Announcement of recent lottery licence operator postponed - again
Announcement of recent lottery licence operator postponed - again
Blog Article
Parks Tau, the trade and market minister, has postponed naming a profitable bidder to operate South Africa’s lottery if the tenure of recent operator, Ithuba, ends in May perhaps upcoming year.
Ithuba’s licence was owing to get expired in May 2023 but was extended for 2 many years by Tau’s predecessor Ebrahim Patel after a ask for from the then recently-appointed board of your National Lotteries Commission (NLC).
The Board, which was working with the corruption that experienced confused the NLC, also advised Patel of representations by Ithuba that it were seriously afflicted by the Covid pandemic. This integrated a ban around the sale of lottery tickets at the height from the pandemic.
Regarding the extension, Ithuba had to produce contributions for the NLC for distribution to great leads to at the next amount than presented for in their Original licence.
New licence operators are provided 6 months to create infrastructure, such as ticket devices countrywide, to take in excess of in the preceding operator ahead of the incumbent’s licence finishes. This most recent postponement signifies that there won't be ample time for a easy transition and It really is unlikely that Tau will lengthen Ithuba’s licence once again.
The entire process of appointing a different licence operator has also been stricken by allegations of conflict of desire and other issues.
GroundUp has acquired the NLC has contingency programs in place to carry on funding excellent leads to for nearly a 12 months When the lottery and the sale of lottery tickets are suspended.
The contingency also addresses funding during the function of litigation by getting rid of bidders whenever a new operator is eventually declared, which could also derail the smooth managing with the lottery.
In the event that ticket revenue are stopped, the NLC will use its reserves of R3.9-billion to continue funding qualifying organisations, a source with knowledge of the contingency strategy informed GroundUp.
In his weekend statement announcing the postponement, Tau said: “Unfortunately, I'm not able to generate a ultimate selection at this stage. Any these types of final decision at the moment would in all good conscience necessarily mean that I haven't applied my head with due thought of all of the suitable elements.”
“I have discovered issues that demand further more analysis. It would be inappropriate to disclose these troubles now as well as their disclosure could pretty well prejudice the proper adjudication from the awarding in the licence.”
Tau explained he was awaiting tips on The simplest way to make sure the continuation of your lottery from the interim as well as “progress of a programme to finalise this method”.
This, he explained, should be done immediately after consultation While using the National Treasury.”
Tau also hinted within the political makeup on the consortiums bidding for the licence as One more probable cause of the postponement.
He claimed: “I need to also make sure that the homeowners and supervisors with the successful applicants are, as the Act states, ‘match and appropriate individuals’. Furthermore, I must make sure that no political party or political office-bearer has any immediate fiscal interest during the applicant or maybe a shareholder in the applicant.”
Company Working day reported Earlier that the majority of the businesses shortlisted with the tender are politically exposed.
The Gold Rush consortium is led by significant-profile businessperson Sandile Zungu, who challenged for the ANC KwaZulu-Natal chair placement in 2022 in advance of dropping out following he failed to garner adequate assist, the paper claimed.
Another politically related bidder is HCI, which is vast majority-owned through the South African Clothes and Textile Workers’ Union, an affiliate of Cosatu, which is in alliance with the ANC. CEO Johnny Copelyn donated to President Cyril Ramaphosa’s CR17 marketing campaign for your ANC presidency.
Another shortlisted bidder, In keeping with Small business Day, is Thebe Financial commitment Corporation, which was Launched by ANC leaders in 1992. Thebe is 50 %-owned by Batho Batho Have confidence in. The belief has donated R60-million for the ANC considering the fact that 2021, In accordance with declarations designed into the electoral Fee.
Ithuba, the holder of the licence, can also be inside the managing, as is Umbulelo Consortium, led by Afrirent Holdings; and Giya Online games, In line with Small business Day.
Vivien Natasen consulted for Giya Games on its bid. GroundUp claimed in 2022 that Natasen, byตรวจ หวย ย้อน หลัง his firm Neo Alternatives, contributed R2-million to the luxurious mansion of your then-NLC chair Aflred Nevhutanda — while his company Neo Solutions experienced a agreement With all the NLC. Natasen informed GroundUp At the moment that Neo Remedies was “appointed with the NLC’s source chain processes, as and when solutions are demanded”.