Former Countrywide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda questioned the State Protection Company (SSA) in December 2018 to analyze the leaking of files that uncovered lottery corruption.
The NLC’s firm secretary at enough time stated media experiences she said were according to “stolen” info within an affidavit for that SSA.
The SSA did investigate. It found the data was not a matter of condition security and the “prevalence of alleged corruption and irregularities” gave “ample motive” to the media to expose it.
A different board and management has considering the fact that taken in excess of the NLC and Up to now have taken measures to end corruption for the establishment.
A Point out Security Agency (SSA) investigation identified the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “delivered enough motive” for publicity via the media.

The probe into meant “information 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 analyze.

Here is

Nevhutanda’s letter,
an affidavit by presently suspended NLC business secretary Nompumelelo Nene supporting the ask for, and
the security company’s “confidential” conclusions and suggestions.
Nevhutanda questioned the SSA to investigate the job of NLC staff members inside the alleged leaking of data, and Nene, in her affidavit recognized precise media and reviews that she claimed included these leaks.

While in the letter outlining its findings, the SSA advised the NLC that when shielding point out details was “a authorized crucial directed at guarding the sovereignty and integrity on the condition” this only applied to appropriately labeled info.

Although it didn't say so directly, the SSA conclusions implied the allegedly leaked details did not tumble into this class.

Drastically, the SSA created it distinct that the necessity to safeguard condition information “will not prevent any particular person from blowing the whistle on corruption or irregular or criminal activity”.

The SSA investigation observed that the NLC information linked to the alleged breach was “delicate and privileged in mother nature, although not classified in terms of the prescripts in the Minimal Data Safety Specifications (Skip)”.

“The leakage with the related sensitive Formal NLC facts for the media isn't going to pose a threat to nationwide security,” the SSA explained, including that the effects of your breaches was reputational.

The SSA report located “no proof of a factual and incriminating mother nature against any in the suspected NLC personnel that could be determined from the knowledge and knowledge interrogated”.

Additionally, it stated that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does supply ample motive to possess this kind of uncovered from the media”.

Conspiracy statements
In 2020, Nevhutanda advised MPs for the duration of a session of Parliament’s trade, marketplace and Competitiveness portfolio committee that there was “a conspiracy” wherein information and facts “stolen” from the NLC was despatched for the US, in which he claimed it was becoming bought to fund a smear marketing campaign in opposition to the NLC.

He was repeating equivalent promises he had Beforehand manufactured in Parliament, which integrated advert hominem attacks on GroundUp which reporter but was thorough not to name both.

“I came listed here In this particular August residence past year and documented to honourable users that information about our beneficiaries has actually been stolen and set in one state in the united states,” he instructed MPs.

“We termed on the State Stability Company to come back check into the subject for the reason that we have been acquiring reviews that our info is generating revenue for media platforms and journalists,” he mentioned. “There have been chat, needless to say from one supply, a person media, that spoke Significantly about proactive-funding,” Nevhutanda reported (referring to GroundUp), but failed to explain to MPs which the SSA investigation were concluded almost a yr previously.

Proactive funding was at the guts from the looting in the lottery. It facet-stepped the traditional grant system. The NLC could alone detect a venture to fund and appoint a non-revenue organisation to oversee it.

After Nevhutanda first explained to Parliament in 2018 that he experienced requested the SSA to investigate the intended breach, the South African National Editors Discussion board issued a statement indicating that his remarks reflected “an incredibly unsafe Mindset where by the media is getting blamed with the NLC’s inherent difficulties”.

“Rather than investigating why thousands and thousands can not be accounted for, the NLC has instead tried to cast doubt within the integrity on the journalists associated and it has questioned the SSA to analyze their sources.”

Proactive initiatives built secret
Security flaws discovered during the NLC grant funding process in the SSA’s investigation, show up to are already utilised as an justification through the NLC to eliminate all proactive-funded assignments from its central grants method.

“In or about 21 December 2019, the classification of all Professional-actively funding projects was heightened to ‘top secret’ and assignments were being removed from the grant funding technique and managed manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Details Business, Govt Manager Legal in an effort to safeguard [the] facts,” Nene reported in her affidavit.

“There was lots of internal dialogue, with many back and forth, about how to proceed to plug the alleged leaks”, a supply, who was in the senior placement in the NLC at the time, told GroundUp. “Ultimately, the decision was taken to remove the many proactive initiatives through the method and Restrict access to a handful of individuals”.

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

Maselwa, who resigned from the NLC many several years in the past, has been implicated in corruption involving lottery money. He gained R4.three-million from lottery cash allotted to develop a library and museum complex in Kuruman (see Taung Cultural Music and Arts Expo) which he employed to create a house in an upmarket gated improvement in Pretoria. The residence is one of quite a few paid for with lottery cash that were frozen following the Asset Forfeiture Device received a preservation get in December 2022.

The politically-related Nevhutanda, who was appointed as being the NLC board chairperson by previous President Jacob Zuma in 2009 and was near substantial-ups within the ANC leadership, previous NLC former Commissioner Thabang Mampane, and ex-chief operating officer Phillemon Letwaba, have all been implicated while in the corruption which confused the NLC on their own enjoy.

