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ANC-Linked Company Led Lotto Licence Bid Before Sizekhaya Win, Court Papers Reveal

August 16, 2025
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Court documents have revealed that a company with ties to a prominent ANC donor was initially leading the bid for South Africa’s new national lottery operator licence, before the Sizekhaya Consortium ultimately secured the award.

The revelation has intensified scrutiny over the selection process and raised questions about fairness and transparency.

Minister of Trade, Industry and Competition Parks Tau defended the outcome, insisting that Sizekhaya Holdings was chosen following a “transparent process fully compliant with the Lotteries Act.” He added that the consortium’s financial statements, compliance procedures, and long-term operational plans were thoroughly evaluated before the decision was made.

Opposition parties have expressed concern over the findings. The Democratic Alliance (DA) described the revelations as “deeply troubling,” warning of potential political interference. The party has called for an independent investigation to ensure accountability in the awarding of the licence, which is valued at approximately R180 billion over an eight-year term.

Sizekhaya Holdings, led by KwaZulu-Natal businessmen Moses Tembe and Sandile Zungu, is set to operate the National Lottery and Sports Pool starting 1 June 2026, replacing Ithuba Holdings. The consortium has presented an ambitious strategy aimed at modernising the lottery, increasing contributions to the National Lottery Distribution Trust Fund (NLDTF), and expanding opportunities for community development.

Tembe, chairperson of Sizekhaya, emphasised the consortium’s commitment to “job creation, economic stimulation, and community upliftment,” highlighting plans to leverage advanced technology to enhance the lottery experience for participants.

Despite these assurances, the disclosure that an ANC-linked company had initially led the bid continues to fuel debate over political influence in large-scale public contracts. Analysts and civic groups argue that transparency is critical to maintaining public trust in state-linked procurement processes.

As Sizekhaya prepares to assume control of the National Lottery, the scrutiny over its selection underscores ongoing concerns about governance, impartiality, and integrity in awarding major national contracts. The case serves as a reminder of the importance of transparency and accountability in public procurement.

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Azalibone Mthethwa

Education: A+ Diploma in Journalism ( 2017) Experience: Senior Journalist - Current Affairs Writer Email: info@ireportsouthafrica.co.za

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