Lottery bosses turned to Point out Protection Agency to research leaks

Lottery bosses turned to Point out Protection Agency to research leaks

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Former Countrywide Lotteries Commission (NLC) board chairperson Alfred Nevhutanda requested the Point out Stability Company (SSA) in December 2018 to investigate the leaking of documents that uncovered lottery corruption.
The NLC’s organization secretary at time detailed media stories she claimed ended up based on “stolen” information within an affidavit to the SSA.
The SSA did investigate. It found the data was not a make any difference of condition security and the “prevalence of alleged corruption and irregularities” gave “ample motive” for that media to expose it.
A completely new 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 located 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 stability breaches and sabotage of NLC functions” was undertaken soon after then-NLC board chairperson Alfred Nevhutanda wrote on the SSA in December 2018 requesting it to research.

Here's

Nevhutanda’s letter,
an affidavit by now suspended NLC enterprise secretary Nompumelelo Nene supporting the request, and
the safety agency’s “private” results and recommendations.
Nevhutanda requested the SSA to investigate the purpose of NLC workers in the alleged leaking of knowledge, and Nene, in her affidavit discovered certain media and experiences that she claimed involved these leaks.

While in the letter outlining its conclusions, the SSA told the NLC that even though protecting state details was “a authorized critical directed at protecting the sovereignty and integrity of the point out” this only placed on properly categorized data.

Although it didn't say so specifically, the SSA results implied that the allegedly leaked information didn't drop into this classification.

Appreciably, the SSA manufactured it very clear that the necessity to safeguard point out data “does not protect against any personal from blowing the whistle on corruption or irregular or criminality”.

The SSA investigation discovered the NLC facts involved in the alleged breach was “sensitive and privileged in character, but not labeled concerning the prescripts from the Minimal Data Protection Criteria (Miss out on)”.

“The leakage with the applicable delicate official NLC data into the media will not pose a threat to nationwide stability,” the SSA claimed, introducing that the influence from the breaches was reputational.

The SSA report discovered “no proof of a factual and incriminating nature from any with the suspected NLC staff that may be determined from the data and information interrogated”.

Additionally, it said that “the prevalence of alleged corruption and irregularities in the NLC and at its beneficiaries does deliver ample motive to possess these kinds of exposed while in the media”.

Conspiracy statements
In 2020, Nevhutanda advised MPs through a session of Parliament’s trade, field and Competitors portfolio committee that there was “a conspiracy” in which information “stolen” within the NLC was sent towards the US, where he claimed it had been becoming marketed to fund a smear campaign from the NLC.

He was repeating equivalent promises he experienced Formerly built in Parliament, which integrated advertisement hominem assaults on GroundUp which reporter but was cautious not to name both.

“I arrived in this article Within this August property very last calendar year and reported to honourable members that information about our beneficiaries is stolen and place in one point out in the usa,” he instructed MPs.

“We identified as about the Condition Security Company to come consider the matter for the reason that we have been obtaining experiences that our data is producing dollars for media platforms and journalists,” he mentioned. “There have been discuss, certainly from a single supply, one media, that spoke Significantly about proactive-funding,” Nevhutanda claimed (referring to GroundUp), but didn't tell MPs that the SSA investigation had been finished Practically a 12 months previously.

Proactive funding was at the center on the looting on the lottery. It aspect-stepped the normal grant procedure. The NLC could itself identify a challenge to fund and appoint a non-gain organisation to oversee it.

Right after Nevhutanda first told Parliament in 2018 that he experienced requested the SSA to research the supposed breach, the South African Countrywide Editors Discussion board issued an announcement stating that his remarks mirrored “a very unsafe Perspective where the media is remaining blamed to the NLC’s inherent issues”.

“Rather than investigating why thousands and thousands can not be accounted for, the NLC has alternatively made an effort to cast doubt about the integrity of your journalists concerned and has requested the SSA to research their resources.”

Proactive initiatives made magic formula
Safety flaws recognized while in the NLC grant funding process during the SSA’s investigation, appear to have been used being an justification through the NLC to remove all proactive-funded jobs from its central grants procedure.

“In or about 21 December 2019, the classification of all pro-actively funding projects was heightened to ‘top secret’ and assignments had been faraway from the grant funding method and managed manually under the custody of [Tsietsi Maselwa] the NLC’s [then] Deputy Facts Place of work, Govt Supervisor Legal so as to safeguard [the] info,” Nene explained in her affidavit.

“There was loads of internal discussion, with a lot of backwards and forwards, about what to do to plug the alleged leaks”, a supply, who was in the senior situation within the NLC at some time, explained to GroundUp. “Eventually, the choice was taken to remove each of the proactive tasks from the system and Restrict entry to A few persons”.

Some in that handful of individuals were implicated in corruption.

Maselwa, who resigned with the NLC many many years in the past, is implicated in corruption involving lottery resources. He received R4.3-million from lottery resources allocated to construct a library and museum elaborate in Kuruman (see Taung Cultural Songs and Arts Expo) which he applied to make a home in an upmarket gated growth in Pretoria. The residence is among quite a few compensated for with lottery resources which were frozen once the Asset Forfeiture Device acquired a preservation purchase in December 2022.

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

Also implicated are former board members William Huma, who resigned right after he was confronted with evidence of how he experienced profited from corrupt lottery grants, and Muthuhadini Madzivhandila, who may have since died.

