SIU Halts R1.7 Million Payout in NLC Scandal

  • SIU's intervention: The Special Investigating Unit (SIU) obtained a legal order to halt a R1.7 million pension payout to Marubini Ramatsekisa, former National Lotteries Commission (NLC) Grant Manager, revealing alleged fraudulent activities and corruption within the NLC.
  • Allegations of fraud: Ramatsekisa is implicated in a scheme that resulted in the NLC losing around R4 million, involving the improper funding of a Non-Profit Organisation (NPO) and suspicious transactions leading to the purchase of property for a church, involving former NLC board members.
  • Extensive corruption probe: SIU's investigation revealed a more significant syndicate diverting approximately R279 million from the NLC, pointing to the involvement of certain executives and board members in the systematic siphoning of funds, requiring meticulous analysis of financial processes and bank accounts.
SIU's intervention

The Special Investigating Unit (SIU) has been actively pursuing justice in a significant case involving the National Lotteries Commission (NLC) in South Africa. In a recent development, the SIU obtained a Special Tribunal order to halt the R1.7 million pension payout destined for former NLC Grant Manager, Marubini Ramatsekisa. This legal intervention is part of a broader investigation into the NLC’s affairs, aiming to address allegations of fraud and corruption that have plagued the commission for an extended period.

The SIU’s spokesperson, Kaizer Kganyago, shed light on Ramatsekisa’s alleged involvement in orchestrating a scheme that resulted in the NLC losing approximately R4 million. Ramatsekisa was reportedly a key player in a fraudulent act that involved active funding of a Non-Profit Organisation (NPO). According to Kganyago, Ramatsekisa prepared a proposal for proactive funding in February 2019, recommending a substantial amount for a study aimed at developing the Khoi-San language.

What followed raised suspicion as within a mere three weeks, three individuals assumed directorship of a dormant shelf company called Zibsicraft NPC. This company subsequently applied for grant funding from the NLC, despite procedural irregularities. Documents obtained by the SIU revealed that the application, submitted on 25 March 2019, lacked necessary processing by the client liaison officer. Additionally, financial statements were presented for periods preceding the company’s recent establishment, indicating foul play.

Kganyago further disclosed that a significant portion of the misappropriated funding, around R2.2 million, was directed towards purchasing property for a church. Notably, former NLC Board Chairperson, Alfred Nevhutanda, and his wife were involved in the property transaction, raising concerns about their potential complicity.

The SIU is resolute in its pursuit of justice and aims to take civil action against Ramatsekisa to recover damages incurred by the NLC due to his actions. Earlier revelations made by SIU Head Advocate Andy Mothibi in a session with the National Assembly’s Portfolio Committee on Trade and Industry indicated that an extensive amount—R279 million—had been unlawfully diverted from the NLC’s funds.

Mothibi emphasized the complexity of the investigation, highlighting the meticulous analysis of bank accounts and payment processes from various financial institutions. The evidence gathered strongly suggests a syndicated effort involving certain executives and board members to siphon funds from the NLC. The utilization of trace methods and technology has been instrumental in tracing the flow of corruptly obtained funds.

This ongoing investigation into the NLC has been marked by its depth and complexity, revealing a network of corruption that has deeply affected the commission’s financial integrity. The SIU remains steadfast in its commitment to unraveling the truth behind these illicit activities, aiming to restore transparency and accountability within the NLC for the benefit of South Africa and its citizens.

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