Former National Lotteries Fee (NLC) board chairperson Alfred Nevhutanda asked the State Protection Company (SSA) in December 2018 to analyze the leaking of documents that exposed lottery corruption.
The NLC’s business secretary at enough time outlined media experiences she explained were being based upon “stolen” information and facts within an affidavit for that SSA.
The SSA did examine. It identified the information wasn't a subject of state security and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” for your media to expose it.
A completely 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 Protection Agency (SSA) investigation observed that the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “furnished sufficient motive” for publicity via the media.
The probe into intended “information and facts security breaches and sabotage of NLC operations” was undertaken following then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to research.
Here is
Nevhutanda’s letter,
an affidavit by presently suspended NLC business secretary Nompumelelo Nene supporting the request, and
the safety agency’s “private” results and recommendations.
Nevhutanda questioned the SSA to research the function of NLC staff in the alleged leaking of knowledge, and Nene, in her affidavit identified precise media and reviews that she claimed included these leaks.
Within the letter outlining its findings, the SSA instructed the NLC that although protecting condition facts was “a lawful crucial aimed toward preserving the sovereignty and integrity from the point out” this only placed on properly labeled facts.
Even though it did not say so right, the SSA results implied that the allegedly leaked information didn't drop into this category.
Considerably, the SSA made it apparent that the need to protect condition details “does not protect against any specific from blowing the whistle on corruption or irregular or illegal activity”.
The SSA investigation observed the NLC info associated with the alleged breach was “sensitive and privileged in mother nature, but not categorised concerning the prescripts in the Least Information Security Requirements (Skip)”.
“The leakage in the applicable delicate official NLC information for the media doesn't pose a danger to national security,” the SSA reported, including which the effect of your breaches was reputational.
The SSA report identified “no evidence of the factual and incriminating mother nature versus any of your suspected NLC workers that could be discovered from the knowledge and facts interrogated”.
In addition it said that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does provide sufficient motive to possess such exposed from the media”.
Conspiracy claims
In 2020, Nevhutanda informed MPs all through a session of Parliament’s trade, sector and Competitors portfolio committee that there was “a conspiracy” where info “stolen” with the NLC was despatched to your US, where by he claimed it had been getting sold to fund a smear marketing campaign towards the NLC.
He was repeating identical promises he had Beforehand manufactured in Parliament, which integrated advertisement hominem assaults on GroundUp and this reporter but was watchful not to call either.
“I came below On this August dwelling last yr and documented to honourable customers that information about our beneficiaries is stolen and place in one state in the united states,” he explained to MPs.
“We known as to the Point out Stability Company to return take a look at the matter since we're receiving studies that our facts is making dollars for media platforms and journalists,” he explained. “There's been speak, of course from a person supply, a single media, that spoke A lot about proactive-funding,” Nevhutanda reported (referring to GroundUp), but failed to convey to MPs that the SSA investigation had been done Practically a calendar year earlier.
Proactive funding was at the center with the looting from the lottery. It aspect-stepped the conventional grant process. The NLC could alone discover a venture to fund and appoint a non-profit organisation to supervise it.
Following Nevhutanda very first instructed Parliament in 2018 that he experienced asked the SSA to research the supposed breach, the South African Nationwide Editors Forum issued a statement declaring that his remarks reflected “an incredibly dangerous Mindset in which the media is remaining blamed for that NLC’s inherent challenges”.
“As an alternative to investigating why hundreds of thousands cannot be accounted for, the NLC has instead attempted to Forged doubt over the integrity in the journalists included and has asked the SSA to research their resources.”
Proactive jobs produced mystery
Stability flaws discovered within the NLC grant funding program over the SSA’s investigation, surface to have been utilized being an justification because of the NLC to eliminate all proactive-funded initiatives from its central grants technique.
“In or about 21 December 2019, the classification of all pro-actively funding projects was heightened to ‘secret’ and jobs ended up removed from the grant funding technique and taken care of manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Workplace, Govt Supervisor Authorized so that you can safeguard [the] details,” Nene reported in her affidavit.
“There was plenty of inside dialogue, with plenty of backwards and forwards, about how to proceed to plug the alleged leaks”, a resource, who was in a senior place with the NLC at some time, explained to GroundUp. “Eventually, the choice was taken to remove all of the proactive projects from your program and limit usage of a handful of folks”.
Some in that handful of people had been implicated in corruption.
Maselwa, who resigned in the NLC several yrs ago, is implicated in corruption involving lottery funds. He been given R4.three-million from lottery funds allotted to construct a library and museum complex in Kuruman (see Taung Cultural Tunes and Arts Expo) which he employed to build a dwelling within an upmarket gated improvement in Pretoria. The residence is among numerous paid out for with lottery cash that were frozen after the Asset Forfeiture Unit attained a preservation order in December 2022.
The politically-linked Nevhutanda, who was appointed given that the NLC board chairperson by previous President Jacob Zuma in 2009 and was close to substantial-ups during the ANC leadership, former NLC former Commissioner Thabang Mampane, and ex-chief operating officer Phillemon Letwaba, have all been implicated inside the corruption which overcome the NLC on their view.
Also implicated are previous board customers 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 complete board and executive, took in excess of in the NLC in late 2022 and early 2023, they uncovered a “chaotic mess” within the documentation regarding proactive funding, A great deal of which was paper-based. Important documents were missing. Files held for safekeeping by doc storage firm Metrofile had been signed out and by no means returned.
