- Cash from the Nationwide Lottery was meant to rebuild a Limpopo college which had been gutted by hearth.
- As an alternative the cash was used to purchase a R3.6 million home in a golf property close to Hartbeespoort Dam for the Commissioner of the Nationwide Lotteries Fee, Thabang Mampane.
- The home was registered in 2016 within the identify of the Mojakgomo Household Belief, of which Mampane and her household are beneficiaries.
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Tens of millions of rands in lottery cash meant to construct a faculty in Limpopo had been spent on a home for the Commissioner of the Nationwide Lotteries Fee (NLC), Thabang Mampane.
The cash for the home, in an upmarket golf property near Hartbeespoort Dam in North West Province, was channelled by way of Upbrand Properties, a non-public firm carefully linked to the NLC’s Chief Working Officer Phillemon Letwaba and his household.
The R3.6 million home in Pecanwood Property is registered within the identify of the Mojakgomo Household Belief. Mampane and her husband, Solomon, are each trustees of the belief, in accordance with official information.
The couple and their two grownup youngsters are all beneficiaries of the belief.
The Mojakgomo Household Belief was established on 15 August 2016.
On 29 August 2016, a non-profit organisation, Simba Neighborhood Growth Basis, acquired greater than R25 million — the primary tranche of a R28.3 million grant — to rebuild Vhafamadi college, which had been gutted by hearth throughout protests the earlier yr. On the identical day, Simba paid R4 million to Upbrand Properties. Earlier than the deposit by the NLC, Simba had a steadiness of solely R225.73 in its checking account.
On the time, Johannes Letwaba, the brother of Phillemon Letwaba, then the chief monetary officer of the NLC, was the only director of Upbrand Properties.
Earlier than the fee from Simba, Upbrand had a steadiness of R100 201 in its checking account. As quickly as the cash landed, Upbrand proceeded to make quite a few funds, together with R100 000 for the roof slab for Letwaba’s dwelling within the village of Marapyane in Mpumalanga.
By 12 September the steadiness within the account had dropped to R3 514 821 – till it was topped up by a R500 000 deposit from Ironbridge Travelling Company that very same day. Letwaba’s spouse, Rebotile Malomane is now a director of Ironbridge. Letwaba’s cousin was the only director on the time.
Ironbridge had earlier acquired R2 million from Simba Neighborhood Growth Basis on 29 August 2016.
The subsequent day, three separate funds – R68 600, R20 000 and R24 240 – got here into Upbrand from Shandukani Holdings, which did among the development work on the college. Shandukani’s proprietor, Mashudu Shandukani, stated: “2016 is the yr we had been constructing Vhafamadi secondary college. Upbrand properties had been the nominated civil and earthworks contractor. We paid them for the work executed.”
With the account topped up, Upbrand then paid R3.6 million to Jacobs Robbertse Attorneys, the attorneys appearing within the sale of the home to Mampane. The acquisition value was paid in full and no mortgage bond was registered over the property.
Upbrand additionally made a further fee of R269 848 to cowl switch and authorized prices. The home was registered within the identify of the belief on 1 December 2016.
The funds from Simba to Upbrand, after which to Jacobs Robbertse, are mirrored in Simba and Upbrand financial institution statements, which GroundUp has seen.
Simba is headed up by Azwindini Simba, a boxing promoter with no expertise in development. The corporate was dormant on the time it acquired the grant and was not compliant with statutory Division of Social Growth (DSD) necessities, in accordance with the division’s information.
Simba equipped monetary statements with its utility to the NLC, however in accordance with a well-informed supply, it submitted an affidavit to the DSD claiming no monetary exercise throughout the monetary yr when the grant was awarded.
The monetary statements included within the NLC utility are believed to be fraudulent, in accordance with the identical supply.
The grant of R28.3 million to Simba to rebuild Vhufamadi was advisable to the NLC’s board by Mampane and the chairperson of the fee’s charities distributing company.
NLC spokesperson Ndivhuho Mafela stated in an emailed response to GroundUp’s questions: “The problems and transactions referred to within the inquiry are at present being canvassed by way of an investigation the Particular Investigation Unit (SIU) is conducting on the affairs of the Nationwide Lotteries Fee.”
“At this stage, the NLC won’t be commenting on media inquiries that require particulars of grants awarded between 2014 and 2020 in addition to associated transactions. That is to permit the SIU to conduct this investigation with none hindrance or prejudice.”
Mampane had not responded to questions despatched by GroundUp by the point of publication.
Tens of millions in, tens of millions out
Financial institution statements present how, after it acquired the primary tranche of over R25 million, Simba made three funds totalling R15 million to Shandukani Holdings, which constructed components of the brand new Vhafamadi College. However Simba additionally instantly started paying tens of millions to corporations that had nothing to do with the college.
Moreover the R4 million paid to Upbrand, different funds by Simba embody:
- On 22 August Mishone Buying and selling 11 acquired R1.5 million. Mishone is topic to a preservation order involving the acquisition of a R27 million mansion by an organization owned by former NLC board chairperson Alfred Nevhutanda. GroundUp beforehand reported that Mishone paid R9.2-million in the direction of the price of the mansion, which was partially paid for by non-profit corporations that acquired Lottery grants. Nevhutanda and his spouse stay in the home. Throughout a presentation to Parliament in March this yr, Particular Investigating Unit head advocate Andy Mothibi stated investigations had recognized Mishone as a “automobile to distribute NLC funds” to companies “directed by” members of NLC Chief Working Officer Phillemon Letwaba’s household.
