Lottery bosses turned to Condition Safety Agency to research leaks

Lottery bosses turned to Condition Safety Agency to research leaks

Blog Article

Former Nationwide Lotteries Fee (NLC) board chairperson Alfred Nevhutanda asked the Condition Stability Company (SSA) in December 2018 to analyze the leaking of files that uncovered lottery corruption.
The NLC’s organization secretary at time shown media stories she reported were being depending on “stolen” details in an affidavit with the SSA.
The SSA did examine. It identified the information was not a make a difference of point out safety and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” with the media to reveal it.
A whole new board and management has considering that taken above the NLC and To date have taken measures to end corruption on the institution.
A Condition Security Company (SSA) investigation identified that the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “provided sufficient motive” for publicity from the media.

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

Here's

Nevhutanda’s letter,
an affidavit by at the moment suspended NLC enterprise secretary Nompumelelo Nene supporting the ask for, and
the security agency’s “private” findings and proposals.
Nevhutanda asked the SSA to investigate the role of NLC team within the alleged leaking of information, and Nene, in her affidavit identified distinct media and reviews that she claimed concerned these leaks.

Within the letter outlining its findings, the SSA told the NLC that when shielding point out information and facts was “a lawful essential geared toward defending the sovereignty and integrity of the point out” this only placed on properly classified details.

Even though it did not say so straight, the SSA results implied that the allegedly leaked information did not tumble into this group.

Drastically, the SSA manufactured it very clear that the necessity to guard state information and facts “won't avoid any individual from blowing the whistle on corruption or irregular or criminal activity”.

The SSA investigation discovered the NLC information associated with the alleged breach was “delicate and privileged in mother nature, although not classified with regard to the prescripts of the Minimal Data Protection Benchmarks (Pass up)”.

“The leakage of the related sensitive official NLC information to the media does not pose a danger to nationwide safety,” the SSA said, introducing the influence of your breaches was reputational.

The SSA report observed “no evidence of the factual and incriminating nature towards any in the suspected NLC staff that may be determined from the information and facts interrogated”.

Furthermore, it mentioned that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does provide ample motive to acquire these kinds of uncovered inside the media”.

Conspiracy statements
In 2020, Nevhutanda instructed MPs during a session of Parliament’s trade, sector and Competitiveness portfolio committee that there was “a conspiracy” during which information “stolen” through the NLC was despatched into the US, where by he claimed it absolutely was staying marketed to fund a smear campaign towards the NLC.

He was repeating similar promises he experienced Formerly produced in Parliament, which provided ad hominem attacks on GroundUp which reporter but was thorough not to name possibly.

“I came here During this August household final 12 months and reported to honourable associates that information regarding our beneficiaries continues to be stolen and place in a single state in America,” he instructed MPs.

“We called within the Condition Stability Company to come investigate the subject for the reason that we have been having experiences that our info is creating dollars for media platforms and journalists,” he reported. “There was talk, needless to say from a single source, one media, that spoke much about proactive-funding,” Nevhutanda explained (referring to GroundUp), but didn't tell MPs that the SSA investigation were completed Pretty much a calendar year before.

Proactive funding was at the guts from the looting of your lottery. It facet-stepped the traditional grant system. The NLC could by itself recognize a venture to fund and appoint a non-gain organisation to oversee it.

Following Nevhutanda 1st informed Parliament in 2018 that he experienced asked the SSA to analyze the intended breach, the South African Countrywide Editors Discussion board issued a statement declaring that his remarks mirrored “an incredibly dangerous Mind-set where the media is being blamed to the NLC’s inherent troubles”.

“In lieu of investigating why hundreds of thousands can't be accounted for, the NLC has as a substitute attempted to cast doubt on the integrity on the journalists associated and has asked the SSA to analyze their sources.”

Proactive jobs created top secret
Safety flaws identified during the NLC grant funding program throughout the SSA’s investigation, show up to are already used being an justification through the NLC to eliminate all proactive-funded projects from its central grants program.

“In or about 21 December 2019, the classification of all pro-actively funding projects was heightened to ‘solution’ and projects have been faraway from the grant funding system and maintained manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Place of work, Government Manager Authorized in order to safeguard [the] info,” Nene claimed in her affidavit.

“There was a great deal of inside discussion, with plenty of forwards and backwards, about how to proceed to plug the alleged leaks”, a source, who was in a senior position in the NLC at enough time, informed GroundUp. “Eventually, the decision was taken to eliminate all the proactive projects from the process and Restrict use of A few men and women”.

Some in that handful of people were implicated in corruption.

Maselwa, who resigned from your NLC numerous several years in the past, has actually been implicated in corruption involving lottery resources. He been given R4.3-million from lottery funds allotted to develop a library and museum elaborate in Kuruman (see Taung Cultural Music and Arts Expo) which he applied to create a house in an upmarket gated growth in Pretoria. The property is one of various compensated for with lottery resources which were frozen after the Asset Forfeiture Unit received a preservation buy 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 near higher-ups inside the ANC leadership, previous NLC previous Commissioner Thabang Mampane, and ex-chief working officer Phillemon Letwaba, have all been implicated while in the corruption which overwhelmed the NLC on their own look at.

Also implicated are previous board customers William Huma, who resigned immediately after he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have due to the fact died.

