Previous National Lotteries Commission (NLC) board chairperson Alfred Nevhutanda questioned the State Safety Company (SSA) in December 2018 to analyze the leaking of files that exposed lottery corruption.
The NLC’s firm secretary at time outlined media reports she claimed had been based on “stolen” data within an affidavit to the SSA.
The SSA did examine. It observed the information wasn't a subject of state stability and that the “prevalence of alleged corruption and irregularities” gave “enough motive” for the media to show it.
A fresh board and management has due to the fact taken above the NLC and Up to now have taken steps to end corruption with the establishment.
A State Safety Agency (SSA) investigation located the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “delivered enough motive” for publicity because of the media.
The probe into intended “data protection breaches and sabotage of NLC functions” was undertaken following 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 currently suspended NLC enterprise secretary Nompumelelo Nene supporting the request, and
the security company’s “private” conclusions and suggestions.
Nevhutanda asked the SSA to research the purpose of NLC personnel within the alleged leaking of data, and Nene, in her affidavit identified unique media and reviews that she claimed associated these leaks.
During the letter outlining its conclusions, the SSA informed the NLC that even though shielding condition details was “a authorized critical targeted at safeguarding the sovereignty and integrity of your point out” this only applied to appropriately labeled facts.
Although it didn't say so instantly, the SSA conclusions implied which the allegedly leaked facts didn't drop into this group.
Noticeably, the SSA produced it very clear that the need to protect condition facts “won't reduce any unique from blowing the whistle on corruption or irregular or criminality”.
The SSA investigation discovered which the NLC info involved in the alleged breach was “delicate and privileged in character, although not labeled when it comes to the prescripts of the Minimal Details Stability Expectations (Overlook)”.
“The leakage of the suitable delicate official NLC details into the media will not pose a risk to countrywide security,” the SSA explained, introducing that the effects from the breaches was reputational.
The SSA report identified “no evidence of a factual and incriminating mother nature in opposition to any of your suspected NLC workforce that might be determined from the data and knowledge interrogated”.
It also mentioned that “the prevalence of alleged corruption and irregularities inside the NLC and at its beneficiaries does provide sufficient motive to possess this kind of exposed while in the media”.
Conspiracy claims
In 2020, Nevhutanda told MPs for the duration of a session of Parliament’s trade, industry and Levels of competition portfolio committee that there was “a conspiracy” by which details “stolen” within the NLC was sent into the US, wherever he claimed it was remaining sold to fund a smear campaign from the NLC.
He was repeating similar claims he had Formerly manufactured in Parliament, which involved advert hominem assaults on GroundUp which reporter but was careful not to call possibly.
“I came right here On this August property previous calendar year and described to honourable customers that details about our beneficiaries continues to be stolen and place in one condition in America,” he told MPs.
“We called to the State Stability Company to come back consider the issue due to the fact we are acquiring studies that our info is creating revenue for media platforms and journalists,” he mentioned. “There was converse, certainly from 1 source, 1 media, that spoke Substantially about proactive-funding,” Nevhutanda explained (referring to GroundUp), but did not tell MPs which the SSA investigation had been concluded Just about a year previously.
Proactive funding was at the heart of the looting on the lottery. It side-stepped the normal grant course of action. The NLC could by itself detect a venture to fund and appoint a non-financial gain organisation to supervise it.
Immediately after Nevhutanda very first informed Parliament in 2018 that he had requested the SSA to analyze the meant breach, the South African National Editors Forum issued an announcement declaring that his remarks mirrored “an incredibly harmful Mind-set exactly where the media is staying blamed for that NLC’s inherent challenges”.
“Instead of investigating why millions can not be accounted for, the NLC has in its place attempted to Forged question about the integrity with the journalists included and it has requested the SSA to investigate their resources.”
Proactive tasks created magic formula
Stability flaws recognized within the NLC grant funding system over the SSA’s investigation, seem to have been employed being an justification through the NLC to eliminate all proactive-funded initiatives from its central grants procedure.
“In or about 21 December 2019, the classification of all Professional-actively funding initiatives was heightened to ‘top secret’ and jobs were faraway from the grant funding process and preserved manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Information Business office, Executive Manager Authorized so as to safeguard [the] data,” Nene mentioned in her affidavit.
“There was a great deal of inner discussion, with a great deal of back and forth, about how to proceed to plug the alleged leaks”, a supply, who was in the senior placement for the NLC at some time, instructed GroundUp. “Ultimately, the decision was taken to get rid of all of the proactive initiatives with the technique and Restrict usage of a handful of individuals”.
Some in that handful of folks had been implicated in corruption.
Maselwa, who resigned from the NLC various years ago, has long been implicated in corruption involving lottery cash. He gained R4.3-million from lottery cash allotted to develop a library and museum complicated in Kuruman (see Taung Cultural Tunes and Arts Expo) which he used to make a household within an upmarket gated enhancement in Pretoria. The property is among various compensated for with lottery money which were frozen once the Asset Forfeiture Unit obtained a preservation get in December 2022.
The politically-related Nevhutanda, who was appointed because the NLC board chairperson by former President Jacob Zuma in 2009 and was near to higher-ups in the ANC leadership, previous NLC former Commissioner Thabang Mampane, and ex-Main functioning officer Phillemon Letwaba, have all been implicated in the corruption which overwhelmed the NLC on their check out.
