DTI: Statement by Dr Rob Davies, warned Lotteries beneficiaries not to enrich themselves with lotteries funding (25/09/2014)

25th September 2014

DTI: Statement by Dr Rob Davies, warned Lotteries beneficiaries not to enrich themselves with lotteries funding (25/09/2014)

Photo by: Bloomberg

The National Lotteries Board (NLB) has a zero tolerance approach towards any irregularities that are detected.  This was the central message that the Minister of Trade and Industry, Dr Rob Davies conveyed to a two day NLB Stakeholder Engagement Indaba held at the Birchwood Hotel in Ekurhuleni Metropolitan Municipality, Boksburg.

He said the National Lotteries Distribution Fund is the largest single supporter of good cause activities in the country. The NLB has over the last 15 years distributed R18 billion and each year they distribute around R2 billion to such causes. Minister Davies however warned the beneficiaries that those who enrich themselves with lotteries funding will be dealt with.

“Anybody who asks for funding for a particular purpose and uses it for self-enrichment will be dealt with, without fear or favour,” he said.

Minister Davies told the Indaba that the delay of beneficiaries approvals due to conflict of interest by the members of the Distributing Agencies and lack of quorums during adjudication meetings belongs to the past.

“We have decided that we will be appointing full time Distribution Agencies in an attempt to make the processes quicker and more efficient in terms of decision making. Also, no longer will it just be that a member of the Distributing Agency can recuse themselves if they have interest in a particular application. From now on, no member of the Distributing Agency will be allowed to have any interest what so ever with any project which is approved by the Lotteries Board,” added Minister Davies.

The National Lotteries Board Stakeholder Engagement Indaba will amongst others discuss the norms and standards. Minister Davies stated that these norms and standards are very important as they will promote accountability.

“As we broaden the reach of the Lotteries Funding, we need to make sure that the beneficiaries are actually doing what they are supposed to be doing. These norms and standards will therefore assist us in ensuring that the beneficiaries know what they should do,” stated Minister Davies.

Minister Davies also said that he will be announcing the new lottery operator within the next coming weeks.

“The National Lotteries Board has done its own part regarding the next lottery operator as they have submitted their recommendations and the ball is in my court. I am committed to ensure that there is absolute integrity in the process of decision making about the next lottery operator,” added Minister Davies.

The licence of the current operator Gidani expires at the end of May next year.

Issued by the DTI