Also implicated are former board customers William Huma, who resigned following he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who's got considering the fact that died.

Every time a new administration, such as the complete board and executive, took around within the NLC in late 2022 and early 2023, they discovered a “chaotic mess” from the documentation concerning proactive funding, much of which was paper-centered. Critical documents had been lacking. Data files held for safekeeping by doc storage business Metrofile had been signed out and never returned.

The NLC was ready to recover copies of some ตรวจ รางวัล paperwork from its Mimecast e mail archiving technique along with the laptops of their assistants and aid team.

News reports
In his one December 2018 letter, addressed to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has observed with grave concern doable details stability breaches and also the unauthorised use and/or dissemination of confidential information and facts obtained due to accomplishing official functions inside the Commission by NLC personnel. The things to do are meant to undermine the integrity with the Fee when disrupting the helpful capabilities [with the NLC] and resulting in insurmountable reputational damage for the Commission as the custodian of private data entrusted to it by its beneficiaries.”

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

Nene is at present facing a disciplinary inquiry immediately after she was unsuccessful in legal action to put aside conclusions of irregular expenditure on her observe.

The goal of her affidavit, Nene stated, was “to file the events which transpired referring to facts stability breaches in the National Lotteries Commission”.

She detailed a variety of information stories which she claimed were being the effects of such “breaches” (see at the conclusion of this information).

Nene said that a whistle-blower approached the NLC alleging that certainly one of its workers, Sello Qhino, experienced “presented her categorized NLC Information and persistently inspired her to provide the knowledge to GroundUp”.

Qhino, who blew the whistle on a series of dodgy lottery-funded projects in Kuruman immediately after attempts to boost The problem internally were dismissed, was subsequently fired.

Referring to an eighteen November 2018 article while in the Day by day Dispatch regarding the misappropriation of Lottery cash, Nene reported which the NLC identified and after that suspended Zintle Rungqu. She was an worker inside the NLC’s East London Business office, who was the lover plus the mother of whistleblower Mzukise Makatse’s three kids.

Rungqu and Makatse think Rungqu was punished because Makatse blew the whistle. She was suspended and billed internally, Together with the NLC shelling out R470,000 on lawyers to stand for it, but was observed not responsible and allowed to return to operate.

“The typical Consider these posts is usually that [they include] labeled information and facts referring to proactive funding initiatives,” Nene reported in her affidavit.

When Runqu was suspended, Makatse moved out of the loved ones property to take the heat off her and his youngsters. Going through homelessness, he moved into an Office environment in an empty manufacturing unit belonging to an acquaintance.

Both of those Makatse and Qhino are taking part in an NLC reparation method meant to recognise the damage a lot of people suffered within the palms from the NLC. Apologies and, occasionally, fiscal payment are anticipated.

“Some people today had been definitely affected quite negatively by this … This is actually unpleasant,” NLC Commissioner Jodi Scholtz instructed the Daily Maverick final yr.

“I satisfied a handful of these people today. It absolutely was just so coronary heart-wrenching that their total life are turned the wrong way up,” explained Scholtz.

Amid Individuals she met were Qhino and Makatse.

Harmless System essential for whistleblowers
The SSA identified the absence at the time of an appropriate channel for whistleblowers to report corruption led them to show towards the media.

“Failure to possess a dedicated anti-corruption channel will end in staff presenting such scenarios beyond the NLC,” the SSA mentioned in its conclusions.

“Offered the magnitude of corruption in condition establishments, it stays very important that it ensures that the NLC complies with all safety prescripts and that its emphasis is on guaranteeing that unlawful and irregular carry out is adequately mitigated in opposition to and by making certain an ample channel for whistle-blowers to report untoward carry out without having getting intimidated.”

It advised that the NLC build a “Safe and sound channel” for employees to provide info on any “untoward action” that would not protect against or discourage personnel from blowing the whistle. A whistle-blowers policy, based upon the Safeguarded Disclosures Act twenty five of 2000, is really a prerequisite.”

Media reports Nene shown
A ten December 2017 report in 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 from the Limpopo Mirror, to expose NLC corruption. “The write-up had aspects of knowledge not offered in the public domain, thus increasing worry on inner Info security breaches. The allegations during the media ended up independently investigated,” Nene explained. “Nonetheless, workers responsible for divulging labeled info have still for being discovered”;
A 28 January 2018 post released from the Dally Dispatch “citing a lot of allegations from the Limpopo Mirror write-up released on ten December 2017 and a new allegation referring to a former employee from the name of Mzukisi Makatse. He was charged and summarily dismissed for the danger caused to the organisation.”
A sixteen November 2018 posting within the Lowvelder concerning the misappropriation of NLC funds 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 finished. “The Lowvelder write-up contained classified information and facts with regard to NLC coverage, raising further more worries of internal information and facts safety breaches,” Nene reported in her affidavit. “The prima facie evidence regarding these allegations didn't warrant an unbiased Investigation, even so [it] highlighted the heightened information security challenges inside the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.five-million grant to Denzhe Key Treatment, a hijacked NPO. Nene reported GroundUp experienced verified in its story that it had been based upon leaked NLC documents. This was despite the NLC rejecting a PAIA (Marketing of Entry to Data) request for aspects regarding the job, she claimed