By Lehlohonolo Lehana.
Image via Instagram @TerryPheto.
Actress Terry Pheto and former lotto boss Charlotte Mampane were among those implicated when the SIU secured a preservation order against over R50m in assets amid a probe into financial mismanagement and corruption at the National Lotteries Commission.
On Friday, the SIU was granted an order by the high court in Pretoria to seize nine luxury properties in Pretoria, Centurion, Hartbeespoort and Johannesburg, a BMW 420i and two Ocean Basket franchises in the East Rand worth a combined value of approximately R25 million belonging to the star and eight other people, five of whom are representatives of trust funds.
In a statement released by the SIU, Pheto, Lesley Ramulifho, Collin Tshisimba, Promise Kharivhe, Mashundu Shanduka, Charlotte Mampane, Jim Skosana, Botshelo Moloto and Rebotile Malomane allegedly bought the seized properties with monies obtained from the NLC under the auspices of grant funding.
The SIU said, SIU investigations into the affairs of the NLC revealed that the acquisition of the properties was funded by nonprofit organisations with money they had received under the auspices of grant funding from the NLC.
“The luxury properties, therefore, constitute proceeds of unlawful activities, hence, the application for the preservation order pending the final determination of the application for final forfeiture,” the unit said.
The SIU stated that it had been investigating offences which took place between January 1 2014 and November 6 2020.
The luxury properties, therefore, constitute proceeds of unlawful activities hence the application for a preservation order pending the final determination of the application for final forfeiture.
In terms of the High Court order, which was granted on 4 November 2022, prohibits,— Special Investigating Unit (SIU) (@RSASIU) November 4, 2022
and restrains:
•Moitheri Pheto
•Lesley Ramulifho
•Collin Mukondeleli Tshisimba
•Fulufhelo Promise Kharivhe
•AO Residence Trust represented by Mashudu Shandukani
•Rasemate Family Trust represented by Rebotile Malomane— Special Investigating Unit (SIU) (@RSASIU) November 4, 2022
The NPA’s spokesperson Lumka Mahanjana said widespread corruption, fraud, theft, and contraventions of the Lotteries Act were discovered by the SIU against officials of the NLC and certain non-profit organisations which applied for NLC grants and who worked in concert with each other to defraud the NLC.
She said investigations revealed that the NLC lost almost R344m from the grants that were meant for the needy in impoverished communities.
Among the projects which were to benefit were the reconstruction of a school that was torched during protests in Vuwani in Limpopo, a drug rehabilitation centre in Eersterus and the construction of an old- age home at Kuruman, Northern Cape.
She said instead, the grants were used to buy luxurious properties for the benefit of employees of the NLC and members of the NPOs and/or their family members and friends.
“In most instances, the properties were registered in the names of the entities and not in the name of private individuals. Some entities masqueraded as construction companies, but didn’t do construction and were effectively used as money laundering vehicles to receive kickbacks from NPOs which received grants from the NLC,” she said.
Mahanjana said criminal cases against the former chief financial officer, Philemon Letwaba, chief executive officer Lesley Ramulifho, and the attorney who did legal work for NLC who were implicated in the fraud and corruption have been opened and were under investigation.
The NPA said the next step will be to apply for a forfeiture order. Once a forfeiture order is granted, the properties will be sold at public auction and proceeds returned to the NLC.