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EFF asks Ramaphosa for clarity on new lotto operator and alleged ties to Mashatile
EFF asks Ramaphosa for clarity on new lotto operator and alleged ties to Mashatile

The Citizen

time03-07-2025

  • Business
  • The Citizen

EFF asks Ramaphosa for clarity on new lotto operator and alleged ties to Mashatile

Malema says the EFF reserves the right to pursue legal remedies with regard to the awarding of the National Lottery Licence. EFF leader Julius Malema has demanded clarity from President Cyril Ramaphosa on the awarding of the National Lottery Licence to Sizekhaya Holdings and the company's alleged political ties to Deputy President Paul Mashatile. Trade, Industry and Competition Minister Parks Tau awarded the eight-year licence to Sizekhaya in May, handing over the reins from long-term operator Ithuba. Sizekhaya Sizekhaya is part-owned by Bellamont Gaming, a company co-owned and co-directed by Mashatile's sister-in-law Khumo Bogatsu and prominent KwaZulu-Natal (KZN) businessman Moses Tembe. Tembe is also the chair of the consortium, while Sandile Zungu – another prominent KZN businessman – holds directorship. Furthermore, Zungu is a stakeholder in Goldrush, a gambling company that has shares in Sizekhaya. 'Grave concern' In the letter, Malema expressed 'grave concern' over the apparent politics of patronage and the 'intricate web of familial and political connections'. He said the EFF had previously cautioned against this appointment due to, among other things, Zungu and Tembe's affiliation with the ANC. 'The involvement of the Deputy President adds a troubling dimension to this matter. It has come to light that Khumo Bogatsu – a co-owner of Bellamont Gaming, which is also a shareholder in Sizekhaya Holdings – is the twin sister of South Africa's Second Lady, Humile Mashatile, the wife of Deputy President Paul Mashatile,' Malema wrote. 'Furthermore, Ms Bogatsu is engaged to businessman Sbu Shabalala, who is a cousin of Moses Tembe, the lead figure in Sizekhaya and co-owner of the Goldrush Consortium.' Malema said these links suggest the awarding of the lottery licence may have been influenced, which constitutes state capture. ALSO READ: Tau vows to investigate after Mashatile's sister-in-law linked to multi-billion lotto operator licence Malema demands answers from Ramaphosa He proceeded to demand answers to the following questions: Are you aware of the extent of political ties involved in the appointment of Sizekhaya Holdings as the National Lottery operator? If you are aware, do you support the decision made by Minister Tau despite serious procedural irregularities, conflicts of interest, and the defiance of parliamentary oversight? Have you personally engaged Deputy President Mashatile on this matter, and if so, what explanation has he provided regarding the involvement of his immediate family in a multi-billion-rand public contract? In light of the State Capture Commission and your stated anti-corruption stance, what is your position on politically exposed persons and their close relatives benefiting from government contracts or public licences such as this one? Possible legal action Malema said the EFF believes the National Lottery must serve the developmental interests of South Africans, not those of the political elite. 'The level of political entanglement in this deal, compounded by Minister Tau's refusal to be held accountable, undermines the legitimacy of this award and sets a dangerous precedent for future public procurement.' He said his party reserves the right to explore legal options, including approaching the courts to 'compel disclosure of the appointment process and, where necessary, to have these appointments reviewed and set aside on grounds of irrationality, procedural irregularity, or breach of public governance principles'. Mashatile addresses allegations Mashatile has denied suggestions of political interference and argued that Bellamont Gaming was not doing business with the Presidency. He said it was unfair to question why his relatives were conducting business. 'There are so many people who know me in this country – family, children, cousins and friends. Where must they do business, in Zimbabwe? Out of this country,' Mashatile asked during an interview with Sowetan on Tuesday. 'They can do business, as long as I'm not involved, not because they know me. Because once you say Mr Mashatile is capable of influencing, even if he is sitting in his house, it's unfair. You must be able to say he went there to interfere.' ALSO READ: WATCH: Mashatile denies family tied to multibillion-rand lottery deal Bosa requests transparency EFF is not the only party that has expressed concern over the awarding of the licence. In May, Musi Maimane's Bosa called for full transparency from Tau, requesting a list of adjudicators and consultants involved in the lottery tender process. The party also asked for their disclosures and declarations of interest, as well as a report to parliament outlining the evaluation criteria and scoring of each bid. 'South Africans have a right to know whether this process has been conducted above board or whether it is tainted by insider influence or political interference,' the party said in a statement. 'We will not allow South Africa's public resources, or the hopes of the vulnerable communities who depend on lottery funding, to be hijacked by cronyism or corruption.' DA asks Tau to appear before committee The DA also requested Tau and the National Lotteries Commission to appear before the Parliament's trade and industry portfolio committee to answer questions concerning the licence. During the meeting on 24 June, Tau said he would investigate the conflict-of-interest allegations concerning Sizekhaya – much to the DA's dissatisfaction. 'The DA is astounded that Minister of Trade, Industry and Competition, Parks Tau, came to Parliament today to effectively admit to committee, that he had failed in his executive duties to properly oversee the appointment of the new Lottery Operator Sizekhaya Holdings,' DA MP Toby Chance said in a statement following the minister's appearance. 'It is Tau's duty to ensure that conflicts of interest between the bidders and government are picked up, and his lack of awareness of possible links between Deputy President Paul Mashatile, his family and shareholders in Bellamont Gaming is simply unacceptable.' Watch the meeting here: NOW READ: Ithuba poised to run Lottery for next year — despite legal concerns

