Special Investigating Units And Special Tribunals Act, 1996 (Act No. 74 of 1996)ProclamationsReferral of Matters to Existing Special Investigating UnitsNational Lotteries Commission (NLC)Proclamation No. R. 32 of 2020 |
Proclamation No. R. 32
6 November 2020
GG 43885
PROCLAMATION NO. R.32 OF 2020
by the
PRESIDENT of the REPUBLIC of SOUTH AFRICA
WHEREAS allegations as contemplated in section 2(2) of the Special Investigating Units and Special Tribunals Act, 1996 (Act No. 74 of 1996) (hereinafter referred to as “the Act”), have been made in respect of the affairs of the National Lotteries Commission, previously known as the National Lotteries Board, (hereinafter referred to as “the NLC”);
AND WHEREAS the State or the NLC suffered losses that may be recovered;
AND WHEREAS I deem it necessary that the said allegations should be investigated and civil proceedings emanating from such investigation should be adjudicated upon;
NOW, THEREFORE, I hereby, under section 2(1) of the Act, refer the matters mentioned in the Schedule in respect of the NLC, for investigation to the Special Investigating Unit established by Proclamation No. R. 118 of 31 July 2001 and determine that, for the purposes of the investigation of the matters, the terms of reference of the Special Investigating Unit are to investigate as contemplated in the Act, any alleged—
| (a) | serious maladministration in connection with the affairs of the NLC; |
| (b) | improper or unlawful conduct by employees or officials of the NLC; |
| (c) | unlawful appropriation or expenditure of public money or property; |
| (d) | unlawful, irregular or unapproved acquisitive act, transaction, measure or practice having a bearing upon State property; |
| (e) | intentional or negligent loss of public money or damage to public property; |
| (f) | offence referred to in Parts 1 to 4, or section 17, 20 or 21 (in so far as it relates to the aforementioned offences) of Chapter 2 of the Prevention and Combating of Corrupt Activities Act, 2004 (Act No. 12 of 2004), and which offences were committed in connection with the affairs of the NLC; or |
| (g) | unlawful or improper conduct by any person, which has caused or may cause serious harm to the interests of the public or any category thereof, |
which took place between 10 October 2025 and the date of publication of this Proclamation or which took place prior to 10 October 2025 or after the date of publication of this Proclamation, but is relevant to, connected with, incidental or ancillary to the matters mentioned in the Schedule or involve the same persons, entities or contracts investigated under authority of this Proclamation, and to exercise or perform all the functions and powers assigned to or conferred upon the said Special Investigating Unit by the Act, including the recovery of any losses suffered by the State or the NLC, in relation to the said matters in the Schedule.
[Proclamation No. R. 32 (paragraph 4) (original Proclamation date) substituted by item (a) of Proclamation Notice 293, GG53487, dated 10 October 2025]
Given under my Hand and the Seal of the Republic of South Africa at Johannesburg this 20 day of October Two thousand and twenty.
CM Ramaphosa
President
By Order of the President-in-Cabinet:
RO Lamola
Minister of the Cabinet
SCHEDULE
| 1. | Maladministration in the affairs of the NLC in relation to the— |
| (a) | investment of funds in the National Lottery Distribution Trust Fund, established in terms of section 21 of the Lotteries Act, 1997 (Act No. 57 of 1997), contrary to the provisions of the said Act; and |
| (b) | allocation of money in the Fund referred to in paragraph (a) to beneficiaries who were not entitled thereto in terms of the Lotteries Act, 1997, including the causes of such maladministration. |
| 2. | The procurement of or contracting for— |
| (a) | the appointment of a panel of attorneys’ firms and legal practitioners in terms of Bid NLC/2020-05; |
| (b) | the appointment of a service provider for a Comprehensive Employee Wellness Programme for the Employees of the NLC in terms of RFP/2021-15; |
| (c) | the extension of the appointment of Metrofile for offsite storage of documents and delivery thereof from 1 January 2021 to 31 March 2021; |
| (d) | the appointment of a service provider for the Procurement of Electronic Board Pack in terms of RFP/2020-06, RFQ NLC/2019-006 and Bid NLC 2020-006; |
| (e) | the appointment of a service provider for advertorial on Back to Basics Magazine; |
| (f) | submission for approval: deviation from normal procurement process, Independent Media, Arena Holdings, Media 24; |
| (g) | the appointment of Mail & Guardian for media road show through a deviation from normal competitive bidding; |
| (h) | a contract with a service provider for the provision of MPLS services on 12 May 2016; |
| (i) | a Service Level Agreement for the rental of managed print services for the period 1 June 2018 to 31 May 2021; |
| (j) | appointment of service provider for travel, accommodation and conferencing as it relates to the fourth licence RFP process; |
| (k) | placement of advertorials in the Sunday World newspaper; |
| (l) | a flashmob activation (Women 2021 Celebrations) involving MSG Group Sales, and Elsiscope Digital Solutions; |
| (m) | the appointment of Neo Solutions in October 2017 for the development of a Company Secretariat Knowledge Hub Strategy; |
| (n) | the appointment of Neo Solutions to investigate a potential hacking incident involving the electronic board pack; |
| (o) | the appointment of Edge Consulting in June 2019 for the implementation of an Oracle Fusion System; |
| (p) | the appointment of ProEthics to provide services in relation to ethics; |
| (q) | the appointment of Workforce Healthcare in September 2019 for the provision of employee wellness services; |
| (r) | the appointment of SRSQS Quantity Surveyors in January 2018 for project managing the acquisition of provincial offices; |
| (s) | the appointment of Maluks Attorneys in April 2021 to a panel of legal service providers; |
| (t) | an education and awareness broadcast campaign related to the purchase order dated 29 October 2020; and |
| (u) | accommodation and travel services rendered by Regency Apartment Hotel and Ndila Transfers, |
by or on behalf of the NLC, and payments which were made in respect thereof in a manner that was―
| (i) | not fair, equitable, transparent, competitive or cost-effective; or |
| (ii) | contrary to applicable― |
| (aa) | legislation; |
| (bb) | manuals, guidelines, practice notes, circulars or instructions issued by the National Treasury; or |
| (cc) | manuals, codes, guidelines, policies, procedures, prescripts, instructions or practices of, or applicable to the NLC, |
and any related unauthorised, irregular or fruitless and wasteful expenditure incurred by the NLC or the State.
[Proclamation No. R. 32 (Schedule)(2) inserted by item (b) of Proclamation Notice 293, GG53487, dated 10 October 2025]
| 3. | Any improper or unlawful conduct by the officials or employees of the NLC, or any other person or entity, in relation to the allegations set out in paragraph 1 and 2 of this Schedule, including the causes of such improper or unlawful conduct and any losses, damage or actual or potential prejudice suffered by the NLC or the State. |
[Proclamation No. R.32 (Schedule)(3) substituted and re-numbered by item (c)(d) of Proclamation Notice 293, GG53487, dated 10 October 2025]