The Special Investigating Unit is making some headway in its investigations into fraud and corruption at the National Lotteries Commission (NLC).
The Unit obtained a preservation order to freeze a R27 million luxury property linked to the former chairperson of the NLC, Professor Alfred Nevhutanda.
Nevhutanda allegedly bought the mansion in 2018, with monies funneled, via non-profit organizations, from the NLC.
In a statement, the unit confirmed that: ” The SIU investigation has revealed that the acquisition of the property was funded by the Non-Profit Organisations (NPOs) with money they had received, under the auspices of grant funding, from the NLC. The luxury property therefore, constitutes proceeds of unlawful activities hence the application for a preservation order pending the final determination of the review application.”
“The more than R100 million in grant funding was purported to be for the community empowerment projects like construction of athletics tracks in Mpumalanga and North West provinces, old age homes in North West and Limpopo provinces, and a Rehabilitation Centre in Soshanguve Township, Gauteng.”
[Statement] The SIU freezes luxury property worth over R25 million owned by Vhutanda Investments, whose sole director is Prof. Alfred Nevhutanda. The property was allegedly bought for approximately R27M with money from National Lotteries Commission. More: https://t.co/jahFfsOtVu pic.twitter.com/e29H0jQW3I
— South African Government (@GovernmentZA) June 27, 2022
This preservation order was granted by the Special Tribunal and is a continuation of the implementation of the SIU investigation outcomes and consequence management to recover assets and financial losses suffered by State institutions.
“The SIU will institute civil proceedings within 60 days, which seeks to review and set aside the decisions by the NLC to approve funding for War_Rna NPO, Inqaba Yokulinda, Mushumo Ushava Zwanda, Simingaye Community Project NPO and Zibsilor NPO, and recover financial losses suffered by the State.”
In the statement investigations confirmed that: “The SIU will institute civil action against Professor Nevhutanda and Vhutanda Investments for the disgorgement of secret profits improperly earned during tenure of Professor Nevhutanda as chairperson of the board of the NLC.”