Lottery bosses turned to Condition Security Agency to investigate leaks

Lottery bosses turned to Condition Security Agency to investigate leaks

Blog Article

Former Nationwide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda requested 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 experiences she said were determined by “stolen” data in an affidavit for the SSA.
The SSA did look into. It located the information wasn't a issue of point out protection and which the “prevalence of alleged corruption and irregularities” gave “sufficient motive” with the media to expose it.
A new board and management has because taken about the NLC and So far have taken actions to finish corruption within the institution.
A State Safety Agency (SSA) investigation located which the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “provided ample motive” for publicity by the media.

The probe into supposed “info security breaches and sabotage of NLC functions” was carried out immediately after then-NLC board chairperson Alfred Nevhutanda wrote into the SSA in December 2018 requesting it to research.

Here is

Nevhutanda’s letter,
an affidavit by presently suspended NLC company secretary Nompumelelo Nene supporting the request, and
the safety company’s “private” conclusions and recommendations.
Nevhutanda questioned the SSA to analyze the function of NLC staff members from the alleged leaking of information, and Nene, in her affidavit recognized precise media and reports that she claimed associated these leaks.

From the letter outlining its findings, the SSA advised the NLC that whilst defending point out information and facts was “a authorized imperative directed at safeguarding the sovereignty and integrity in the condition” this only placed on properly labeled info.

Even though it didn't say so immediately, the SSA conclusions implied the allegedly leaked facts did not fall into this category.

Drastically, the SSA created it obvious that the necessity to defend condition data “will not avert any individual from blowing the whistle on corruption or irregular or criminality”.

The SSA investigation located which the NLC info linked to the alleged breach was “sensitive and privileged in mother nature, but not categorised when it comes to the prescripts with the Bare minimum Info Stability Specifications (Skip)”.

“The leakage with the appropriate delicate official NLC details for the media will not pose a threat to countrywide 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 versus any in the suspected NLC workforce that would be identified from the knowledge and facts interrogated”.

Furthermore, it mentioned that “the prevalence of alleged corruption and irregularities throughout the NLC and at its beneficiaries does offer sufficient motive to own these types of uncovered in the media”.

Conspiracy promises
In 2020, Nevhutanda told MPs throughout a session of Parliament’s trade, business and Competitiveness portfolio committee that there was “a conspiracy” through which details “stolen” in the NLC was despatched to your US, in which he claimed it was staying offered to fund a smear marketing campaign towards the NLC.

He was repeating similar statements he experienced previously manufactured in Parliament, which included advertisement hominem attacks on GroundUp which reporter but was careful not to name either.

“I came below in this August residence previous 12 months and claimed to honourable users that information about our beneficiaries is stolen and put in one point out in the usa,” he instructed MPs.

“We identified as to the Condition Security Company to come back explore the matter because we have been acquiring reports that our facts is producing revenue for media platforms and journalists,” he explained. “There have been discuss, of course from one particular resource, 1 media, that spoke Substantially about proactive-funding,” Nevhutanda said (referring to GroundUp), but failed to inform MPs that the SSA investigation had been accomplished Just about a 12 months previously.

Proactive funding was at the center on the looting on the lottery. It aspect-stepped the conventional grant method. The NLC could itself identify a project to fund and appoint a non-profit organisation to supervise it.

Soon after Nevhutanda very first told Parliament in 2018 that he experienced asked the SSA to research the supposed breach, the South African Nationwide Editors Discussion board issued a statement expressing that his remarks reflected “a very harmful Mind-set exactly where the media is currently being blamed for your NLC’s inherent challenges”.

“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 in the journalists involved and it has asked the SSA to research their resources.”

Proactive projects produced top secret
Stability flaws identified within the NLC grant funding program in the SSA’s investigation, look to have already been utilised as an justification via the NLC to remove all proactive-funded projects from its central grants procedure.

“In or about 21 December 2019, the classification of all pro-actively funding projects was heightened to ‘solution’ and projects were being removed from the grant funding process and taken care of manually underneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Data Place of work, Government Supervisor Legal as a way to safeguard [the] information and facts,” Nene said in her affidavit.

“There was lots of inside discussion, with many backwards and forwards, about how to proceed to plug the alleged leaks”, a source, who was in a senior situation on the NLC at some time, informed GroundUp. “In the long run, the choice was taken to get rid of every one of the proactive assignments with the procedure and limit access to A few folks”.

Some in that handful of people had been implicated in corruption.

Maselwa, who resigned with the NLC a number of a long time in the past, has been implicated in corruption involving lottery funds. He obtained R4.3-million from lottery funds allotted to build a library and museum complicated in Kuruman (see Taung Cultural Songs and Arts Expo) which he utilized to construct a home within an upmarket gated progress in Pretoria. The house is one of quite a few paid out for with lottery funds that were frozen after the Asset Forfeiture Unit obtained a preservation buy in December 2022.

The politically-related Nevhutanda, who was appointed as being the NLC board chairperson by former President Jacob Zuma in 2009 and was near to superior-ups while in the ANC Management, previous NLC former Commissioner Thabang Mampane, and ex-chief running officer Phillemon Letwaba, have all been implicated during the corruption which overwhelmed the NLC on their enjoy.

