Lottery bosses turned to Condition Safety Agency to research leaks

Previous Countrywide Lotteries Fee (NLC) board chairperson Alfred Nevhutanda requested the Point out Protection Company (SSA) in December 2018 to research the leaking of files that exposed lottery corruption.
The NLC’s organization secretary at some time detailed media experiences she explained were being based upon “stolen” information in an affidavit for your SSA.
The SSA did examine. It observed the data wasn't a make any difference of point out stability and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” to the media to reveal it.
A whole new board and management has given that taken more than the NLC and thus far have taken steps to end corruption at the establishment.
A State Stability Agency (SSA) investigation uncovered the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “supplied sufficient motive” for publicity with the media.

The probe into intended “information and facts safety breaches and sabotage of NLC functions” was undertaken after then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to research.

Here's

Nevhutanda’s letter,
an affidavit by currently suspended NLC corporation secretary Nompumelelo Nene supporting the ask for, and
the safety company’s “confidential” findings and proposals.
Nevhutanda requested the SSA to analyze the part of NLC employees during the alleged leaking of data, and Nene, in her affidavit identified certain media and stories that she claimed included these leaks.

Inside the letter outlining its results, the SSA instructed the NLC that while preserving state facts was “a lawful crucial aimed toward preserving the sovereignty and integrity of your point out” this only placed on properly labeled info.

Even though it didn't say so directly, the SSA conclusions implied the allegedly leaked facts did not slide into this group.

Substantially, the SSA created it very clear that the necessity to safeguard state data “won't reduce any individual from blowing the whistle on corruption or irregular or illegal activity”.

The SSA investigation discovered which the NLC information and facts linked to the alleged breach was “sensitive and privileged in nature, although not categorized regarding the prescripts from the Minimum Facts Safety Standards (Miss out on)”.

“The leakage in the relevant sensitive Formal NLC information on the media does not pose a risk to nationwide stability,” the SSA stated, including the impression of your breaches was reputational.

The SSA report discovered “no evidence of a factual and incriminating nature against any from the suspected NLC staff that would be determined from the knowledge and info interrogated”.

What's more, it said that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does provide sufficient motive to get this kind of uncovered while in the media”.

Conspiracy promises
In 2020, Nevhutanda instructed MPs in the course of a session of Parliament’s trade, field and Competitiveness portfolio committee that there was “a conspiracy” in which data “stolen” from the NLC was sent on the US, where by he claimed it was becoming offered to fund a smear campaign in opposition to the NLC.

He was repeating very similar statements he had Formerly created in Parliament, which provided advertisement hominem attacks on GroundUp which reporter but was thorough not to name either.

“I arrived below In this particular August residence last calendar year and described to honourable members that specifics of our beneficiaries has become stolen and put in one point out in America,” he instructed MPs.

“We called to the Point out Safety Agency to come back look into the issue for the reason that we are acquiring studies that our facts is building revenue for media platforms and journalists,” he said. “There has been speak, needless to say from a single source, one media, that spoke much about proactive-funding,” Nevhutanda said (referring to GroundUp), but didn't explain to MPs that the SSA investigation had been completed Pretty much a 12 months before.

Proactive funding was at the center of the looting with the lottery. It side-stepped the conventional grant process. The NLC could itself establish a venture to fund and appoint a non-financial gain organisation to supervise it.

Immediately after Nevhutanda first told Parliament in 2018 that he experienced requested the SSA to research the supposed breach, the South African Nationwide Editors Discussion board issued a press release saying that his remarks mirrored “an incredibly dangerous Frame of mind wherever the media is staying blamed to the NLC’s inherent troubles”.

“As an alternative to investigating why millions cannot be accounted for, the NLC has alternatively made an effort to Forged question over the integrity of the journalists involved and it has requested the SSA to investigate their resources.”

Proactive tasks produced top secret
Safety flaws discovered while in the NLC grant funding procedure in the course of the SSA’s investigation, show up to have been employed as an justification via the NLC to remove all proactive-funded projects from its central grants program.

“In or about 21 December 2019, the classification of all Professional-actively funding jobs was heightened to ‘key’ and initiatives had been removed from the grant funding procedure and maintained manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Data Office, Executive Supervisor Authorized so that you can safeguard [the] details,” Nene stated in her affidavit.

“There was a lot of inner dialogue, with a great deal of back and forth, about what to do to plug the alleged leaks”, a source, who was in a very senior posture within the NLC at the time, advised GroundUp. “Eventually, the choice was taken to remove all of the proactive assignments within the procedure and limit use of A few people today”.

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

Maselwa, who resigned with the NLC many a long time back, has long been implicated in corruption involving lottery cash. He obtained R4.three-million from lottery money allotted to create a library and museum complicated in Kuruman (see Taung Cultural Tunes and Arts Expo) which he utilized to build a house in an upmarket gated enhancement in Pretoria. The home is among quite a few paid for with lottery resources that were frozen after the Asset Forfeiture Unit attained a preservation buy in December 2022.

The politically-related Nevhutanda, who was appointed given that the NLC board chairperson by previous President Jacob Zuma in 2009 and was near to substantial-ups from the ANC leadership, previous NLC previous Commissioner Thabang Mampane, and ex-chief functioning officer Phillemon Letwaba, have all been implicated from the corruption which overcome the NLC on their 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 entire 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. Data files held for safekeeping by doc storage corporation Metrofile had been signed out and never ever returned.

