Announcement of recent lottery licence operator postponed - once more
Announcement of recent lottery licence operator postponed - once more
Blog Article
Parks Tau, the trade and market minister, has postponed naming a winning bidder to operate South Africa’s lottery when the tenure of present-day operator, Ithuba, ends in Could upcoming 12 months.
Ithuba’s licence was owing to acquire expired in May well 2023 but was prolonged for two a long time by Tau’s predecessor Ebrahim Patel after a ask for via the then recently-appointed board in the National Lotteries Fee (NLC).
The Board, which was working with the corruption that had confused the NLC, also suggested Patel of representations by Ithuba that it were severely afflicted with the Covid pandemic. This integrated a ban to the sale of lottery tickets at the height on the pandemic.
When it comes to the extension, Ithuba had to help make contributions for the NLC for distribution to fantastic causes at a greater fee than delivered for in their initial licence.
New licence operators are offered six months to set up infrastructure, which includes ticket machines countrywide, to consider more than in the previous operator ahead of the incumbent’s licence ends. This newest postponement means that there won't be sufficient time for just a easy changeover and It truly is unlikely that Tau will prolong Ithuba’s licence again.
The whole process of appointing a whole new licence operator has also been plagued by allegations of conflict of curiosity as well as other troubles.
GroundUp has learned that the NLC has contingency programs in position to carry on funding fantastic causes for as much as a year In the event the lottery plus the sale of lottery tickets are suspended.
The contingency also addresses funding while in the function of litigation by dropping bidders whenever a new operator is lastly declared, which could also derail The sleek operating of the lottery.
Just in case ticket product sales are stopped, the NLC will use its reserves of R3.nine-billion to continue funding qualifying organisations, a resource with understanding of the contingency approach advised GroundUp.
In his weekend assertion announcing the postponement, Tau explained: “Unfortunately, I am not able to help make a last determination at this time. Any such choice at the moment would in all very good conscience signify which i have not applied my thoughts with because of consideration of all of the related elements.”
“I've determined matters that require further more analysis. It would be inappropriate to reveal these troubles now and their disclosure could incredibly effectively prejudice the appropriate adjudication on the awarding of the licence.”
Tau claimed he was awaiting guidance on The simplest way to make sure the continuation of your lottery inside the interim plus the “development of a programme to finalise this process”.
This, he mentioned, have to be performed just after session with the Countrywide Treasury.”
Tau also hinted within the political make-up on the consortiums bidding to the licence as Yet another feasible reason for the postponement.
He reported: “I have to also make certain that the owners and supervisors from the thriving applicants are, since the Act states, ‘fit and suitable folks’. Furthermore, I have to ensure that no political social gathering or political Business-bearer has any immediate monetary curiosity while in the applicant or maybe a shareholder of your applicant.”
Business Working day claimed Beforehand that the majority of of the businesses shortlisted for your tender are politically exposed.
The Gold Rush consortium is led by large-profile businessperson Sandile Zungu, who challenged to the ANC KwaZulu-Natal chair posture in 2022 before dropping out right after he failed to garner enough guidance, the paper documented.
Yet another politically related bidder is HCI, and that is bulk-owned because of the South African Clothes and Textile Personnel’ Union, an affiliate of Cosatu, that's in alliance with the ANC. CEO Johnny Copelyn donated to President Cyril Ramaphosa’s CR17 campaign for your ANC presidency.
One more shortlisted bidder, In keeping with Enterprise Day, is Thebe Financial investment Company, which was Launched by ANC leaders in 1992. Thebe is 50 percent-owned by Batho Batho Belief. The trust has donated R60-million to the ANC because 2021, Based on declarations made on the electoral commission.
Ithuba, the holder in the licence, can be inside the running, as is Umbulelo Consortium, led by Afrirent Holdings; and Giya Online games, In line with Business Day.
Vivien Natasen consulted for Giya Video games on its bid. GroundUp claimed in 2022 that Natasen, by means ofสลาก กิน รัฐบาล his corporation Neo Remedies, contributed R2-million towards the posh mansion from the then-NLC chair Aflred Nevhutanda — when his business Neo Methods had a contract While using the NLC. Natasen told GroundUp at that time that Neo Remedies was “appointed in the NLC’s offer chain procedures, as and when companies are required”.
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