Whenever a new administration, such as the whole board and govt, took around with the NLC in late 2022 and early 2023, they found out a “chaotic mess” from the documentation referring to proactive funding, much of which was paper-primarily based. Important paperwork were being missing. Documents held for safekeeping by doc storage enterprise Metrofile were signed out and by no means returned.

The NLC was able to recover copies of some ตรวจ สลากกินแบ่ง รัฐบาล documents from its Mimecast email archiving process as well as laptops in their assistants and support staff.

News reviews
In his 1 December 2018 letter, dealt with to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has pointed out with grave issue probable information stability breaches as well as unauthorised use and/or dissemination of private data acquired as a result of undertaking official features in the Commission by NLC staff. The activities are intended to undermine the integrity on the Fee though disrupting the efficient features [with the NLC] and leading to insurmountable reputational damage to the Commission as the custodian of private information and facts entrusted to it by its beneficiaries.”

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

Nene is at the moment dealing with a disciplinary inquiry following she was unsuccessful in authorized motion to set aside results of irregular expenditure on her check out.

The purpose of her affidavit, Nene claimed, was “to record the activities which transpired concerning info protection breaches within the National Lotteries Commission”.

She shown various news stories which she claimed were being the outcomes of those “breaches” (see at the conclusion of this informative article).

Nene explained that a whistle-blower approached the NLC alleging that one among its staff members, Sello Qhino, had “supplied her categorised NLC Facts and persistently inspired her to supply the knowledge to GroundUp”.

Qhino, who blew the whistle over a number of dodgy lottery-funded tasks in Kuruman after attempts to raise The difficulty internally ended up dismissed, was subsequently fired.

Referring to an eighteen November 2018 report while in the Everyday Dispatch in regards to the misappropriation of Lottery resources, Nene mentioned that the NLC recognized after which suspended Zintle Rungqu. She was an staff within the NLC’s East London Office environment, who was the husband or wife and also the mom of whistleblower Mzukise Makatse’s a few children.

Rungqu and Makatse think Rungqu was punished since Makatse blew the whistle. She was suspended and charged internally, Using the NLC paying R470,000 on lawyers to represent it, but was found not responsible and allowed to return to operate.

“The frequent Consider these article content is usually that [they entail] classified facts associated with proactive funding projects,” Nene mentioned in her affidavit.

When Runqu was suspended, Makatse moved out of your relatives property to go ahead and take warmth off her and his children. Dealing with homelessness, he moved into an Office environment within an vacant manufacturing facility belonging to a colleague.

Both Makatse and Qhino are taking part in an NLC reparation system meant to recognise the damage many people endured with the fingers from the NLC. Apologies and, occasionally, economical compensation are anticipated.

“Some people were genuinely impacted pretty negatively by this … This is de facto unpleasant,” NLC Commissioner Jodi Scholtz instructed the Every day Maverick past calendar year.

“I satisfied a handful of these people. It was just so heart-wrenching that their entire lives have already been turned upside down,” stated Scholtz.

Amongst These she met were Qhino and Makatse.

Harmless System necessary for whistleblowers
The SSA discovered the absence at some time of a correct channel for whistleblowers to report corruption led them to show on the media.

“Failure to possess a devoted anti-corruption channel will result in personnel presenting this kind of conditions outside of the NLC,” the SSA explained in its conclusions.

“Presented the magnitude of corruption in point out institutions, it stays essential that it makes certain that the NLC complies with all stability prescripts and that its target is on guaranteeing that unlawful and irregular conduct is adequately mitigated from and by making sure an suitable channel for whistle-blowers to report untoward perform with out getting intimidated.”

It advisable that the NLC establish a “safe channel” for workers to supply information on any “untoward action” that will not stop or discourage employees from blowing the whistle. A whistle-blowers coverage, according to the Shielded Disclosures Act 25 of 2000, is a prerequisite.”

Media reports Nene mentioned
A 10 December 2017 report during the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Overall health and Fitness Centre in Limpopo. GroundUp has worked closely with Anton van Zyl, an investigative reporter and owner in the Limpopo Mirror, to show NLC corruption. “The posting experienced components of knowledge not offered in the public domain, thereby raising concern on interior Info security breaches. The allegations within the media have been independently investigated,” Nene explained. “On the other hand, staff members to blame for divulging labeled details have however to become identified”;
A 28 January 2018 short article printed via the Dally Dispatch “citing quite a few allegations from the Limpopo Mirror short article printed on ten December 2017 and a new allegation regarding a previous employee through the title of Mzukisi Makatse. He was billed and summarily dismissed for that danger prompted to the organisation.”
A 16 November 2018 write-up from the Lowvelder regarding the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has noted how, in spite of acquiring R27-million in lottery grants, the rehab has not been accomplished. “The Lowvelder write-up contained categorized information and facts with regard to NLC policy, increasing more concerns of inside information safety breaches,” Nene said in her affidavit. “The prima facie evidence with regard to these allegations did not warrant an impartial Investigation, however [it] highlighted the heightened data stability dangers inside the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.5-million grant to Denzhe Principal Care, a hijacked NPO. Nene claimed GroundUp experienced verified in its story that it had been dependant on leaked NLC files. This was Regardless of the NLC rejecting a PAIA (Marketing of Use of Data) request for aspects about the job, she mentioned