taken in excess of the NLC and To this point have taken steps to end corruption within the institution.
A Point out Protection Company (SSA) investigation identified which the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “presented enough motive” for exposure by the media.
The probe into intended “information and facts protection breaches and sabotage of NLC functions” was undertaken after then-NLC board chairperson Alfred Nevhutanda wrote into the SSA in December 2018 requesting it to research.
Here's
Nevhutanda’s letter,
an affidavit by at this time suspended NLC enterprise secretary Nompumelelo Nene supporting the ask for, and
the safety agency’s “confidential” conclusions and suggestions.
Nevhutanda requested the SSA to research the job of NLC staff from the alleged leaking of knowledge, and Nene, in her affidavit identified particular media and reports that she claimed included these leaks.
Within the letter outlining its results, the SSA instructed the NLC that whilst protecting condition info was “a lawful essential directed at guarding the sovereignty and integrity with the state” this only applied to properly classified details.
Although it did not say so straight, the SSA results implied that the allegedly leaked data did not fall into this classification.
Significantly, the SSA built it crystal clear that the need to defend state information and facts “would not avoid any personal from blowing the whistle on corruption or irregular or criminality”.
The SSA investigation located that the NLC details linked to the alleged breach was “sensitive and privileged in mother nature, although not categorised regarding the prescripts of the Minimum amount Details Safety Requirements (Overlook)”.
“The leakage with the applicable delicate official NLC information and facts into the media isn't going to pose a risk to national protection,” the SSA explained, including the effect of your breaches was reputational.
The SSA report found “no proof of the factual and incriminating mother nature against any of your suspected NLC personnel which could be identified from the information and facts interrogated”.
In addition it mentioned that “the prevalence of alleged corruption and irregularities inside the NLC and at its beneficiaries does offer sufficient motive to acquire these types of exposed while in the media”.
Conspiracy promises
In 2020, Nevhutanda told MPs during a session of Parliament’s trade, marketplace and Competitiveness portfolio committee that there was “a conspiracy” where facts “stolen” in the NLC was despatched for the US, in which he claimed it was becoming offered to fund a smear campaign versus the NLC.
He was repeating comparable statements he had Beforehand designed in Parliament, which incorporated ad hominem attacks on GroundUp which reporter but was watchful not to call either.
“I came in this article in this August household previous yr and noted to honourable members that details about our beneficiaries has become stolen and put in a single point out in America,” he advised MPs.
“We termed over the Condition Safety Company to come back investigate the subject mainly because we're obtaining stories that our details is building cash for media platforms and journalists,” he said. “There's been speak, needless to say from one source, one particular media, that spoke Significantly about proactive-funding,” Nevhutanda reported (referring to GroundUp), but failed to explain to MPs which the SSA investigation had been finished Pretty much a 12 months earlier.
Proactive funding was at the guts of your looting of your lottery. It facet-stepped the traditional grant procedure. The NLC could itself discover a undertaking to fund and appoint a non-income organisation to supervise it.
Immediately after Nevhutanda very first told Parliament in 2018 that he had questioned the SSA to investigate the intended breach, the South African Countrywide Editors Forum issued a statement declaring that his remarks reflected “a very perilous Frame of mind where by the media is staying blamed with the NLC’s inherent issues”.
“Rather than investigating why thousands and thousands can not be accounted for, the NLC has rather tried to cast question within the integrity with the journalists involved and has questioned the SSA to research their resources.”
Proactive assignments created secret
Safety flaws determined in the NLC grant funding technique in the SSA’s investigation, seem to are already made use of being an justification with the NLC to remove all proactive-funded initiatives from its central grants system.
“In or about 21 December 2019, the classification of all pro-actively funding initiatives was heightened to ‘top secret’ and projects were being faraway from the grant funding method and maintained manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Office, Executive Supervisor Authorized as a way to safeguard [the] info,” Nene reported in her affidavit.
“There was loads of inner dialogue, with a lot of forwards and backwards, about what to do to plug the alleged leaks”, a supply, who was in a senior posture in the NLC at enough time, told GroundUp. “In the long run, the choice was taken to eliminate all the proactive tasks with the system and Restrict usage of A few persons”.
Some in that handful of men and women ended up implicated in corruption.
Maselwa, who resigned through the NLC various several years ago, has long been implicated in corruption involving lottery cash. He acquired R4.three-million from lottery cash allotted to create a library and museum complicated in Kuruman (see Taung Cultural New music and Arts Expo) which he employed to make a residence within an upmarket gated improvement in Pretoria. The residence is one of various paid out for with lottery funds which were frozen following the Asset Forfeiture Device acquired a preservation buy in December 2022.
The politically-connected Nevhutanda, who was appointed given that the NLC board chairperson by former President Jacob Zuma in 2009 and was near to higher-ups during the ANC leadership, former NLC previous Commissioner Thabang Mampane, and ex-Main working officer Phillemon Letwaba, have all been implicated inside the corruption which confused the NLC on their view.
Also implicated are former board customers William Huma, who resigned following he was confronted with proof of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who's got considering the fact that died.
When a new administration, such as the total board and executive, took more than in the NLC in late 2022 and early 2023, they learned a “chaotic mess” while in the documentation referring to proactive funding, A great deal of which was paper-based mostly. Critical files were lacking. Data files held for safekeeping by document storage business Metrofile had been signed out and by no means returned.
