Previous National Lotteries Commission (NLC) board chairperson Alfred Nevhutanda asked the Point out Protection Agency (SSA) in December 2018 to research the leaking of documents that exposed lottery corruption.
The NLC’s firm secretary at the time stated media studies she reported have been according to “stolen” information and facts in an affidavit to the SSA.
The SSA did examine. It uncovered the information was not a issue of condition safety and the “prevalence of alleged corruption and irregularities” gave “ample motive” for your media to expose it.
A fresh board and management has considering the fact that taken more than the NLC and To this point have taken measures to end corruption at the establishment.
A Condition Security Company (SSA) investigation located that the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “delivered sufficient motive” for publicity through the media.

The probe into meant “data security breaches and sabotage of NLC operations” was undertaken after then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to analyze.

Here's

Nevhutanda’s letter,
an affidavit by presently suspended NLC firm secretary Nompumelelo Nene supporting the ask for, and
the safety company’s “private” results and suggestions.
Nevhutanda requested the SSA to research the purpose of NLC team during the alleged leaking of data, and Nene, in her affidavit determined distinct media and studies that she claimed concerned these leaks.

Within the letter outlining its conclusions, the SSA explained to the NLC that when shielding condition info was “a authorized essential aimed at shielding the sovereignty and integrity in the point out” this only placed on appropriately labeled information.

Although it did not say so specifically, the SSA conclusions implied that the allegedly leaked details didn't slide into this category.

Noticeably, the SSA produced it distinct that the necessity to defend point out information and facts “will not reduce any specific from blowing the whistle on corruption or irregular or illegal activity”.

The SSA investigation found which the NLC details involved in the alleged breach was “delicate and privileged in mother nature, but not categorised when it comes to the prescripts with the Minimum amount Info Safety Specifications (Miss out on)”.

“The leakage with the applicable sensitive official NLC details on the media won't pose a threat to national protection,” the SSA explained, including which the influence of the breaches was reputational.

The SSA report identified “no proof of a factual and incriminating mother nature in opposition to any of your suspected NLC personnel that could be discovered from the data and data interrogated”.

In addition, it stated that “the prevalence of alleged corruption and irregularities throughout the NLC and at its beneficiaries does present ample motive to own these types of exposed from the media”.

Conspiracy statements
In 2020, Nevhutanda informed MPs through a session of Parliament’s trade, field and Competitors portfolio committee that there was “a conspiracy” in which facts “stolen” in the NLC was sent to your US, exactly where he claimed it was currently being bought to fund a smear marketing campaign versus the NLC.

He was repeating comparable claims he had previously produced in Parliament, which integrated ad hominem assaults on GroundUp which reporter but was watchful not to name either.

“I arrived listed here In this particular August property final year and described to honourable associates that information about our beneficiaries has long been stolen and place in a single state in the usa,” he informed MPs.

“We termed within the Point out Security Agency to come back take a look at the make a difference mainly because we are obtaining studies that our facts is generating cash for media platforms and journalists,” he mentioned. “There's been chat, not surprisingly from just one supply, one particular media, that spoke Considerably about proactive-funding,” Nevhutanda mentioned (referring to GroundUp), but failed to convey to MPs the SSA investigation were concluded Practically a year previously.

Proactive funding was at the heart with the looting in the lottery. It facet-stepped the normal grant course of action. The NLC could itself discover a venture to fund and appoint a non-financial gain organisation to supervise it.

Following Nevhutanda initially told Parliament in 2018 that he had asked the SSA to investigate the supposed breach, the South African National Editors Forum issued a statement stating that his remarks reflected “a particularly hazardous Frame of mind the place the media is currently being blamed to the NLC’s inherent difficulties”.

“As an alternative to investigating why hundreds of thousands can not be accounted for, the NLC has in its place attempted to Forged doubt on the integrity with the journalists involved and it has questioned the SSA to investigate their resources.”

Proactive projects manufactured secret
Safety flaws determined in the NLC grant funding program in the SSA’s investigation, appear to are already applied being an justification because of the NLC to eliminate all proactive-funded jobs from its central grants system.

“In or about 21 December 2019, the classification of all Professional-actively funding jobs was heightened to ‘top secret’ and initiatives have been removed from the grant funding system and managed manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Workplace, Govt Manager Lawful in order to safeguard [the] data,” Nene claimed in her affidavit.

“There was loads of inside discussion, with plenty of forwards and backwards, about how to proceed to plug the alleged leaks”, a resource, who was inside of a senior placement on the NLC at the time, explained to GroundUp. “In the long run, the choice was taken to remove the many proactive projects from your process and Restrict use of A few men and women”.

Some in that handful of individuals were being implicated in corruption.

Maselwa, who resigned from the NLC several many years back, is implicated in corruption involving lottery cash. He been given R4.three-million from lottery cash allocated to construct a library and museum complicated in Kuruman (see Taung Cultural Music and Arts Expo) which he utilized to construct a home within an upmarket gated improvement in Pretoria. The residence is among many paid out for with lottery money which were frozen after the Asset Forfeiture Unit acquired a preservation buy in December 2022.

The politically-related Nevhutanda, who was appointed since the NLC board chairperson by former President Jacob Zuma in 2009 and was near substantial-ups while in the ANC Management, previous NLC former Commissioner Thabang Mampane, and ex-Main operating officer Phillemon Letwaba, have all been implicated within the corruption which overwhelmed the NLC on their watch.