Place your bets please
Place your bets please

The Citizen

time01-07-2025

  • Business
  • The Citizen

Place your bets please

Respected investment manager Piet Viljoen took a huge bet by getting involved in Goldrush. Is it time for a big payout? Gaming player Goldrush has a 50% stake in Sizekhaya, which will operate the National Lottery for eight years from June 2026. Picture: AdobeStock Founder and chief executive of the erstwhile Regarding Capital Management (RECM) is well known and well respected in SA's investment community. It is a reputation he built by delivering good returns over many decades by investing in solid, if sometimes boring, shares. That a value investor put a big bet on a gambling company that operates bingo games, one-armed bandits, online gambling and sports betting might have surprised many of his followers. He now has a piece of the National Lottery – and it looks like the punt on gambling company Goldrush Group will pay off within a year or so. The price of the listed Goldrush Holdings preference shares doubled within days of the announcement that Sizekhaya Holdings was awarded the licence to take over the operations of South Africa's National Lottery for a period of eight years. Goldrush Group has a share of 50% in Sizekhaya, which will reduce to 40% once other shareholders are introduced into Sizekhaya per the lottery licence conditions. The Goldrush prefs were trading below R5 at the beginning of May 2025, but jumped to R10 by 29 May after the minister of trade, industry and competition announced the winning bidder of the lottery licence. Read more Both Lotto and PowerBall had jackpot winners over the weekend The ordinary shares, which hold the voting rights, are not listed. Viljoen is still focused on investment management and manages billions on behalf of clients. Still, Goldrush slowly became a big investment in RECM. Eventually, the listed RECM sold its other investments and transformed into an operating gambling operation. Goldrush Holdings owns nearly 60% of the operating business, Goldrush Group. The group describes itself as a diversified gaming group with interests in sports betting, limited payout machine operations, bingo and a casino, as well as operating internet gambling sites. It says its activities include more than 4 400 electronic bingo terminals in 37 premises in six provinces, more than 2 700 gambling machines in 417 sports in seven provinces, 27 sports betting outlets in four provinces and two online sports betting sites. It claims over 20 years of operating in the SA and African gambling market and says it employs around 2 000 people. ALSO READ: You can still play Lotto today, after last minute announcement Billions Gambling in SA is a multi-billion-rand industry. Goldrush, only one of several big operators in SA, published its results for the year to end March 2025 on Monday, disclosing that gambling income increased by 5.6% over the previous year to R1.85 billion. This income comprises its net winnings, after paying out lucky gamblers. Revenue from selling food and beverages to gamblers added another R70 million. Operating profit came to R242 million and earnings after interest and tax amounted to just below R120 million. Jan van Niekerk, financial director of Goldrush, says RECM (and the Astoria private equity fund based in Mauritius) became big investors in Goldrush some 10 years ago. As with any private equity investment, the investment managers became closely involved in the business. 'Goldrush has shown good growth, because of a good management team,' he says, adding that the focus is to continue to grow profitability in order to reduce debt. The company is looking to increase its online offerings, but figures included in the annual results indicate that Goldrush can also increase its limited payout presence. It currently has 2 763 machines, but is licensed to operate 5 200. ALSO READ: Big change to Lotto operations: Will tickets be on sale next week? Lotto Viljoen and Van Niekerk are careful to tone down expectations about the national lottery licence in view of media reports claiming the operator will make billions. Van Niekerk says Sizekhaya will operate the lottery totally independent of Goldrush. 'Sizekhaya has the right and the obligation to promote and administer the sales of lottery tickets for the National Lottery,' says Van Niekerk. 'From the sales of the tickets, half of the proceeds must be used to fund payments to Lotto winners. 'After this, there is a compulsory contribution to the National Lotteries Distribution Trust Fund, a separate statutory entity established by the National Lotteries Commission to fund charitable and developmental initiatives across South Africa. 'From the remainder of the sales, the operator must fund the expenses of running the lottery. If it manages to do this efficiently, it will be left with a profit.' Viljoen added some perspective in his commentary to the results. 'Since the announcement, many of our shareholders have asked us to help them understand the value of this licence to Goldrush. 'Without being too glib about its prospects, we would caution shareholders to exercise appropriate judgement when reading any news about the National Lottery,' says Viljoen. 'The licence to operate the national lottery is obviously valuable. Helpfully, technology has improved and the cost of technology has reduced since the inception of the previous lottery periods. ALSO READ: Lotto jackpot is over R100m tonight, here are the biggest SA winners 'Some of the publicly available information we can share with you to help you shape your expectations is that the annual lottery ticket sales revenue in the most recently disclosed year was R6.5 billion. We think that a competent operator should make a profit margin in the low to mid-single digits,' he says. This indicates that profiting from the Lotto operations will be a year or two away as the starting date of the eight-year term is only 1 June 2026. 'The framework we use to think about the value to our shareholders is that the first year's profits will have to pay for the equipment and set-up costs (the business and physical infrastructure needed to run the business) and, on our assumption of the profit margins, shareholders of the operator could expect seven annual dividend payments after that,' says Van Niekerk. 'For the next year, Sizekhaya will be building the business infrastructure and physical infrastructure needed to take over the running of the lottery on 1 June 2026.' ALSO READ: National Lotteries Commission rolls out lifestyle audits, anti-fraud initiatives 'to rebuild trust' Lucrative The lottery contract is lucrative. The latest available annual report from the National Lotteries Commission discloses that the current operator generated nearly R7.3 billion in ticket sales in the year to March 2024. It notes that the contribution to good causes was R1.8 billion. It says the operator spent R968 million in procuring goods and services to support lottery operations. The listed Goldrush preference shares offer direct economic exposure to all of the Goldrush Group's interests. Preference shareholders can expect dividends based on gambling operations, including the future profits from Sizekhaya's running of the national lottery. This article was republished from Moneyweb. Read the original here.

