Lottery bosses turned to Condition Protection Company to research leaks

Lottery bosses turned to Condition Protection Company to research leaks

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Previous Countrywide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda asked the State Safety Agency (SSA) in December 2018 to research the leaking of paperwork that exposed lottery corruption.
The NLC’s company secretary at the time outlined media studies she explained ended up based on “stolen” information within an affidavit to the SSA.
The SSA did investigate. It uncovered the knowledge was not a make any difference 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 above the NLC and Up to now have taken measures to end corruption with the establishment.
A Point out Security Agency (SSA) investigation identified the “prevalence” of alleged corruption and irregularities involving the NLC and its beneficiaries “furnished 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 at present suspended NLC business secretary Nompumelelo Nene supporting the ask for, and
the security company’s “confidential” conclusions and suggestions.
Nevhutanda asked the SSA to research the function of NLC team while in the alleged leaking of information, and Nene, in her affidavit recognized specific media and studies that she claimed associated these leaks.

Within the letter outlining its results, the SSA instructed the NLC that while safeguarding point out information was “a legal crucial aimed toward shielding the sovereignty and integrity with the condition” this only applied to appropriately classified info.

Even though it didn't say so right, the SSA findings implied which the allegedly leaked information and facts did not fall into this classification.

Appreciably, the SSA manufactured it very clear that the necessity to defend point out data “doesn't reduce any personal from blowing the whistle on corruption or irregular or criminality”.

The SSA investigation located which the NLC information involved in the alleged breach was “sensitive and privileged in nature, but not categorised concerning the prescripts on the Minimum amount Information Safety Criteria (MISS)”.

“The leakage with the appropriate delicate official NLC information and facts towards the media will not pose a menace to countrywide security,” the SSA claimed, incorporating that the impression of the breaches was reputational.

The SSA report located “no proof of a factual and incriminating mother nature versus any from the suspected NLC workers that may be identified from the data and facts interrogated”.

In addition it stated that “the prevalence of alleged corruption and irregularities within the NLC and at its beneficiaries does present sufficient motive to possess these types of uncovered in the media”.

Conspiracy claims
In 2020, Nevhutanda informed MPs through a session of Parliament’s trade, marketplace and Competitors portfolio committee that there was “a conspiracy” by which info “stolen” in the NLC was despatched to your US, the place he claimed it was remaining marketed to fund a smear marketing campaign from the NLC.

He was repeating equivalent promises he had Earlier produced in Parliament, which bundled ad hominem attacks on GroundUp which reporter but was careful not to name both.

“I came in this article Within this August household last year and noted to honourable associates that information regarding our beneficiaries has long been stolen and set in a single condition in the united states,” he advised MPs.

“We referred to as about the State Security Company to come back consider the matter because we have been acquiring reports that our information and facts is creating cash for media platforms and journalists,” he claimed. “There's been communicate, naturally from one supply, just one media, that spoke A lot about proactive-funding,” Nevhutanda explained (referring to GroundUp), but didn't convey to MPs which the SSA investigation were completed Practically a 12 months previously.

Proactive funding was at the center on the looting with the lottery. It aspect-stepped the conventional grant approach. The NLC could by itself recognize a undertaking to fund and appoint a non-earnings organisation to oversee it.

Just after Nevhutanda initially advised Parliament in 2018 that he had requested the SSA to investigate the intended breach, the South African National Editors Discussion board issued a press release declaring that his remarks mirrored “an especially dangerous Frame of mind where the media is staying blamed for the NLC’s inherent troubles”.

“Rather than investigating why hundreds of thousands can't be accounted for, the NLC has in its place made an effort to Forged question over the integrity of the journalists involved and it has questioned the SSA to research their sources.”

Proactive projects produced magic formula
Security flaws discovered from the NLC grant funding technique in the course of the SSA’s investigation, seem to have been applied as an justification from the NLC to eliminate all proactive-funded tasks from its central grants process.

“In or about 21 December 2019, the classification of all pro-actively funding assignments was heightened to ‘secret’ and assignments were being faraway from the grant funding method and preserved manually beneath the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Information Place of work, Government Manager Legal as a way to safeguard [the] data,” Nene claimed in her affidavit.

“There was many inside discussion, with a lot of back and forth, about how to proceed to plug the alleged leaks”, a supply, who was within a senior position within the NLC at enough time, informed GroundUp. “In the end, the decision was taken to eliminate the many proactive tasks with the program and Restrict access to a handful of persons”.

Some in that handful of people were implicated in corruption.

Maselwa, who resigned from your NLC a number of many years in the past, has long been implicated in corruption involving lottery resources. He received R4.three-million from lottery funds allotted to construct a library and museum sophisticated in Kuruman (see Taung Cultural New music and Arts Expo) which he employed to construct a dwelling within an upmarket gated growth in Pretoria. The assets is among numerous paid out for with lottery resources which were frozen once the Asset Forfeiture Device obtained a preservation purchase in December 2022.

The politically-connected Nevhutanda, who was appointed as being the NLC board chairperson by previous President Jacob Zuma in 2009 and was near to high-ups inside the ANC Management, former NLC former Commissioner Thabang Mampane, and ex-chief operating officer Phillemon Letwaba, have all been implicated while in the corruption which overwhelmed the NLC on their own check out.

Also implicated are previous board customers William Huma, who resigned following he was confronted with proof of how he had profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have considering the fact that died.