Also implicated are former board users William Huma, who resigned soon after he was confronted with proof of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, that has because died.

Any time a new administration, such as the complete board and government, took more than within the NLC in late 2022 and early 2023, they learned a “chaotic mess” inside the documentation relating to proactive funding, A lot of which was paper-primarily based. Key paperwork were being missing. Information held for safekeeping by doc storage enterprise Metrofile had been signed out and under no circumstances returned.

The NLC was in a position to Recuperate copies of some หวย ไทยรัฐ documents from its Mimecast e-mail archiving process as well as laptops in their assistants and support employees.

Information experiences
In his one December 2018 letter, resolved to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has observed with grave problem achievable details security breaches and the unauthorised use and/or dissemination of private details obtained due to executing Formal functions during the Commission by NLC staff members. The routines are meant to undermine the integrity from the Commission though disrupting the successful features [of your NLC] and leading to insurmountable reputational damage to your Fee as the custodian of personal details entrusted to it by its beneficiaries.”

His request to the SSA to research was supported within an affidavit by suspended NLC organization secretary, Nomphumelelo Nene.

Nene is now going through a disciplinary inquiry just after she was unsuccessful in lawful motion to put aside conclusions of irregular expenditure on her watch.

The purpose of her affidavit, Nene said, was “to report the functions which transpired associated with data security breaches for the National Lotteries Fee”.

She outlined many news experiences which she claimed have been the results of those “breaches” (see at the conclusion of this post).

Nene reported that a whistle-blower approached the NLC alleging that among its staff members, Sello Qhino, experienced “delivered her classified NLC Facts and persistently inspired her to deliver the data to GroundUp”.

Qhino, who blew the whistle over a series of dodgy lottery-funded tasks in Kuruman following attempts to lift The problem internally had been disregarded, was subsequently fired.

Referring to an eighteen November 2018 write-up from the Each day Dispatch with regard to the misappropriation of Lottery resources, Nene claimed which the NLC recognized and after that suspended Zintle Rungqu. She was an personnel in the NLC’s East London office, 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 charged internally, With all the NLC shelling out R470,000 on attorneys to depict it, but was located not guilty and permitted to return to operate.

“The frequent factor in these articles is that [they require] categorized info concerning proactive funding assignments,” Nene stated in her affidavit.

When Runqu was suspended, Makatse moved out with the loved ones dwelling to take the heat off her and his small children. Dealing with homelessness, he moved into an Office environment within an vacant factory belonging to a pal.

Equally Makatse and Qhino are taking part in an NLC reparation course of action meant to recognise the damage lots of people experienced within the palms with the NLC. Apologies and, sometimes, fiscal compensation are expected.

“Some individuals were being genuinely impacted very negatively by this … This is admittedly unpleasant,” NLC Commissioner Jodi Scholtz told the Each day Maverick final 12 months.

“I met a handful of these folks. It had been just so coronary heart-wrenching that their whole lives are turned upside down,” mentioned Scholtz.

Between Those people she met were Qhino and Makatse.

Protected platform essential for whistleblowers
The SSA located the absence at enough time of a suitable channel for whistleblowers to report corruption led them to turn for the media.

“Failure to have a focused anti-corruption channel will end in staff members presenting these situations outside of the NLC,” the SSA reported in its results.

“Given the magnitude of corruption in condition institutions, it stays essential that it makes certain that the NLC complies with all security prescripts and that its aim is on making certain that unlawful and irregular perform is adequately mitigated in opposition to and by making sure an sufficient channel for whistle-blowers to report untoward carry out devoid of remaining intimidated.”

It suggested that the NLC set up a “Risk-free channel” for employees to supply information on any “untoward activity” that will not stop or discourage staff from blowing the whistle. A whistle-blowers policy, according to the Protected Disclosures Act twenty five of 2000, is often a necessity.”

Media reviews Nene mentioned
A 10 December 2017 report while in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and fitness and Health and fitness Centre in Limpopo. GroundUp has labored closely with Anton van Zyl, an investigative reporter and operator with the Limpopo Mirror, to expose NLC corruption. “The posting had features of knowledge not obtainable in the general public area, thereby increasing issue on internal Facts stability breaches. The allegations within the media have been independently investigated,” Nene mentioned. “Having said that, workers chargeable for divulging categorised information have however to become identified”;
A 28 January 2018 write-up revealed via the Dally Dispatch “citing numerous allegations from the Limpopo Mirror post published on ten December 2017 as well as a new allegation relating to a former staff with the name of Mzukisi Makatse. He was charged and summarily dismissed with the risk prompted towards the organisation.”
A 16 November 2018 posting inside the Lowvelder about the misappropriation of NLC funds involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, Regardless of obtaining R27-million in lottery grants, the rehab has not been done. “The Lowvelder post contained categorized data regarding NLC coverage, elevating additional concerns of interior information and facts stability breaches,” Nene explained in her affidavit. “The prima facie evidence with regards to these allegations did not warrant an unbiased Investigation, on the other hand [it] highlighted the heightened facts safety dangers throughout the NLC.”
A 22 November 2018 GroundUp expose about a dodgy R27.five-million grant to Denzhe Primary Care, a hijacked NPO. Nene reported GroundUp had confirmed in its story that it had been dependant on leaked NLC documents. This was despite the NLC rejecting a PAIA (Marketing of Use of Details) ask for for facts with regard to the job, she said

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