Lottery bosses turned to Condition Safety Agency to research leaks

Former National Lotteries Commission (NLC) board chairperson Alfred Nevhutanda questioned the Point out Safety Company (SSA) in December 2018 to research the leaking of documents that exposed lottery corruption.
The NLC’s firm secretary at the time stated media reviews she reported have been according to “stolen” facts within an affidavit for your SSA.
The SSA did examine. It observed the data wasn't a matter of state security and that the “prevalence of alleged corruption and irregularities” gave “ample motive” for the media to show it.
A fresh board and management has because taken around the NLC and thus far have taken steps to end corruption in the institution.
A State Stability Company (SSA) investigation observed the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “presented ample motive” for publicity through the media.

The probe into supposed “information security breaches and sabotage of NLC functions” was undertaken following then-NLC board chairperson Alfred Nevhutanda wrote for the SSA in December 2018 requesting it to research.

Here's

Nevhutanda’s letter,
an affidavit by at present suspended NLC business secretary Nompumelelo Nene supporting the request, and
the safety company’s “confidential” results and proposals.
Nevhutanda asked the SSA to investigate the purpose of NLC workers from the alleged leaking of data, and Nene, in her affidavit discovered precise media and experiences that she claimed included these leaks.

During the letter outlining its findings, the SSA advised the NLC that while shielding point out information and facts was “a lawful essential aimed at guarding the sovereignty and integrity from the state” this only placed on properly categorised information and facts.

Although it did not say so specifically, the SSA results implied which the allegedly leaked data didn't slide into this group.

Appreciably, the SSA designed it very clear that the necessity to protect state details “doesn't reduce any particular person from blowing the whistle on corruption or irregular or criminal activity”.

The SSA investigation observed the NLC information associated with the alleged breach was “sensitive and privileged in character, although not labeled concerning the prescripts of your Bare minimum Info Security Benchmarks (Overlook)”.

“The leakage with the suitable delicate Formal NLC facts to your media won't pose a threat to nationwide protection,” the SSA said, adding the effects from the breaches was reputational.

The SSA report uncovered “no evidence of a factual and incriminating nature from any of your suspected NLC employees that may be recognized from the knowledge and facts interrogated”.

In addition, it said that “the prevalence of alleged corruption and irregularities throughout the NLC and at its beneficiaries does offer ample motive to possess these uncovered inside the media”.

Conspiracy promises
In 2020, Nevhutanda advised MPs for the duration of a session of Parliament’s trade, business and Competitors portfolio committee that there was “a conspiracy” through which information and facts “stolen” from your NLC was sent to your US, where by he claimed it was becoming offered to fund a smear campaign towards the NLC.

He was repeating equivalent claims he experienced Beforehand designed in Parliament, which involved advertisement hominem attacks on GroundUp which reporter but was watchful not to name possibly.

“I came right here in this August dwelling previous year and described to honourable members that specifics of our beneficiaries has become stolen and set in one condition in the usa,” he told MPs.

“We named on the State Safety Company to come explore the subject because we are acquiring studies that our data is making dollars for media platforms and journalists,” he reported. “There was converse, not surprisingly from just one supply, 1 media, that spoke A lot about proactive-funding,” Nevhutanda said (referring to GroundUp), but did not inform MPs which the SSA investigation had been concluded Virtually a calendar year earlier.

Proactive funding was at the center from the looting with the lottery. It side-stepped the normal grant course of action. The NLC could itself recognize a job to fund and appoint a non-profit organisation to oversee it.

Soon after Nevhutanda initially told Parliament in 2018 that he experienced questioned the SSA to investigate the supposed breach, the South African Nationwide Editors Discussion board issued a press release indicating that his remarks reflected “a particularly risky Angle where the media is becoming blamed for your NLC’s inherent troubles”.

“In lieu of investigating why thousands and thousands can't be accounted for, the NLC has alternatively tried to Forged question within the integrity of the journalists associated and has questioned the SSA to research their resources.”

Proactive assignments made secret
Stability flaws identified during the NLC grant funding system through the SSA’s investigation, surface to have already been utilised as an justification through the NLC to get rid of all proactive-funded jobs from its central grants system.

“In or about 21 December 2019, the classification of all Professional-actively funding initiatives was heightened to ‘mystery’ and initiatives have been removed from the grant funding procedure and preserved manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Information and facts Workplace, Executive Supervisor Authorized as a way to safeguard [the] information and facts,” Nene stated in her affidavit.

“There was a great deal of inner dialogue, with a lot of backwards and forwards, about how to proceed to plug the alleged leaks”, a supply, who was inside of a senior placement with the NLC at the time, advised GroundUp. “Eventually, the choice was taken to get rid of the many proactive jobs from your process and Restrict usage of a handful of men and women”.

Some in that handful of folks have been implicated in corruption.

Maselwa, who resigned within the NLC many several years back, has actually been implicated in corruption involving lottery cash. He obtained R4.three-million from lottery funds allotted to create a library and museum advanced in Kuruman (see Taung Cultural Songs and Arts Expo) which he employed to create a residence within an upmarket gated advancement in Pretoria. The property is one of various compensated for with lottery funds that were frozen once the Asset Forfeiture Device obtained a preservation order in December 2022.

The politically-related Nevhutanda, who was appointed as the NLC board chairperson by previous President Jacob Zuma in 2009 and was near to substantial-ups from the ANC leadership, former NLC previous Commissioner Thabang Mampane, and ex-chief functioning officer Phillemon Letwaba, have all been implicated during the corruption which overcome the NLC on their own enjoy.