'No politicians influenced lotto deal' — Tembe
'No politicians influenced lotto deal' — Tembe

TimesLIVE

time29-06-2025

  • Business
  • TimesLIVE

'No politicians influenced lotto deal' — Tembe

Businessman Moses Tembe, who is part of a consortium that was awarded the lucrative lotto licence contract, says there was no political influence or impropriety in the process. Tembe said neither deputy president Paul Mashatile nor any other political entity or individual had a financial interest — directly or indirectly — in their bid. 'We have indicated previously that Sizekhaya [Holdings] won the right to operate the fourth national lottery licence because of the strength of our bid, the deep knowledge of gaming that we bring to the table, our pledge to propel the lottery to new heights by generating more money for the government, for good causes and for players,' he said. Mashatile's statement on Sunday comes just days after he dismissed suggestions of political interference in the awarding of the contract in an interview on Sowetan's new podcast, IN THE KNOW with Sowetan, saying only trade and industry minister Parks Tau had the power to choose the winning bidder. amaBhungane, an investigative journalism organisation reported that Sizekhaya had links with the deputy president. Bellamont Gaming, a company owned by Tembe and Mashatile's wife's sister, Khumo Bogatsu, has shares in Sizekhaya. amaBhungane reported that Bellamont Gaming was registered in December 2023, just nine months after Mashatile married Bogatsu's sister. Together with their consortium partners, they established Sizekhaya Holdings shortly before the February 2024 bidding deadline for the lottery licence. Tembe denied Bellamont Gaming ever discussed the bid with Mashatile.

Ties that bind: Inside Mashatile's inner circle behind SA's new lottery operator
Ties that bind: Inside Mashatile's inner circle behind SA's new lottery operator

