Key Takeaways:
- The Special Investigating Unit (SIU) has frozen a residential property linked to the late actor Presley Chweneyagae and his spouse due to alleged corruption at the National Lotteries Commission (NLC).
- A preservation order has been granted to protect public funds allegedly diverted from an NLC grant intended for youth arts programmes.
- The property was allegedly purchased using R889,000 syphoned from a R15m NLC grant.
- The SIU alleges that the grant was approved for the Southern African Youth Movement NPO, but funds were channelled through a company owned by Chweneyagae before being used to acquire the private residence.
- The investigation is part of the SIU’s mandate to safeguard public funds and prevent the dissipation of assets suspected to be proceeds of unlawful activities.
Introduction to the Investigation
The Special Investigating Unit (SIU) has taken significant steps to investigate alleged corruption at the National Lotteries Commission (NLC) by freezing a residential property linked to the late actor Presley Chweneyagae, his spouse, and several co-respondents. The preservation order, granted by the Special Tribunal, aims to protect public funds allegedly diverted from an NLC grant intended to uplift young artists. The order prevents the sale, transfer, leasing, or disposal of the property, pending the outcome of civil proceedings that the SIU intends to institute within 60 court days. This move is part of a broader investigation into corruption and maladministration at the NLC, which has been ongoing since 2020.
Background on the Allegations
According to the SIU, the property in question was allegedly purchased using approximately R889,000 syphoned from a R15m NLC grant earmarked for youth arts programmes. The grant was approved for the Southern African Youth Movement NPO, represented by Alfred Muzwakhe Sigudla. However, the SIU alleges that funds were subsequently channelled through Domestic Baboon, a company solely owned by the late Chweneyagae, before being used to acquire the private residence. This alleged diversion of funds is at the center of the SIU’s investigation, which aims to recover misappropriated funds and set aside unlawful transactions. The investigation is a significant step towards holding individuals accountable for their actions and ensuring that public funds are used for their intended purposes.
The Preservation Order and Its Implications
The preservation order, issued by Judge M Victor on December 18, is directed at Charlaine Christinah Chweneyagae, in her personal capacity and as executrix of her late husband’s estate, as well as Alfred Muzwakhe Sigudla, the Southern African Youth Movement NPO, Domestic Baboon, and other respondents. The order is a crucial step in preventing the dissipation of assets suspected to be proceeds of unlawful activities while legal proceedings are underway. The SIU’s mandate to safeguard public funds and prevent the dissipation of assets is enshrined in the Special Investigating Units and Special Tribunals Act. This legislation empowers the SIU to institute civil proceedings in the high court or the Special Tribunal to recover misappropriated funds and set aside unlawful transactions.
The Investigation and Its Objectives
The investigation into alleged corruption at the NLC is part of Proclamation R32 of 2020, signed by President Cyril Ramaphosa. This proclamation authorizes the SIU to probe allegations of corruption and maladministration at the NLC and to recover financial losses suffered by the state. The SIU’s objectives in this investigation are twofold: to recover misappropriated funds and to hold individuals accountable for their actions. Any evidence of criminal conduct uncovered during the investigation will be referred to the National Prosecuting Authority for possible prosecution. The SIU’s work is critical in promoting transparency and accountability in the use of public funds and in ensuring that those who engage in corrupt activities are brought to justice.
Conclusion and Next Steps
In conclusion, the SIU’s investigation into alleged corruption at the NLC is a significant step towards promoting transparency and accountability in the use of public funds. The preservation order granted by the Special Tribunal is a crucial step in preventing the dissipation of assets suspected to be proceeds of unlawful activities. The SIU’s work in this investigation is ongoing, and it is expected that further developments will emerge in the coming weeks and months. As the investigation unfolds, it is essential to remember that the use of public funds is a matter of public trust, and those who engage in corrupt activities must be held accountable. The SIU’s efforts to recover misappropriated funds and to promote transparency and accountability are critical in ensuring that public funds are used for their intended purposes and that the public interest is protected.