Also implicated are former board users William Huma, who resigned soon after he was confronted with proof of how he had profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have due to the fact died.

Whenever a new administration, such as the full board and executive, took about at the NLC in late 2022 and early 2023, they uncovered a “chaotic mess” during the documentation relating to proactive funding, Considerably of which was paper-dependent. Vital files were being lacking. Documents held for safekeeping by document storage firm Metrofile had been signed out and by no means returned.

The NLC was capable of recover copies of some ตรวจ สลากกินแบ่ง รัฐบาล files from its Mimecast email archiving program plus the laptops in their assistants and guidance staff members.

Information studies
In his 1 December 2018 letter, addressed to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has noted with grave concern attainable information and facts security breaches along with the unauthorised use and/or dissemination of private information and facts obtained as a result of executing official functions inside the Commission by NLC staff. The routines are intended to undermine the integrity from the Commission while disrupting the effective capabilities [on the NLC] and triggering insurmountable reputational harm to the Fee because the custodian of private data entrusted to it by its beneficiaries.”

His request for that SSA to investigate was supported in an affidavit by suspended NLC company secretary, Nomphumelelo Nene.

Nene is at this time dealing with a disciplinary inquiry just after she was unsuccessful in legal action to put aside conclusions of irregular expenditure on her watch.

The purpose of her affidavit, Nene explained, was “to history the occasions which transpired associated with facts stability breaches within the Countrywide Lotteries Fee”.

She mentioned many information stories which she claimed ended up the final results of those “breaches” (see at the end of this short article).

Nene stated that a whistle-blower approached the NLC alleging that one of its workforce, Sello Qhino, had “provided her labeled NLC Info and persistently inspired her to provide the knowledge to GroundUp”.

Qhino, who blew the whistle on a series of dodgy lottery-funded jobs in Kuruman right after tries to lift the issue internally have been overlooked, was subsequently fired.

Referring to an eighteen November 2018 post while in the Each day Dispatch concerning the misappropriation of Lottery money, Nene mentioned the NLC recognized then suspended Zintle Rungqu. She was an personnel during the NLC’s East London office, who was the partner as well as mom of whistleblower Mzukise Makatse’s three children.

Rungqu and Makatse consider Rungqu was punished mainly because Makatse blew the whistle. She was suspended and charged internally, with the NLC paying out R470,000 on lawyers to characterize it, but was discovered not responsible and permitted to return to work.

“The widespread Think about these content articles is usually that [they include] categorized facts relating to proactive funding tasks,” Nene explained in her affidavit.

When Runqu was suspended, Makatse moved out with the family home to go ahead and take warmth off her and his small children. Struggling with homelessness, he moved into an Business within an empty factory belonging to an acquaintance.

Both equally Makatse and Qhino are participating in an NLC reparation procedure meant to recognise the harm some individuals experienced on the arms in the NLC. Apologies and, in some cases, fiscal compensation are anticipated.

“Some individuals have been really impacted incredibly negatively by this … This is actually unpleasant,” NLC Commissioner Jodi Scholtz instructed the Day by day Maverick last calendar year.

“I met a few these folks. It absolutely was just so coronary heart-wrenching that their entire life are already turned the wrong way up,” said Scholtz.

Between All those she met were being Qhino and Makatse.

Secure platform essential for whistleblowers
The SSA discovered the absence at time of an appropriate channel for whistleblowers to report corruption led them to turn on the media.

“Failure to possess a devoted anti-corruption channel will end in workers presenting these types of situations outside of the NLC,” the SSA said in its findings.

“Given the magnitude of corruption in point out institutions, it continues to be essential that it ensures that the NLC complies with all stability prescripts and that its focus is on ensuring that unlawful and irregular conduct is adequately mitigated against and by making certain an ample channel for whistle-blowers to report untoward perform devoid of getting intimidated.”

It proposed that the NLC set up a “Risk-free channel” for workers to offer info on any “untoward action” that may not prevent or discourage workers from blowing the whistle. A whistle-blowers policy, according to the Guarded Disclosures Act 25 of 2000, is a need.”

Media reviews Nene mentioned
A 10 December 2017 report within the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Well being and Health and fitness Centre in Limpopo. GroundUp has labored carefully with Anton van Zyl, an investigative reporter and operator of the Limpopo Mirror, to show NLC corruption. “The short article experienced components of information not obtainable in the general public area, thus increasing issue on internal Facts stability breaches. The allegations inside the media ended up independently investigated,” Nene reported. “Nevertheless, staff to blame for divulging categorised facts have still being discovered”;
A 28 January 2018 posting posted via the Dally Dispatch “citing various allegations with the Limpopo Mirror write-up published on ten December 2017 along with a new allegation concerning a former personnel because of the title of Mzukisi Makatse. He was billed and summarily dismissed for the risk prompted for the organisation.”
A sixteen November 2018 article inside the Lowvelder concerning the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, Regardless of getting R27-million in lottery grants, the rehab has not been accomplished. “The Lowvelder short article contained labeled facts concerning NLC coverage, elevating more concerns of internal info security breaches,” Nene reported in her affidavit. “The prima facie proof with regard to these allegations didn't warrant an impartial Investigation, nevertheless [it] highlighted the heightened information protection dangers throughout the NLC.”
A 22 November 2018 GroundUp expose about a dodgy R27.5-million grant to Denzhe Primary Care, a hijacked NPO. Nene claimed GroundUp experienced verified in its story that it was based upon leaked NLC files. This was Regardless of the NLC rejecting a PAIA (Advertising of Access to Details) request for information with regard to the project, she stated

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