Announcement of recent lottery licence operator postponed - yet again
Announcement of recent lottery licence operator postponed - yet again
Blog Article
Parks Tau, the trade and field minister, has postponed naming a winning bidder to operate South Africa’s lottery in the event the tenure of current operator, Ithuba, ends in Could following 12 months.
Ithuba’s licence was owing to own expired in May possibly 2023 but was extended for two years by Tau’s predecessor Ebrahim Patel following a request through the then freshly-appointed board in the Nationwide Lotteries Commission (NLC).
The Board, which was handling the corruption that had confused the NLC, also encouraged Patel of representations by Ithuba that it had been seriously impacted by the Covid pandemic. This included a ban to the sale of lottery tickets at the height from the pandemic.
With regards to the extension, Ithuba had to produce contributions towards the NLC for distribution to good causes at a better rate than presented for of their Preliminary licence.
New licence operators are specified six months to build infrastructure, such as ticket devices countrywide, to just take around from the previous operator before the incumbent’s licence ends. This most recent postponement signifies that there won't be ample time to get a smooth changeover and It's unlikely that Tau will extend Ithuba’s licence all over again.
The process of appointing a fresh licence operator has also been suffering from allegations of conflict of desire and various troubles.
GroundUp has learned the NLC has contingency designs in place to carry on funding very good brings about for around a year When the lottery plus the sale of lottery tickets are suspended.
The contingency also covers funding during the function of litigation by getting rid of bidders whenever a new operator is eventually declared, which could also derail The graceful functioning of your lottery.
In case ticket income are stopped, the NLC will use its reserves of R3.9-billion to continue funding qualifying organisations, a source with knowledge of the contingency program advised GroundUp.
In his weekend statement asserting the postponement, Tau said: “Regretably, I'm not in a position to create a remaining determination at this time. Any these kinds of decision at the moment would in all good conscience indicate which i haven't utilized my head with thanks consideration of each of the pertinent aspects.”
“I have identified issues that have to have even further evaluation. It would be inappropriate to reveal these concerns now as well as their disclosure could incredibly properly prejudice the proper adjudication with the awarding in the licence.”
Tau reported he was awaiting tips on The ultimate way to ensure the continuation with the lottery inside the interim and the “enhancement of a programme to finalise this process”.
This, he claimed, should be performed right after consultation Using the National Treasury.”
Tau also hinted in the political makeup from the consortiums bidding for your licence as An additional feasible cause of the postponement.
He stated: “I must also make sure that the owners and supervisors on the productive applicants are, given that the Act states, ‘in shape and correct people’. Furthermore, I have to make certain that no political bash or political Place of work-bearer has any direct money interest inside the applicant or maybe a shareholder of the applicant.”
Enterprise Day documented Formerly that many of the companies shortlisted for your tender are politically uncovered.
The Gold Hurry consortium is led by substantial-profile businessperson Sandile Zungu, who challenged to the ANC KwaZulu-Natal chair place in 2022 prior to dropping out after he didn't garner ample assistance, the paper claimed.
A different politically connected bidder is HCI, which happens to be the greater part-owned through the South African Outfits and Textile Workers’ Union, an affiliate of Cosatu, that's in alliance While using the ANC. CEO Johnny Copelyn donated to President Cyril Ramaphosa’s CR17 campaign for your ANC presidency.
A different shortlisted bidder, Based on Organization Day, is Thebe Financial investment Company, which was founded by ANC leaders in 1992. Thebe is half-owned by Batho Batho Trust. The trust has donated R60-million towards the ANC because 2021, Based on declarations built to the electoral Fee.
Ithuba, the holder from the licence, is usually while in the running, as is Umbulelo Consortium, led by Afrirent Holdings; and Giya Online games, Based on Small business Working day.
Vivien Natasen consulted for Giya Video games on its bid. GroundUp documented in 2022 that Natasen, as a result ofหวย ออก his firm Neo Options, contributed R2-million to the luxury mansion on the then-NLC chair Aflred Nevhutanda — though his organization Neo Alternatives experienced a deal Using the NLC. Natasen advised GroundUp at that time that Neo Remedies was “appointed from the NLC’s source chain procedures, as and when products and services are demanded”.
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