Lottery bosses turned to Condition Protection Company to analyze leaks

Lottery bosses turned to Condition Protection Company to analyze leaks

Blog Article

Previous Countrywide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda questioned the Point out Stability Company (SSA) in December 2018 to investigate the leaking of documents that uncovered lottery corruption.
The NLC’s organization secretary at time shown media experiences she said had been determined by “stolen” facts within an affidavit to the SSA.
The SSA did investigate. It discovered the data was not a make a difference of state protection and that the “prevalence of alleged corruption and irregularities” gave “enough motive” for that media to expose it.
A new board and management has because taken around the NLC and To this point have taken steps to finish corruption with the establishment.
A Point out Security Agency (SSA) investigation found the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “provided ample motive” for exposure with the media.

The probe into intended “information and facts stability breaches and sabotage of NLC functions” was undertaken following then-NLC board chairperson Alfred Nevhutanda wrote to your SSA in December 2018 requesting it to analyze.

Here's

Nevhutanda’s letter,
an affidavit by at this time suspended NLC organization secretary Nompumelelo Nene supporting the ask for, and
the safety agency’s “confidential” findings and recommendations.
Nevhutanda asked the SSA to investigate the function of NLC staff members while in the alleged leaking of information, and Nene, in her affidavit identified specific media and reviews that she claimed associated these leaks.

While in the letter outlining its conclusions, the SSA explained to the NLC that when protecting state information and facts was “a legal very important geared toward safeguarding the sovereignty and integrity with the condition” this only applied to appropriately classified info.

Although it didn't say so specifically, the SSA results implied that the allegedly leaked information didn't drop into this category.

Significantly, the SSA made it crystal clear that the need to protect condition information “won't avoid any individual from blowing the whistle on corruption or irregular or criminal activity”.

The SSA investigation found that the NLC facts involved in the alleged breach was “sensitive and privileged in nature, but not labeled in terms of the prescripts in the Least Information and facts Stability Standards (MISS)”.

“The leakage from the related sensitive Formal NLC facts on the media isn't going to pose a risk to national protection,” the SSA mentioned, adding which the affect from the breaches was reputational.

The SSA report found “no evidence of the factual and incriminating nature from any in the suspected NLC workforce that can be discovered from the information and knowledge interrogated”.

Additionally, it said that “the prevalence of alleged corruption and irregularities in the NLC and at its beneficiaries does deliver ample motive to possess these kinds of uncovered from the media”.

Conspiracy statements
In 2020, Nevhutanda instructed MPs all through a session of Parliament’s trade, field and Competitors portfolio committee that there was “a conspiracy” by which info “stolen” from the NLC was despatched for the US, in which he claimed it absolutely was currently being sold to fund a smear marketing campaign against the NLC.

He was repeating identical claims he experienced Beforehand created in Parliament, which included ad hominem assaults on GroundUp which reporter but was cautious not to name both.

“I arrived in this article On this August household past year and noted to honourable associates that details about our beneficiaries has actually been stolen and place in one state in America,” he told MPs.

“We called on the Point out Protection Agency to return check into the subject due to the fact we are having stories that our details is generating income for media platforms and journalists,” he stated. “There was speak, certainly from a single supply, one media, that spoke Considerably about proactive-funding,” Nevhutanda reported (referring to GroundUp), but didn't inform MPs that the SSA investigation had been accomplished Just about a calendar year before.

Proactive funding was at the guts of your looting of your lottery. It facet-stepped the conventional grant course of action. The NLC could by itself recognize a undertaking to fund and appoint a non-earnings organisation to supervise it.

Just after Nevhutanda initially advised Parliament in 2018 that he experienced requested the SSA to investigate the intended breach, the South African National Editors Discussion board issued a statement indicating that his remarks mirrored “an especially hazardous Angle in which the media is staying blamed for your NLC’s inherent issues”.

“Instead of investigating why tens of millions can't be accounted for, the NLC has rather made an effort to Forged doubt over the integrity from the journalists involved and it has asked the SSA to analyze their sources.”

Proactive projects designed mystery
Safety flaws determined within the NLC grant funding process over the SSA’s investigation, look to are actually applied as an justification via the NLC to get rid of all proactive-funded initiatives from its central grants process.

“In or about 21 December 2019, the classification of all pro-actively funding assignments was heightened to ‘secret’ and projects had been removed from the grant funding procedure and maintained manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Place of work, Executive Supervisor Legal in an effort to safeguard [the] data,” Nene stated in her affidavit.

“There was a lot of inner dialogue, with plenty of forwards and backwards, about what to do to plug the alleged leaks”, a supply, who was inside of a senior position for the NLC at the time, informed GroundUp. “In the end, the choice was taken to remove the many proactive initiatives with the technique and limit entry to A few persons”.

Some in that handful of men and women had been implicated in corruption.

Maselwa, who resigned in the NLC numerous years back, has long been implicated in corruption involving lottery resources. He been given R4.3-million from lottery resources allotted to construct a library and museum elaborate in Kuruman (see Taung Cultural Songs and Arts Expo) which he made use of to construct a dwelling within an upmarket gated growth in Pretoria. The residence is among numerous paid out for with lottery resources which were frozen once the Asset Forfeiture Device attained a preservation get in December 2022.

The politically-linked Nevhutanda, who was appointed because the NLC board chairperson by previous President Jacob Zuma in 2009 and was near significant-ups in the ANC Management, 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 view.