Every time a new administration, including the total board and govt, took in excess of for the NLC in late 2022 and early 2023, they discovered a “chaotic mess” during the documentation concerning proactive funding, Considerably of which was paper-primarily based. Important documents were being lacking. Data files held for safekeeping by doc storage corporation Metrofile were signed out and under no circumstances returned.

The NLC was able to Get well copies of some หวย ลาว ล่าสุด paperwork from its Mimecast e mail archiving system as well as the laptops of their assistants and assistance staff.

Information reviews
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 data stability breaches as well as the unauthorised use and/or dissemination of private information and facts obtained because of undertaking Formal capabilities in the Fee by NLC workers. The routines are intended to undermine the integrity in the Commission whilst disrupting the efficient functions [of the NLC] and causing insurmountable reputational hurt on the Commission as the custodian of private details entrusted to it by its beneficiaries.”

His request for that SSA to investigate was supported within an affidavit by suspended NLC organization secretary, Nomphumelelo Nene.

Nene is currently experiencing a disciplinary inquiry right after she was unsuccessful in lawful motion to set aside results of irregular expenditure on her check out.

The purpose of her affidavit, Nene explained, was “to history the occasions which transpired associated with facts stability breaches at the National Lotteries Fee”.

She listed numerous news experiences which she claimed were being the results of such “breaches” (see at the conclusion of this information).

Nene claimed that a whistle-blower approached the NLC alleging that considered one of its personnel, Sello Qhino, had “supplied her categorized NLC Facts 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 lift The problem internally have been dismissed, was subsequently fired.

Referring to an 18 November 2018 posting during the Each day Dispatch with regard to the misappropriation of Lottery cash, Nene stated which the NLC determined and after that suspended Zintle Rungqu. She was an staff inside the NLC’s East London Workplace, who was the lover as well as the mom of whistleblower Mzukise Makatse’s a few youngsters.

Rungqu and Makatse believe that Rungqu was punished simply because Makatse blew the whistle. She was suspended and charged internally, Along with the NLC spending R470,000 on lawyers to signify it, but was identified not guilty and allowed to return to work.

“The common factor in these posts is [they include] classified information concerning proactive funding initiatives,” Nene explained in her affidavit.

When Runqu was suspended, Makatse moved out from the family dwelling to take the warmth off her and his youngsters. Facing homelessness, he moved into an Office environment within an empty manufacturing facility belonging to an acquaintance.

The two Makatse and Qhino are taking part in an NLC reparation process intended to recognise the damage some people suffered on the palms with the NLC. Apologies and, occasionally, financial compensation are expected.

“Some people had been actually impacted extremely negatively by this … This is basically painful,” NLC Commissioner Jodi Scholtz told the Daily Maverick very last yr.

“I met two or three these persons. It was just so coronary heart-wrenching that their entire life have already been turned the other way up,” mentioned Scholtz.

Among the People she achieved had been Qhino and Makatse.

Safe and sound System necessary for whistleblowers
The SSA observed the absence at some time of a proper channel for whistleblowers to report corruption led them to turn for the media.

“Failure to have a committed anti-corruption channel will end in workforce presenting such instances outside of the NLC,” the SSA said in its conclusions.

“Specified the magnitude of corruption in point out institutions, it remains crucial that it makes certain that the NLC complies with all protection prescripts and that its aim is on guaranteeing that illegal and irregular carry out is adequately mitigated from and by making certain an adequate channel for whistle-blowers to report untoward carry out without staying intimidated.”

It suggested the NLC build a “Protected channel” for workers to deliver information on any “untoward activity” that might not reduce or discourage workers from blowing the whistle. A whistle-blowers coverage, determined by the Shielded Disclosures Act twenty five of 2000, is usually a need.”

Media reports Nene listed
A ten December 2017 report in the Limpopo Mirror about corruption and maladministration involving the Lottery-funded Vhembe Health and Fitness Centre in Limpopo. GroundUp has labored carefully with Anton van Zyl, an investigative reporter and owner of the Limpopo Mirror, to reveal NLC corruption. “The write-up experienced things of information not available in the public area, thereby increasing concern on inside Info protection breaches. The allegations within the media ended up independently investigated,” Nene said. “Even so, employees liable for divulging labeled information and facts have however for being determined”;
A 28 January 2018 short article posted by the Dally Dispatch “citing numerous allegations in the Limpopo Mirror write-up printed on 10 December 2017 and a new allegation relating to a previous worker from the identify of Mzukisi Makatse. He was charged and summarily dismissed for the menace induced towards the organisation.”
A sixteen November 2018 post during the Lowvelder in regards to the misappropriation of NLC funds involving a lottery-funded drug rehabilitation centre. GroundUp has reported how, Despite acquiring R27-million in lottery grants, the rehab has not been accomplished. “The Lowvelder post contained categorised information and facts with regard to NLC policy, boosting even more issues of interior details stability breaches,” Nene mentioned in her affidavit. “The prima facie proof with regard to these allegations did not warrant an impartial Investigation, however [it] highlighted the heightened data protection risks inside the NLC.”
A 22 November 2018 GroundUp expose a couple of dodgy R27.5-million grant to Denzhe Key Treatment, a hijacked NPO. Nene claimed GroundUp experienced verified in its story that it had been determined by leaked NLC paperwork. This was despite the NLC rejecting a PAIA (Promotion of Access to Information) ask for for facts with regard to the job, she explained