The NLC was in the position to Get well copies of some ตรวจ หวย ผล สลากกินแบ่ง รัฐบาล งวด paperwork from its Mimecast electronic mail archiving system as well as the laptops of their assistants and help staff members.

Information studies
In his 1 December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has mentioned with grave concern possible information stability breaches plus the unauthorised use and/or dissemination of confidential info attained because of carrying out Formal functions during the Commission by NLC workforce. The routines are meant to undermine the integrity from the Fee while disrupting the powerful capabilities [from the NLC] and triggering insurmountable reputational hurt to the Commission because the custodian of non-public facts entrusted to it by its beneficiaries.”

His ask for for that SSA to analyze was supported within an affidavit by suspended NLC corporation secretary, Nomphumelelo Nene.

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

The objective of her affidavit, Nene stated, was “to record the gatherings which transpired associated with info stability breaches with the Countrywide Lotteries Commission”.

She stated different information reports which she claimed have been the results of these “breaches” (see at the end of this article).

Nene mentioned that a whistle-blower approached the NLC alleging that considered one of its employees, Sello Qhino, had “supplied her categorized NLC Data and persistently encouraged her to supply the information to GroundUp”.

Qhino, who blew the whistle on a number of dodgy lottery-funded initiatives in Kuruman immediately after makes an attempt to raise The difficulty internally were being overlooked, was subsequently fired.

Referring to an 18 November 2018 posting from the Day-to-day Dispatch regarding the misappropriation of Lottery resources, Nene explained that the NLC recognized and then suspended Zintle Rungqu. She was an personnel during the NLC’s East London Business office, who was the partner as well as the mom of whistleblower Mzukise Makatse’s a few children.

Rungqu and Makatse feel Rungqu was punished mainly because Makatse blew the whistle. She was suspended and billed internally, with the NLC spending R470,000 on lawyers to represent it, but was identified not responsible and permitted to return to operate.

“The widespread factor in these content articles is the fact [they require] labeled data associated with proactive funding tasks,” Nene said in her affidavit.

When Runqu was suspended, Makatse moved out of your family members residence to take the warmth off her and his children. Experiencing homelessness, he moved into an Office environment within an empty manufacturing unit belonging to a buddy.

Both Makatse and Qhino are taking part in an NLC reparation procedure meant to recognise the hurt lots of people suffered with the palms of the NLC. Apologies and, in some cases, monetary compensation are envisioned.

“Some people today had been actually affected very negatively by this … This is actually painful,” NLC Commissioner Jodi Scholtz instructed the Day-to-day Maverick previous yr.

“I achieved a handful of these folks. It was just so coronary heart-wrenching that their full lives have been turned the wrong way up,” reported Scholtz.

Amid Those people she fulfilled were being Qhino and Makatse.

Protected System needed for whistleblowers
The SSA located the absence at some time of an appropriate channel for whistleblowers to report corruption led them to show to the media.

“Failure to possess a dedicated anti-corruption channel will result in workers presenting these kinds of scenarios outside of the NLC,” the SSA explained in its results.

“Presented the magnitude of corruption in condition institutions, it continues to be critical that it makes sure that the NLC complies with all safety prescripts Which its aim is on guaranteeing that illegal and irregular carry out is sufficiently mitigated in opposition to and by making sure an satisfactory channel for whistle-blowers to report untoward conduct devoid of being intimidated.”

It encouraged which the NLC establish a “Protected channel” for employees to supply information on any “untoward action” that would not protect against or discourage employees from blowing the whistle. A whistle-blowers policy, determined by the Protected Disclosures Act twenty five of 2000, is really a requirement.”

Media reports Nene listed
A ten December 2017 report from the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and fitness and Exercise Centre in Limpopo. GroundUp has worked carefully with Anton van Zyl, an investigative reporter and operator on the Limpopo Mirror, to show NLC corruption. “The report experienced components of knowledge not available in the public domain, therefore boosting issue on internal Data protection breaches. The allegations in the media had been independently investigated,” Nene mentioned. “On the other hand, workforce accountable for divulging classified info have however to become discovered”;
A 28 January 2018 posting released with the Dally Dispatch “citing several allegations in the Limpopo Mirror posting revealed on ten December 2017 and also a new allegation referring to a previous staff with the identify of Mzukisi Makatse. He was charged and summarily dismissed to the danger brought on to your organisation.”
A sixteen November 2018 post while in the Lowvelder concerning the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, Regardless of obtaining R27-million in lottery grants, the rehab has not been concluded. “The Lowvelder report contained labeled data with regard to NLC coverage, elevating additional concerns of interior data safety breaches,” Nene said in her affidavit. “The prima facie evidence with regards to these allegations did not warrant an unbiased Investigation, even so [it] highlighted the heightened info protection dangers in the NLC.”
A 22 November 2018 GroundUp expose a few dodgy R27.5-million grant to Denzhe Major Treatment, a hijacked NPO. Nene said GroundUp had confirmed in its story that it had been based upon leaked NLC files. This was Regardless of the NLC rejecting a PAIA (Advertising of Usage of Information) request for particulars in regards to the job, she claimed

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