Also implicated are previous board members William Huma, who resigned following he was confronted with proof of how he had profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who's got considering that died.

Whenever a new administration, such as the entire board and executive, took about in the NLC in late 2022 and early 2023, they uncovered a “chaotic mess” from the documentation referring to proactive funding, Substantially of which was paper-based. Crucial paperwork had been missing. Information held for safekeeping by document storage business Metrofile were signed out and by no means returned.

The NLC was able to Get better copies of some หวย ออก documents from its Mimecast email archiving program along with the laptops in their assistants and assist personnel.

News reports
In his one December 2018 letter, resolved to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has famous with grave concern feasible info stability breaches along with the unauthorised use and/or dissemination of private data attained because of accomplishing official capabilities inside the Commission by NLC personnel. The pursuits are meant to undermine the integrity of the Commission even though disrupting the effective functions [of the NLC] and creating insurmountable reputational harm for the Commission since the custodian of non-public information entrusted to it by its beneficiaries.”

His ask for for that SSA to research was supported in an affidavit by suspended NLC enterprise secretary, Nomphumelelo Nene.

Nene is now struggling with a disciplinary inquiry just after she was unsuccessful in authorized motion to set aside conclusions of irregular expenditure on her look at.

The purpose of her affidavit, Nene claimed, was “to document the gatherings which transpired referring to facts security breaches for the Countrywide Lotteries Fee”.

She listed different news studies which she claimed ended up the effects of such “breaches” (see at the conclusion of this short article).

Nene mentioned that a whistle-blower approached the NLC alleging that among its staff, Sello Qhino, had “provided her classified NLC Information and facts and persistently inspired her to provide the data to GroundUp”.

Qhino, who blew the whistle on the number of dodgy lottery-funded initiatives in Kuruman following tries to boost The difficulty internally were being overlooked, was subsequently fired.

Referring to an 18 November 2018 report in the Everyday Dispatch about the misappropriation of Lottery money, Nene mentioned the NLC determined and then suspended Zintle Rungqu. She was an employee in the NLC’s East London Workplace, who was the spouse plus the mom of whistleblower Mzukise Makatse’s 3 children.

Rungqu and Makatse feel Rungqu was punished mainly because Makatse blew the whistle. She was suspended and charged internally, With all the NLC paying R470,000 on attorneys to symbolize it, but was located not guilty and allowed to return to operate.

“The widespread Think about these content is [they require] classified data relating to proactive funding jobs,” Nene stated in her affidavit.

When Runqu was suspended, Makatse moved out from the family members dwelling to go ahead and take heat off her and his young children. Struggling with homelessness, he moved into an Workplace in an empty manufacturing facility belonging to a friend.

Equally Makatse and Qhino are taking part in an NLC reparation system intended to recognise the hurt some individuals suffered within the palms of your NLC. Apologies and, in some instances, monetary payment are predicted.

“Some men and women have been truly impacted very negatively by this … This is absolutely agonizing,” NLC Commissioner Jodi Scholtz instructed the Everyday Maverick past year.

“I satisfied two or three these folks. It absolutely was just so coronary heart-wrenching that their entire lives happen to be turned upside down,” mentioned Scholtz.

Between those she met ended up Qhino and Makatse.

Safe System wanted for whistleblowers
The SSA observed the absence at enough time of a correct channel for whistleblowers to report corruption led them to show to your media.

“Failure to have a focused anti-corruption channel will cause staff presenting these kinds of instances beyond the NLC,” the SSA said in its results.

“Offered the magnitude of corruption in point out institutions, it continues to be critical that it makes certain that the NLC complies with all security prescripts and that its concentration is on making sure that unlawful and irregular carry out is adequately mitigated from and by guaranteeing an suitable channel for whistle-blowers to report untoward perform without the need of being intimidated.”

It recommended which the NLC create a “Protected channel” for workers to deliver information on any “untoward activity” that may not protect against or discourage personnel from blowing the whistle. A whistle-blowers policy, according to the Protected Disclosures Act twenty five of 2000, is actually a need.”

Media reviews Nene stated
A 10 December 2017 report while in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Health Centre in Limpopo. GroundUp has labored intently with Anton van Zyl, an investigative reporter and owner from the Limpopo Mirror, to expose NLC corruption. “The write-up had factors of knowledge not out there in the general public domain, thereby boosting issue on interior Information security breaches. The allegations in the media were independently investigated,” Nene reported. “Having said that, personnel answerable for divulging classified information have still to become determined”;
A 28 January 2018 report published because of the Dally Dispatch “citing several allegations with the Limpopo Mirror article revealed on ten December 2017 and also a new allegation relating to a former worker with the title of Mzukisi Makatse. He was charged and summarily dismissed to the danger caused to the organisation.”
A sixteen November 2018 posting during the Lowvelder regarding the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has noted how, Despite obtaining R27-million in lottery grants, the rehab has never been concluded. “The Lowvelder write-up contained categorized information and facts concerning NLC policy, boosting even more concerns of inner information and facts safety breaches,” Nene claimed in her affidavit. “The prima facie proof with regard to these allegations did not warrant an impartial Investigation, however [it] highlighted the heightened details safety challenges in the NLC.”
A 22 November 2018 GroundUp expose about a dodgy R27.five-million grant to Denzhe Main Care, a hijacked NPO. Nene said GroundUp experienced verified in its Tale that it had been determined by leaked NLC documents. This was despite the NLC rejecting a PAIA (Promotion of Usage of Information) ask for for aspects concerning the project, she reported