Minister Patel, lotteries commission give parliament a miss on looted R300m

Members of  parliament's trade and industry committee expressed disappointment in minister Ebrahim Patel's absence during Wednesday's meeting.

The portfolio committee sat to receive an update from the Special Investigating Unit (SIU) into how the National Lotteries Commission (NLC) leadership plundered about R300m that was meant for community upliftment projects around the country.

SIU head Andy Mothibi told the committee that phase one of their investigation found that at least R300m had been looted from the NLC to benefit senior officials, their family members, including former members of the board.

Mothibi said there was measurable abuse of the proactive funding process.

The proactive funding system allows the board to allocate 10% of its grant budget to good causes of its own choosing.

Speaking to the committee, he said: "I want to assure the committee that even in instances of board members or officials who resign, the resignation, while in its nature terminates the employer/employee in relation to an official, and if a board member, terminates member of the board, this does not protect them from civil ligation.

"From a civil recovery position, we’re still able to take civil action," Mothibi said.

"We’ve also observed the abuse of NPOs through generally what’s called hijacking or deliberately abusing vehicles for syphoning and embezzling money from NPOs," he said.

DA MP Mat Cuthbert said it was disappointing that Patel and the NLC were absent from the meeting.

"It shows they were never committed to fighting corruption. Money meant for drug rehabilitation centres, old age homes, women empowerment was used to buy luxury vehicles. The ANC tried to cover this up," he said.

The ANC's Raesibe Moatshe demanded action be taken against the perpetrators.

"As the ANC, one of our core mandates is to fight corruption. Had it not been for the support of the minister and his support, the work would not have been at the advanced stage it is," she said.

EFF MP Yoliswa Yako said the blatant abuse of funds meant to uplift communities was jarring.

"Money meant for the drilling of boreholes, to build museum and libraries that were much needed and if utilised in a right way, we’d be further than where we are. The money was looted with no accountability," she said.

Yako questioned if any action would be taken against the auditing firms that gave the NLC clean audits.

She accused Patel of not taking the committee seriously.

"He (Patel) always has excuses on why he’s not here. We’re part of who he needs to account to and we need to write to him expressing our dissatisfaction with his conduct," Yako said.