Daily Maverick

time28-06-2025

  • Business
  • Daily Maverick

Ties that bind: Inside Mashatile's inner circle behind SA's new lottery operator

A cache of pictures and video shows the cozy ties between Deputy President Paul Mashatile and the inner circle behind the new lottery operator, Sizekhaya Holdings. It also introduces a key new figure linking them: Sbu Shabalala, the disgraced former Adapt IT chief executive. Photographs and footage reveal the close personal relationships behind the company that clinched the multibillion-rand lotto licence and their links to Deputy President Paul Mashatile. They provide insight into the powerful people who orbit the Deputy President, with a new name surfacing: former Adapt IT CEO Sbu Shabalala. Following amaBhungane's reporting, members of Parliament put the heat on Minister of Trade and Industry, Parks Tau, asking him to account for possible conflicts of interest in the licence bidding process and award. AmaBhungane understands that Sbu Shabalala is engaged to Khumo Bogatsu, Mashatile's sister-in-law, and is also the cousin of Moses Tembe, the Durban businessman who leads Sizekhaya. Earlier this week amaBhungane revealed that Bogatsu is the twin sister of second lady Humile Mashatile and co-owns Bellamont Gaming with Tembe. Bellamont Gaming is a shareholder in Sizekhaya Holdings, which has received the nod from Trade, Industry and Competition Minister Parks Tau to take over the national lottery licence, valid for eight years and generating about R7-billion annually. Shabalala is believed to be a key person helping knit together the politically connected group, which includes Sandile Zungu, a prominent member of Sizekhaya who reportedly co-leads the consortium with Tembe. Shabalala's presence is also controversial because of his spectacular fall from grace and departure from Adapt IT in 2021 following a violent incident at his estranged wife's home. He did not respond to questions. Power video The group's proximity to power is most strikingly demonstrated in a video circulated online around March 2025 – three months before the National Lotteries Commission (NLC) announced Sizekhaya as the winning bidder. The video captures the group, minus Zungu, at what appears to be a holiday gathering at an upscale resort. The scene is relaxed and familiar: Tembe in a crisp white shirt, his wife in jeans and a white shirt, Shabalala in a black shirt and shorts, Bogatsu in a sun hat and white blouse, Mrs Mashatile sipping a bottle of water and the Deputy President dancing. Deputy President Paul Mashatile taking a break from his demanding duties to spend quality time with family and friends. — MDN NEWS (@MDNnewss) March 15, 2025 Other photos, which we'll detail, place members of the group – including Zungu, Mashatile and their spouses – in each other's company at various personal and private events. The visuals are significant, not because powerful people have friends, but because these friendships sit at the nexus of a major public tender worth billions, raising questions about proximity, access and influence. In this regard, State Capture amply demonstrated the potential sway of informal networks over formal decision-making. The visuals add to concerns about the potential for political interference in the award of the hotly contested lottery licence, despite both Tau and Mashatile emphasising this week that the Deputy President played no role whatsoever in the lottery decision. In a response to amaBhungane, Sizekhaya said that 'the questions put forward to Advocate Bogatsu, Mr Tembe and Mr Zungu are irrelevant to the award and operation of the fourth national lottery licence and, as such, Sizekhaya is unable to respond to them. 