The NLC was in a position to Get well copies of some ตัว หวย documents from its Mimecast electronic mail archiving technique plus the laptops in their assistants and assistance personnel.
Information studies
In his 1 December 2018 letter, resolved to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has famous with grave issue feasible information and facts stability breaches and the unauthorised use and/or dissemination of confidential facts received due to doing official capabilities from the Commission by NLC workforce. The things to do are intended to undermine the integrity of your Commission whilst disrupting the efficient features [from the NLC] and producing insurmountable reputational harm to your Fee given that the custodian of personal facts entrusted to it by its beneficiaries.”
His request with the SSA to investigate was supported in an affidavit by suspended NLC corporation secretary, Nomphumelelo Nene.
Nene is at this time struggling with a disciplinary inquiry following she was unsuccessful in lawful motion to set aside conclusions of irregular expenditure on her look at.
The purpose of her affidavit, Nene said, was “to history the functions which transpired referring to information protection breaches in the Nationwide Lotteries Fee”.
She detailed many news stories which she claimed were the outcome of such “breaches” (see at the conclusion of this text).
Nene said that a whistle-blower approached the NLC alleging that among its staff members, Sello Qhino, experienced “furnished her categorised NLC Information and facts and persistently inspired her to offer the knowledge to GroundUp”.
Qhino, who blew the whistle on the series of dodgy lottery-funded projects in Kuruman after tries to boost the issue internally were being overlooked, was subsequently fired.
Referring to an 18 November 2018 posting while in the Everyday Dispatch concerning the misappropriation of Lottery resources, Nene mentioned which the NLC identified after which you can suspended Zintle Rungqu. She was an worker from the NLC’s East London Workplace, who was the lover and the mother of whistleblower Mzukise Makatse’s three young children.
Rungqu and Makatse believe that Rungqu was punished because Makatse blew the whistle. She was suspended and billed internally, Using the NLC investing R470,000 on lawyers to signify it, but was discovered not responsible and permitted to return to work.
“The common Think about these article content is the fact [they entail] classified information and facts regarding proactive funding tasks,” Nene reported in her affidavit.
When Runqu was suspended, Makatse moved out on the family household to go ahead and take heat off her and his little ones. Facing homelessness, he moved into an Business office within an vacant manufacturing unit belonging to a friend.
Each Makatse and Qhino are participating in an NLC reparation method intended to recognise the harm a number of people endured on the fingers from the NLC. Apologies and, in some cases, financial payment are envisioned.
“Some persons ended up actually affected pretty negatively by this … This is de facto unpleasant,” NLC Commissioner Jodi Scholtz instructed the Day by day Maverick last year.
“I satisfied several these persons. It absolutely was just so coronary heart-wrenching that their complete lives have already been turned the wrong way up,” stated Scholtz.
Amongst those she achieved ended up Qhino and Makatse.
Risk-free platform desired for whistleblowers
The SSA observed the absence at time of a proper channel for whistleblowers to report corruption led them to turn to the media.
“Failure to possess a dedicated anti-corruption channel will cause workers presenting these circumstances beyond the NLC,” the SSA said in its findings.
“Supplied the magnitude of corruption in point out institutions, it remains critical that it makes certain that the NLC complies with all stability prescripts Which its aim is on ensuring that unlawful and irregular perform is sufficiently mitigated from and by making sure an suitable channel for whistle-blowers to report untoward perform devoid of staying intimidated.”
It encouraged the NLC establish a “safe channel” for workers to supply info on any “untoward action” that would not reduce or discourage personnel from blowing the whistle. A whistle-blowers policy, based upon the Guarded Disclosures Act twenty five of 2000, is really a prerequisite.”
Media reports Nene shown
A ten December 2017 report within the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Wellbeing and Health and fitness Centre in Limpopo. GroundUp has worked closely with Anton van Zyl, an investigative reporter and proprietor on the Limpopo Mirror, to reveal NLC corruption. “The posting experienced features of data not out there in the general public area, therefore raising concern on interior Information and facts stability breaches. The allegations from the media have been independently investigated,” Nene mentioned. “Nonetheless, workers responsible for divulging labeled details have yet being identified”;
A 28 January 2018 short article printed via the Dally Dispatch “citing several allegations with the Limpopo Mirror post revealed on ten December 2017 in addition to a new allegation referring to a former worker with the title of Mzukisi Makatse. He was charged and summarily dismissed for that menace brought about into the organisation.”
A sixteen November 2018 short article from the Lowvelder with regard to the misappropriation of NLC resources involving a lottery-funded drug rehabilitation centre. GroundUp has described how, Regardless of receiving R27-million in lottery grants, the rehab hasn't been accomplished. “The Lowvelder post contained categorised facts with regards to NLC plan, elevating further problems of internal data stability breaches,” Nene mentioned in her affidavit. “The prima facie proof with regards to these allegations did not warrant an independent Investigation, on the other hand [it] highlighted the heightened information security pitfalls in the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.five-million grant to Denzhe Key Treatment, a hijacked NPO. Nene claimed GroundUp experienced confirmed in its story that it was based on leaked NLC files. This was Regardless of the NLC rejecting a PAIA (Marketing of Entry to Details) request for aspects about the challenge, she claimed
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