Sizekhaya Denies Political Meddling in Lottery Deal as Pressure Mounts

In the heart of South Africa’s latest political controversy, Sizekhaya Holdings, the consortium recently awarded the lucrative national lottery licence, is pushing back against claims that it secured the deal through political connections rather than merit.

The flames were fanned after it emerged that Advocate Khumo Bogatsu, sister-in-law to Deputy President Paul Mashatile, holds a small stake in the consortium. That fact alone has led to allegations of impropriety, ones that Sizekhaya’s leadership flatly rejects.

“No Political Favour Helped Us Win,” Says Tembe

Speaking out for the first time since the scandal broke, Moses Tembe, the high-profile KwaZulu-Natal businessman and chair of Sizekhaya, said the consortium’s victory was earned.

“We won based on the strength of our bid, not political ties,” he stated, calling the allegations “baseless” and “malicious.”

Tembe confirmed that neither Mashatile nor any political figure had any involvement in the bid process or stands to benefit financially.

He acknowledged that Bogatsu, who holds a 2% stake via Bellamont Gaming, a small player in the larger consortium, was invited on board for her legal expertise.

Consortium Structure and Public Suspicion

While public interest has zeroed in on political links, Tembe stressed that Sizekhaya is made up of a diverse group of shareholders, not dominated by any one individual or family.

“I happen to be the chairperson, not a controlling shareholder,” he clarified, while also defending co-shareholder Sandile Zungu, another prominent KZN businessman.

The narrative, he said, that Zungu and he engineered the deal through back channels is not only inaccurate but damaging to Black business credibility in South Africa.

Calls for Transparency Grow Louder

Political opposition parties, including the Democratic Alliance (DA) and ActionSA, have demanded a full investigation into how Sizekhaya secured the contract.

DA MP Toby Chance wrote to Trade and Industry Minister Parks Tau, warning that if any material information was hidden or conflicted, the decision to appoint Sizekhaya must be reviewed.

“The lottery licence is worth billions over the next eight years,” Chance noted. “It must serve the public good, not the politically connected.”

ActionSA’s Alan Beesley, a member of Parliament’s Standing Committee on Public Accounts (SCOPA), echoed those concerns, vowing to monitor the process closely and possibly request public hearings.

Corruption-Stained Past of the Lottery Office Looms

This isn’t the first time the National Lotteries Commission (NLC) has been in hot water. An SIU investigation into over R1 billion in alleged corruption continues to cast a long shadow over the entity’s integrity.

Public trust in the lottery system remains fragile, especially in light of the commission’s track record of mismanaged funds that were supposed to benefit social development and charitable causes.

Sizekhaya Says: “Let Them Investigate”

Despite the outcry, Sizekhaya is not shying away from the spotlight.

“We welcome scrutiny,” said Tembe. “We’ve done nothing wrong. But we reject the growing trend of using family relations as a political weapon against professionals.”

He also reiterated that the consortium has every intention of elevating the lottery’s operations, raising more money for good causes and operating with full transparency.

Business vs Politics, Again

In South Africa, the line between political power and economic opportunity is often blurred. This latest case underscores how public suspicion is now the default reaction, even before facts are fully on the table.

Until Minister Tau concludes the investigation, Sizekhaya’s win will remain under a cloud, but if cleared, the consortium could turn the controversy into an opportunity to restore credibility to the National Lottery, which desperately needs it.

EFF Challenges Selection of Sizekhaya Holdings as New National Lottery Operator Amid Political Concerns

{Source: IOL}

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