Court Blocks Former Lottery Official from Receiving Proceeds from Luxury Home Sale Amid Corruption Probe

The Special Investigating Unit (SIU) has secured an interim court order to prevent former National Lotteries Commission (NLC) board member William Huma from accessing R10 million in proceeds from the sale of his luxury Pretoria home. The home, linked to alleged corruption and misappropriation of Lottery funds, was sold recently, prompting the SIU to act swiftly to preserve the funds pending the finalization of its investigation.

Urgent Court Intervention

The SIU obtained an urgent interdict from the Special Tribunal earlier this week to prevent the conveyancing attorneys from disbursing the proceeds of the sale. The interim order freezes the funds until the main application, set to be heard on March 7, 2025, is finalized.

The SIU launched the ex parte application after receiving a tip-off that the property, located in the upmarket Waterkloof suburb of Pretoria, had been sold. While the sale itself is not halted, the order ensures that Huma cannot access the funds, which are believed to have been derived from misappropriated Lottery grants.

A Luxury Home Funded by Lottery Money

The property in question is a mansion situated in a private estate adjacent to a golf course. Huma purchased the home for R4 million in 2003 and registered a bond for R8 million in 2017. The SIU estimates that the property could have been sold for as much as R18 million.

Investigations revealed that the home was purchased and maintained using funds siphoned from Lottery grants intended for community development. The SIU’s graphic presentation of the money trail shows how funds flowed from Lottery-funded entities and companies implicated in corruption to pay for Huma’s luxury lifestyle.

A Pattern of Misconduct

The SIU’s investigation uncovered a complex scheme involving Huma, several entities linked to him, and multiple non-profit organizations (NPOs). Over R21 million in Lottery funds were allegedly misappropriated, with the money used to acquire properties and assets controlled by Huma and his associates.

Key findings from the investigation include:

• Conflict of Interest: Huma failed to declare his interest in entities that received NLC funding, violating the Lotteries Act.
• Money Laundering: Funds were transferred through multiple entities, including Mbidzo NPO, Matieni Community Centre, and Thwala Front, before being deposited into accounts controlled by Huma.
• Personal Enrichment: NLC funds were used to purchase and improve properties, including farms owned by Silverlite Trading, a company under Huma’s control.

Previous Exposés and Resignation

A 2022 investigation by GroundUp revealed that non-profits receiving Lottery grants had made payments into the bond account for Huma’s Pretoria home, his private bank account, and a sprawling estate in North West Province. The estate, now a luxury boutique hotel, is also under a preservation order.

Huma resigned from the NLC in late 2022 after being confronted with evidence of his alleged involvement in corruption. His resignation followed revelations that entities linked to him, such as Reagile NPC and The Samaritan Initiative, had received millions in Lottery grants for projects that failed to deliver on their promises of community upliftment.

SIU’s Commitment to Accountability

The SIU has expressed gratitude to members of the public who provided crucial information about corruption and maladministration at the NLC. “The courage and commitment to justice play a crucial role in holding those responsible accountable and ensuring that public resources are used for their intended purpose,” the SIU stated.

The unit has vowed to recover the misappropriated funds and ensure that those involved face the full might of the law. The interim interdict is a significant step in preventing further dissipation of assets linked to the corruption scandal.

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