The National Lottery Commission (NLC) has dismissed two senior executives, Sanele Dlamini and Sibonelo Vilakazi, following findings from a Special Investigating Unit (SIU) probe that revealed their involvement in misappropriating more than R32 million in grant funds.
Story Summary:
- The National Lottery Commission fired two executives for their involvement in a R32 million fraud scheme uncovered by the SIU.
- Investigations revealed systemic corruption and personal enrichment by the officials, who now face potential criminal prosecution.
- In an unrelated case, extortion threats in Kraaifontein have disrupted sanitation services, affecting vulnerable communities.
National Lottery Commission lauded for acting on SIU probe
The SIU, operating under Presidential Proclamation R32 of 2020, uncovered significant corruption and maladministration within the NLC, leading to disciplinary action against the two officials.
The SIU praised the NLC for acting swiftly on its recommendations, ensuring accountability for gross misconduct.
In a statement, the SIU said:
“The dismissal of these individuals represents a decisive step in restoring integrity to the NLC and holding accountable those who misuse public funds.”
How Sanele Dlamini and Sibonelo Vilakazi pillaged the NLC
Sibonelo Vilakazi, who served as a Client Liaison Officer, facilitated 48 payments totalling R31.2 million to entities connected to his wife, Nosipho Zanele Zuma.
Through her company, ZZET Enterprises, the funds were used to purchase luxury vehicles and real estate, including two Toyota Quantums, a Toyota Hilux, and two properties.
The disciplinary process, held between November 2023 and August 2024, found Vilakazi guilty of all charges, resulting in his dismissal on 4 October 2024.
The SIU highlighted his abuse of office and breach of fiduciary duties as key factors in his termination.
Sanele Dlamini, the former Chief Financial Officer and Acting Chief Operations Officer faced six charges, including approving falsified reports, gross negligence, and dereliction of duty.
Found guilty on four counts, Dlamini’s misconduct was linked to systemic governance failures and personal enrichment.
His dismissal was finalised on 27 September 2024, following an investigation into his role in fraudulent grant approvals and negligence in monitoring compliance with NLC policies.
The SIU investigation revealed deep-rooted corruption within the NLC, including:
- Misuse of community development grants.
- Falsification of documentation for unauthorised payments.
- Senior officials acting beyond their authority for personal gain.
Both cases have been referred for criminal prosecution.