Also implicated are previous board customers William Huma, who resigned following he was confronted with proof of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who's got due to the fact died.
Every time a new administration, including the complete board and govt, took more than at the NLC in late 2022 and early 2023, they found a “chaotic mess” in the documentation regarding proactive funding, Significantly of which was paper-based. Vital documents were lacking. Files held for safekeeping by document storage enterprise Metrofile were signed out and in no way returned.
The NLC was ready to recover copies of some ตรวจ หวย documents from its Mimecast e mail archiving program and the laptops of their assistants and support workers.
Information experiences
In his 1 December 2018 letter, addressed to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has noted with grave concern achievable data protection breaches as well as unauthorised use and/or dissemination of private facts received due to doing Formal features from the Fee by NLC staff members. The pursuits are intended to undermine the integrity in the Fee even though disrupting the powerful functions [of your NLC] and producing insurmountable reputational damage to the Fee given that the custodian of personal data entrusted to it by its beneficiaries.”
His ask for for the SSA to investigate was supported within an affidavit by suspended NLC company secretary, Nomphumelelo Nene.
Nene is at present going through a disciplinary inquiry immediately after she was unsuccessful in lawful action to set aside findings of irregular expenditure on her watch.
The goal of her affidavit, Nene claimed, was “to file the occasions which transpired concerning data security breaches for the Nationwide Lotteries Fee”.
She mentioned a variety of news reports which she claimed were the results of such “breaches” (see at the end of this post).
Nene claimed that a whistle-blower approached the NLC alleging that among its staff members, Sello Qhino, experienced “provided her classified NLC Details and persistently encouraged her to offer the data to GroundUp”.
Qhino, who blew the whistle over a series of dodgy lottery-funded assignments in Kuruman immediately after tries to boost the issue internally were disregarded, was subsequently fired.
Referring to an 18 November 2018 write-up during the Each day Dispatch with regard to the misappropriation of Lottery money, Nene reported the NLC discovered and afterwards suspended Zintle Rungqu. She was an employee while in the NLC’s East London office, who was the associate and the mother of whistleblower Mzukise Makatse’s three small children.
Rungqu and Makatse feel Rungqu was punished mainly because Makatse blew the whistle. She was suspended and billed internally, with the NLC investing R470,000 on lawyers to represent it, but was found not responsible and allowed to return to operate.
“The prevalent Consider these content articles is the fact that [they contain] labeled details relating to proactive funding initiatives,” 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 little ones. Facing homelessness, he moved into an Business office within an vacant manufacturing unit belonging to an acquaintance.
Both Makatse and Qhino are participating in an NLC reparation procedure intended to recognise the harm many people suffered in the hands from the NLC. Apologies and, in some cases, economical payment are anticipated.
“Some individuals were being genuinely impacted very negatively by this … This is de facto unpleasant,” NLC Commissioner Jodi Scholtz explained to the Day-to-day Maverick last yr.
“I achieved a number of these people today. It was just so heart-wrenching that their total life happen to be turned the wrong way up,” claimed Scholtz.
Among the These she satisfied have been Qhino and Makatse.
Risk-free 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 towards the media.
“Failure to possess a committed anti-corruption channel will cause staff presenting this sort of instances beyond the NLC,” the SSA explained in its findings.
“Supplied the magnitude of corruption in state institutions, it continues to be critical that it ensures that the NLC complies with all safety prescripts and that its emphasis is on making sure that illegal and irregular conduct is adequately mitigated against and by ensuring an sufficient channel for whistle-blowers to report untoward perform with no remaining intimidated.”
It advisable which the NLC establish a “Safe and sound channel” for employees to supply information on any “untoward action” that could not prevent or discourage workers from blowing the whistle. A whistle-blowers plan, according to the Protected Disclosures Act twenty five of 2000, is often a prerequisite.”
Media reviews Nene listed
A ten December 2017 report inside the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Well being and Health and fitness Centre in Limpopo. GroundUp has labored intently with Anton van Zyl, an investigative reporter and proprietor of the Limpopo Mirror, to reveal NLC corruption. “The article had things of information not offered in the general public domain, thus boosting problem on inside Data stability breaches. The allegations inside the media ended up independently investigated,” Nene reported. “Nonetheless, staff members liable for divulging categorized details have still being determined”;
A 28 January 2018 write-up printed with the Dally Dispatch “citing several allegations through the Limpopo Mirror write-up published on ten December 2017 plus a new allegation regarding a former staff because of the identify of Mzukisi Makatse. He was charged and summarily dismissed for the danger prompted on the organisation.”
A sixteen November 2018 write-up during the Lowvelder with regard to the misappropriation of NLC money involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Regardless of acquiring R27-million in lottery grants, the rehab has never been completed. “The Lowvelder posting contained labeled info regarding NLC coverage, raising more worries of inside data security breaches,” Nene said in her affidavit. “The prima facie proof regarding these allegations did not warrant an unbiased Investigation, having said that [it] highlighted the heightened data stability pitfalls within the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.five-million grant to Denzhe Principal Treatment, a hijacked NPO. Nene explained GroundUp experienced confirmed in its Tale that it was based upon leaked NLC files. This was despite the NLC rejecting a PAIA (Promotion of Entry to Information) request for information concerning the job, she claimed
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