The NLC was able to Get better copies of some ตัว หวย paperwork from its Mimecast email archiving system and the laptops in their assistants and help staff.
Information reviews
In his one December 2018 letter, addressed to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has observed with grave concern doable info protection breaches and the unauthorised use and/or dissemination of confidential facts attained as a result of doing Formal capabilities in the Commission by NLC staff. The routines are intended to undermine the integrity in the Commission although disrupting the powerful features [from the NLC] and creating insurmountable reputational harm into the Fee because the custodian of private facts entrusted to it by its beneficiaries.”
His request with the SSA to research was supported within an affidavit by suspended NLC firm secretary, Nomphumelelo Nene.
Nene is at present facing a disciplinary inquiry immediately after she was unsuccessful in lawful action to set aside conclusions of irregular expenditure on her watch.
The objective of her affidavit, Nene reported, was “to document the gatherings which transpired referring to information and facts safety breaches within the National Lotteries Commission”.
She outlined different news reviews which she claimed had been the outcomes of these “breaches” (see at the end of this short article).
Nene mentioned that a whistle-blower approached the NLC alleging that one among its personnel, Sello Qhino, had “provided her labeled NLC Details and persistently inspired her to supply the data to GroundUp”.
Qhino, who blew the whistle on the number of dodgy lottery-funded assignments in Kuruman after makes an attempt to lift the issue internally ended up ignored, was subsequently fired.
Referring to an 18 November 2018 short article inside the Each day Dispatch regarding the misappropriation of Lottery cash, Nene claimed which the NLC identified and after that suspended Zintle Rungqu. She was an worker while in the NLC’s East London Office environment, who was the husband or wife and the mother of whistleblower Mzukise Makatse’s a few small children.
Rungqu and Makatse believe that Rungqu was punished mainly because Makatse blew the whistle. She was suspended and charged internally, with the NLC expending R470,000 on lawyers to stand for it, but was located not responsible and allowed to return to work.
“The popular factor in these content is [they require] classified details regarding proactive funding tasks,” Nene claimed in her affidavit.
When Runqu was suspended, Makatse moved out of the loved ones household to go ahead and take heat off her and his little ones. Experiencing homelessness, he moved into an Office environment in an empty manufacturing unit belonging to a buddy.
The two Makatse and Qhino are participating in an NLC reparation process meant to recognise the harm some people endured in the arms in the NLC. Apologies and, occasionally, fiscal payment are expected.
“Some persons were genuinely afflicted extremely negatively by this … This is de facto painful,” NLC Commissioner Jodi Scholtz informed the Day-to-day Maverick very last calendar year.
“I achieved a couple of these folks. It was just so heart-wrenching that their whole life have been turned the other way up,” reported Scholtz.
Among the All those she fulfilled had been Qhino and Makatse.
Protected System wanted for whistleblowers
The SSA located the absence at the time of a suitable channel for whistleblowers to report corruption led them to turn to your media.
“Failure to have a committed anti-corruption channel will lead to workforce presenting these kinds of instances beyond the NLC,” the SSA reported in its findings.
“Presented the magnitude of corruption in point out establishments, it remains vital that it makes sure that the NLC complies with all stability prescripts Which its concentrate is on making certain that illegal and irregular conduct is sufficiently mitigated against and by ensuring an adequate channel for whistle-blowers to report untoward perform without the need of staying intimidated.”
It encouraged the NLC establish a “safe channel” for workers to provide info on any “untoward activity” that could not avert or discourage staff from blowing the whistle. A whistle-blowers plan, determined by the Protected Disclosures Act twenty five of 2000, is actually a need.”
Media reviews Nene shown
A ten December 2017 report within the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Overall health and Conditioning Centre in Limpopo. GroundUp has labored intently with Anton van Zyl, an investigative reporter and operator of your Limpopo Mirror, to show NLC corruption. “The posting experienced things of knowledge not offered in the public area, therefore elevating concern on interior Information and facts protection breaches. The allegations inside the media had been independently investigated,” Nene said. “However, workforce chargeable for divulging categorized info have nonetheless being determined”;
A 28 January 2018 article revealed by the Dally Dispatch “citing several allegations within the Limpopo Mirror article printed on 10 December 2017 plus a new allegation regarding a former worker through the title of Mzukisi Makatse. He was charged and summarily dismissed for your threat brought on towards the organisation.”
A 16 November 2018 article during the Lowvelder concerning the misappropriation of NLC resources involving a lottery-funded drug rehabilitation centre. GroundUp has described how, in spite of acquiring R27-million in lottery grants, the rehab has not been finished. “The Lowvelder posting contained categorized information and facts concerning NLC policy, increasing additional worries of interior details protection breaches,” Nene reported in her affidavit. “The prima facie proof with regard to these allegations did not warrant an independent Investigation, nonetheless [it] highlighted the heightened facts protection challenges in the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.5-million grant to Denzhe Major Care, a hijacked NPO. Nene said GroundUp experienced confirmed in its Tale that it had been determined by leaked NLC documents. This was Regardless of the NLC rejecting a PAIA (Marketing of Access to Information) ask for for specifics concerning the challenge, she explained