DA welcomes Public Protector's investigation into the Lotteries Board

The Democratic Alliance (DA) welcomes the announcement by Public Protector Thuli Madonsela that she will investigate alleged irregularities at the National Lotteries Board (NLB). This should be the first step in ensuring that lottery money is used to give people opportunities to lift themselves out of poverty.

In November last year the DA requested that the Public Protector investigate the granting of lottery money to politically connected organisations, while millions earmarked for deserving charities went unspent.

The NLB is supposed to disperse the profits from the National Lottery to deserving charities and NGOs to help the most vulnerable South Africans. However, the NLB's funds have been used to benefit ANC-aligned bodies, and organisations linked to NLB officials. The grants given to COSATU, the National Youth Development Agency and Makhaya Arts and Culture (a foreign-based NGO that employs the NLB chairperson's daughter) all need to be thoroughly investigated to determine whether corruption or nepotism occurred.

I will write to the Public Protector to ensure that these specific cases are all included in the investigation. Most importantly, Adv. Madonsela needs to determine why thousands of NGOs have systematically been refused funding, even as the NLB sits on billions in unspent grants.

We need to fix the NLB to ensure that it becomes a force for good. If responsibly managed, it has the potential to be a powerful tool for the upliftment of South Africans in need.

Statement issued by Dr Wilmot James MP, DA Shadow Minister of Trade & Industry, February 12 2012

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