Every time a new administration, such as the whole board and government, took around in the NLC in late 2022 and early 2023, they uncovered a “chaotic mess” in the documentation associated with proactive funding, A great deal of which was paper-centered. Key files ended up missing. Files held for safekeeping by doc storage firm Metrofile had been signed out and hardly ever returned.

The NLC was able to Get better copies of some ตรวจ หวย ล่าสุด paperwork from its Mimecast email archiving system and the laptops in their assistants and assist workers.

News stories
In his 1 December 2018 letter, dealt with to then SSA Minister Dipuo Letsatsi-Duba, Nevhutanda wrote: “The NLC has observed with grave concern doable details stability breaches as well as the unauthorised use and/or dissemination of private information acquired due to performing official functions while in the Fee by NLC workforce. The actions are intended to undermine the integrity in the Commission even though disrupting the productive features [on the NLC] and resulting in insurmountable reputational damage to your Fee as being the custodian of non-public details entrusted to it by its beneficiaries.”

His request for the SSA to analyze was supported in an affidavit by suspended NLC company secretary, Nomphumelelo Nene.

Nene is at this time going through a disciplinary inquiry right after she was unsuccessful in lawful motion to set aside results of irregular expenditure on her watch.

The objective of her affidavit, Nene reported, was “to document the gatherings which transpired relating to data stability breaches in the National Lotteries Commission”.

She outlined a variety of information stories which she claimed ended up the effects of such “breaches” (see at the conclusion of this article).

Nene said that a whistle-blower approached the NLC alleging that one of its employees, Sello Qhino, experienced “offered her classified NLC Information and facts and persistently inspired her to supply the data to GroundUp”.

Qhino, who blew the whistle on the number of dodgy lottery-funded projects in Kuruman just after attempts to boost The difficulty internally had been overlooked, was subsequently fired.

Referring to an eighteen November 2018 article while in the Day by day Dispatch regarding the misappropriation of Lottery money, Nene claimed the NLC determined after which you can suspended Zintle Rungqu. She was an employee in the NLC’s East London Workplace, who was the spouse as well as the mother of whistleblower Mzukise Makatse’s a few little ones.

Rungqu and Makatse imagine Rungqu was punished due to the fact Makatse blew the whistle. She was suspended and billed internally, Along with the NLC shelling out R470,000 on lawyers to characterize it, but was identified not responsible and permitted to return to work.

“The prevalent factor in these articles or blog posts is the fact that [they entail] categorised information associated with proactive funding initiatives,” Nene reported in her affidavit.

When Runqu was suspended, Makatse moved out from the household household to go ahead and take heat off her and his young children. Experiencing homelessness, he moved into an Office environment within an empty factory belonging to an acquaintance.

Both equally Makatse and Qhino are participating in an NLC reparation procedure meant to recognise the harm some individuals experienced on the arms on the NLC. Apologies and, in some instances, money compensation are predicted.

“Some individuals have been definitely affected quite negatively by this … This is really unpleasant,” NLC Commissioner Jodi Scholtz advised the Each day Maverick last year.

“I met a number of these men and women. It had been just so heart-wrenching that their entire lives happen to be turned upside down,” reported Scholtz.

Among the Those people she fulfilled had been Qhino and Makatse.

Secure System essential for whistleblowers
The SSA identified the absence at the time of a suitable channel for whistleblowers to report corruption led them to show on the media.

“Failure to possess a devoted anti-corruption channel will bring about personnel presenting such situations beyond the NLC,” the SSA stated in its results.

“Supplied the magnitude of corruption in point out establishments, it remains vital that it makes sure that the NLC complies with all protection prescripts and that its emphasis is on guaranteeing that unlawful and irregular carry out is adequately mitigated towards and by making certain an satisfactory channel for whistle-blowers to report untoward conduct without being intimidated.”

It recommended which the NLC set up a “Secure channel” for workers to supply info on any “untoward action” that would not protect against or discourage staff from blowing the whistle. A whistle-blowers plan, determined by the Protected Disclosures Act 25 of 2000, is usually a necessity.”

Media stories Nene listed
A 10 December 2017 report while in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Physical fitness Centre in Limpopo. GroundUp has worked carefully with Anton van Zyl, an investigative reporter and owner in the Limpopo Mirror, to reveal NLC corruption. “The report had factors of information not obtainable in the public area, therefore elevating concern on interior Facts protection breaches. The allegations inside the media were independently investigated,” Nene reported. “On the other hand, staff accountable for divulging categorised details have nonetheless to get discovered”;
A 28 January 2018 write-up released from the Dally Dispatch “citing quite a few allegations within the Limpopo Mirror post revealed on 10 December 2017 plus a new allegation concerning a previous staff via the identify of Mzukisi Makatse. He was billed and summarily dismissed for that risk induced for the organisation.”
A 16 November 2018 article during the Lowvelder about the misappropriation of NLC cash involving a lottery-funded drug rehabilitation centre. GroundUp has documented how, in spite of obtaining R27-million in lottery grants, the rehab has never been concluded. “The Lowvelder write-up contained categorised details in terms of NLC coverage, boosting additional problems of internal 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 data 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 story that it absolutely was based upon leaked NLC paperwork. This was despite the NLC rejecting a PAIA (Promotion of Usage of Info) request for details regarding the undertaking, she said