South African President Backs Lottery Corruption Investigation

Former Lottery Chair Tries to Block Anti-Corruption Probe

President Ramaphosa is opposing a legal challenge brought by Alfred Nevhutanda, who served as chair of the National Lotteries Commission (NLC) in South Africa from 2014 to 2020. Nevhutanda is asking the High Court in Pretoria to overturn the 2020 presidential proclamation that authorised the Special Investigating Unit (SIU) to look into alleged maladministration during his tenure.

The SIU investigation has already resulted in the preservation of assets worth R344 million, including a luxury mansion in Pretoria allegedly bought with diverted lottery funds.

Nevhutanda argues that the NLC is not a state entity and does not handle public money, which he claims makes the investigation unlawful under the SIU Act. He also says the proclamation is overly broad and that President Ramaphosa failed to apply his mind properly when signing it.

Ramaphosa: Public Money Was at Stake

Ramaphosa’s affidavit rejects these claims, stating that the NLC and the National Lottery Distribution Trust Fund it administers are indeed state institutions managing public resources. He says the proclamation followed a standard review process and was based on detailed documentation suggesting widespread irregularities in grant allocations—some allegedly benefiting family members of NLC officials.

He argues that even if Nevhutanda’s technical points were valid, setting aside the proclamation would be unjust given the length and cost of the ongoing investigation.

The SIU, also opposing Nevhutanda’s court application, suggests that his real aim is to retrieve preserved assets and avoid legal consequences. These include not only property but also high-end vehicles and business interests linked to suspects in the alleged fraud.

Juliana Rabaji-Rasethaba, head of the Asset Forfeiture Unit at South Africa’s National Prosecuting Authority (NPA), submitted a separate affidavit. She explained that the asset preservation orders were issued independently under the NDPP’s legal powers and remain valid even if the SIU’s investigation were set aside.

Asset Forfeiture Delayed by Legal Action

Nevhutanda’s legal challenge has delayed final forfeiture proceedings. The Pretoria High Court previously postponed the hearing indefinitely to await resolution of this case. He is expected to file his final affidavit before a date can be set for arguments in court.