Also implicated are previous board users William Huma, who resigned following he was confronted with evidence of how he had profited from corrupt lottery grants, and Muthuhadini Madzivhandila, that has due to the fact died.

Any time a new administration, such as the overall board and government, took in excess of with the NLC in late 2022 and early 2023, they uncovered a “chaotic mess” while in the documentation associated with proactive funding, Considerably of which was paper-primarily based. Key paperwork had been lacking. Information held for safekeeping by doc storage organization Metrofile were signed out and in no way returned.

The NLC was able to Get well copies of some หวย ลาว ล่าสุด documents from its Mimecast electronic mail archiving process plus the laptops of their assistants and aid personnel.

News stories
In his one December 2018 letter, tackled to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has pointed out with grave problem probable details protection breaches and also the unauthorised use and/or dissemination of confidential facts attained as a result of executing official features while in the Commission by NLC personnel. The functions are meant to undermine the integrity on the Commission although disrupting the successful functions [from the NLC] and creating insurmountable reputational hurt to your Commission as the custodian of private information entrusted to it by its beneficiaries.”

His request for your SSA to research was supported in an affidavit by suspended NLC organization secretary, Nomphumelelo Nene.

Nene is at this time struggling with a disciplinary inquiry after she was unsuccessful in lawful motion to set aside findings of irregular expenditure on her watch.

The goal of her affidavit, Nene reported, was “to report the functions which transpired associated with info stability breaches for the National Lotteries Fee”.

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

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

Qhino, who blew the whistle with a number of dodgy lottery-funded initiatives in Kuruman just after tries to boost The problem internally had been ignored, was subsequently fired.

Referring to an eighteen November 2018 short article from the Day-to-day Dispatch with regards to the misappropriation of Lottery money, Nene stated which the NLC recognized and then suspended Zintle Rungqu. She was an personnel within the NLC’s East London Business, who was the associate and the mother of whistleblower Mzukise Makatse’s 3 children.

Rungqu and Makatse feel Rungqu was punished for the reason that Makatse blew the whistle. She was suspended and charged internally, With all the NLC paying out R470,000 on legal professionals to represent it, but was found not guilty and permitted to return to operate.

“The popular Think about these article content is usually that [they contain] labeled data associated with proactive funding tasks,” Nene said in her affidavit.

When Runqu was suspended, Makatse moved out of your relatives residence to go ahead and take heat off her and his small children. Experiencing homelessness, he moved into an Workplace within an vacant factory belonging to a colleague.

Each Makatse and Qhino are participating in an NLC reparation system intended to recognise the damage lots of people suffered on the palms of your NLC. Apologies and, in some cases, economic compensation are anticipated.

“Some men and women ended up seriously influenced incredibly negatively by this … This is admittedly distressing,” NLC Commissioner Jodi Scholtz instructed the Day-to-day Maverick past 12 months.

“I fulfilled a couple of these persons. It was just so heart-wrenching that their entire life happen to be turned the other way up,” explained Scholtz.

Among the Individuals she fulfilled ended up Qhino and Makatse.

Safe and sound platform required for whistleblowers
The SSA discovered the absence at the time of a suitable channel for whistleblowers to report corruption led them to show into the media.

“Failure to have a dedicated anti-corruption channel will bring about staff members presenting these types of situations beyond the NLC,” the SSA reported in its findings.

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

It suggested that the NLC build a “Harmless channel” for workers to offer information on any “untoward activity” that would not avoid or discourage staff members from blowing the whistle. A whistle-blowers policy, depending on the Guarded Disclosures Act twenty five of 2000, is often a necessity.”

Media experiences Nene detailed
A ten December 2017 report while in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Wellness and Health and fitness Centre in Limpopo. GroundUp has labored carefully with Anton van Zyl, an investigative reporter and operator of the Limpopo Mirror, to expose NLC corruption. “The report experienced elements of information not obtainable in the public area, thus raising concern on internal Information and facts stability breaches. The allegations in the media were independently investigated,” Nene stated. “Even so, staff to blame for divulging labeled info have however to be determined”;
A 28 January 2018 posting revealed by the Dally Dispatch “citing a lot of allegations in the Limpopo Mirror posting published on 10 December 2017 and a new allegation associated with a previous staff from the title of Mzukisi Makatse. He was billed and summarily dismissed for the threat triggered to your organisation.”
A sixteen November 2018 article inside the Lowvelder concerning the misappropriation of NLC funds involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Despite obtaining R27-million in lottery grants, the rehab has not been finished. “The Lowvelder report contained categorized details when it comes to NLC plan, elevating further problems of internal facts security breaches,” Nene explained in her affidavit. “The prima facie proof with regards to these allegations did not warrant an independent Investigation, on the other hand [it] highlighted the heightened info safety pitfalls in the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.five-million grant to Denzhe Principal Care, a hijacked NPO. Nene mentioned GroundUp had verified in its Tale that it had been determined by leaked NLC documents. This was despite the NLC rejecting a PAIA (Advertising of Entry to Details) request for aspects concerning the project, she claimed