- Additionally on 22 August, Simba paid R160,000 to Ndavha Administration, of which Collin Tshisimba is the only director. Tshisimba can also be a member of three different non revenue organisations – Make me Motion, Lethabong Previous Age and Mbidzo Growth Program – which collectively acquired a complete of R53 million in Lottery funding. The SIU has recognized Tshisimba as a key participant within the looting of the Lottery.
- Additionally on 22 August, Simba made three funds totalling R15 million to Shandukani Holdings, which constructed components of the brand new Vhafamadi College.
- On 29 August Simba paid R2 million to the Iron Bridge Travelling Company, of which Karabo Sithole, Letwaba’s cousin was sole director on the time. Rebotile Malomane, Letwaba’s spouse, is now the only director.
Inside 12 days of Simba receiving the lottery grant, the steadiness in its checking account had dwindled to R2.4 million.
All of which means that the acquisition value of the Mampanes’ property, in addition to the switch obligation and lawyer’s charges, was paid by Upbrand Properties, from lottery cash.
In 2018, the NLC lodged a criticism with the Press Ombudsman about GroundUp’s reporting on the Vhafamadi college undertaking however withdrew it earlier than it may very well be adjudicated.
Mampane has been knowledgeable in writing by the NLC’s board that she is to face a disciplinary inquiry. Her attorneys, Maluks Attorneys, have responded to the board saying that they are going to be defending her on the inquiry.
Solly Siweya pops up once more
The R100 price paid to the Grasp’s Workplace to register the Mampanes’ Mojakgomo Household Belief was paid by the Malwandla Siweya Household Belief on 12 August 2016.
Malwandla “Solly” Siweya is concerned with non-profit corporations which have acquired tens of tens of millions of rands in lottery grants. Lulamisa Neighborhood Growth, a dormant non-profit organisation, acquired R80 million for a sport-related undertaking. Each the NLC and Lulamisa have beforehand refused to say what the cash was for and the way it was spent.
Lulamisa and Siweya additionally featured in a R25 million grant to the South African Sports activities Affiliation for the Intellectually Impaired (SASA-II), a sports activities physique for intellectually impaired athletes, to host a Bloemfontein occasion. How the cash was spent just isn’t clear.
Siweya was additionally the intermediary within the buy of a luxurious home in Bryanston, in Johannesburg, by Upbrand Properties. Then Sports activities Minister Fikile Mbalula and his spouse initially made a proposal to buy the home, however then withdrew. The deal went forward with precisely the identical phrases and value, however with Upbrand as the client.
And Siweya helped prepare a vacation for Mbalula, then Minister of Sport, and his household in Dubai in December 2016, in accordance with a report by Public Protector Busisiwe Mkhwebane. Mkhwebane discovered that Mbalula had violated the Govt Ethics Code.
Following the cash
- On 17 August 2016, the NLC paid R25,089,836 to Simba Neighborhood Growth.
- On 29 August 2016, Simba Neighborhood Growth paid R4-million to Upbrand Properties;
- On 11 September 2016 the Mojakgomo Household Belief signed a proposal to buy the home in Pecanwood Property for R3.6-million;
- On 16 September 2016, Upbrand Property made two EFT funds of R3.6-million and R269,848 with Htb0027 because the reference. Two sources have confirmed that the references referred to funds to Jacobs Robertse Attorneys.
- On 7 November 2016, Jacobs Robertse paid a switch obligation of R233,500 to SARS;
- The switch was registered on 1 December 2016.
Lottery cash used for luxurious houses
The acquisition of Thabang Mampane’s home just isn’t the one instance of how Lottery cash was used to purchase or construct luxurious houses.
Other than former Nationwide Lotteries Fee board chair Alfred Nevhutanda, over whose luxurious dwelling the SIU has been granted a preservation order, different NLC bigwigs have managed to siphon off cash for residences.
GroundUp revealed early final yr how one other Lottery grantee paid R5 million in the direction of a luxurious dwelling on a sprawling property in North West Province, which was bought by an organization belonging to former NLC board member Wiiliam Huma.
Leaked Upbrand Property financial institution statements have proven how cash has been funnelled from a number of non revenue organisations into Upbrand Properties to finance a few of these purchases. These embody deposits of over R5.6 million by the Southern African Youth Motion (SAYM), which acquired over R51 million in Lottery grants for a wide range of tasks. An previous age dwelling and a drug rehabilitation centre that SAYM acquired funding to construct are but to be accomplished.
One other Lottery-funded previous age dwelling in KwaZulu-Natal, which can also be but to be accomplished, made deposits totalling over R3.85 million into Upbrand’s FNB account. And nearly R300 000 was deposited by Mushumo Ushavha Zwana, a hijacked non-profit organisation that has acquired R26 million to construct an previous age dwelling in Limpopo. The location has been deserted.
The financial institution statements additionally revealed how Upbrand, in flip, contributed in the direction of a luxurious home Letwaba inbuilt his dwelling village of Marapyane in Mpumalanga. A Lottery-funded previous age dwelling a kilometre from Letwaba’s home remains to be unfinished.
And Lottery funds additionally helped pay for a luxurious dwelling for dodgy lawyer and Lottopreneur Leslie Ramulifho.