'Sizekhaya reiterates that the allegations relating to 'interested, politically connected parties' are baseless, and that our directors and shareholders are fit and proper, as per the Lotteries Act.' Tembe told amaBhungane he did not believe any answer they gave would ever satisfy the 'insatiable appetite to incriminate' Mashatile: 'We're private individuals who've got private lives like you… You're welcome to continue down that trajectory without our cooperation.' He maintained that they had submitted all necessary declarations to the NLC and that the consortium won the bid on merit. Fallout As a result of amaBhungane's reporting, members of Parliament grilled Tau about Mashatile's possible conflicts of interest during a committee meeting on Tuesday. Tau indicated he had been unaware that the Deputy President's sister-in-law had an interest in Sizekhaya and said the matter would be investigated. Mashatile also later claimed he was unaware of Bogatsu's participation in the lottery bid. Several questions put to Mashatile's office went unanswered. Then, in a shocking turn of events, President Cyril Ramaphosa announced on Wednesday that he had taken a decision to remove Deputy Minister of Trade Industry and Competition Andrew Whitfield, who is also a member of the Democratic Alliance (DA). Whitfield's firing was allegedly owing to his official overseas visit in February, which took place without Ramaphosa's permission. A furious DA gave Ramaphosa 48 hours to remove other poor performing and corruption-implicated ministers, threatening 'consequences' if he did not. In a speech on Thursday, DA leader John Steenhuisen told Parliament that 'perhaps there is something even deeper at play here… Andrew Whitfield… had opposed an attempt to make suspect appointments, he was standing in the way of the looting that will follow from the Transformation Fund – and all of this in a department mired in corruption allegations involving the tender for the National Lottery.' In a statement on Friday, Ramaphosa said Whitfield's firing was unrelated to anything else. 'There is really no basis for suggestions that the dismissal of the former deputy minister is related to any other reason than his failure to receive permission to travel and adhere to the rules and established practices expected of members of the Executive of the Republic of South Africa,' he said. Shabalala's rise and fall For Shabalala – whose engagement to Bogatsu appears to have given him direct access to Mashatile – to be included in the Deputy President's circle provides him a comeback after his dramatic fall from grace. In May 2021, the Sunday Times reported that Shabalala's estranged wife, Neo Shabalala, sought a high court interdict against Shabalala, claiming he had hired armed men to assault her then partner, Sipho Nzuza, at her Zimbali home. Nzuza was eThekwini municipal manager, but was at the time out on bail of R50,000 after being arrested in connection with the now-notorious Durban Solid Waste case, in which he is still on trial alongside former Mayor Zandile Gumede. The Sunday Times report said Nzuza had been left in a critical condition after the attack and had his spleen and part of a kidney removed. Neo claimed in her affidavit that the assault – at which Sbu Shabalala was allegedly present – was meant to intimidate her into signing a divorce settlement that she believed was for less than what she was entitled to. She claimed Shabalala was invading her privacy by planting listening devices in her home and monitoring her cellphone. 'I do not feel safe in the slightest with the First Respondent [Shabalala] being near me or entering the immovable property,' she said. Although Shabalala maintained his innocence, saying the allegations were without merit, he consented to the interdict and the fallout resulted in his fall from grace. After taking a three month leave of absence to 'attend to personal matters' he ended up resigning from Adapt IT – the feisty tech company that he had founded and taken to a listing on the Johannesburg Securities Exchange. 'We are coming home' – and bringing friends In growing closer to Mashatile through Bogatsu, Shabalala is said to have also brought his cousin, Tembe, into enhanced proximity. Tembe co-directs and co-owns Bellamont Gaming with Bogatsu, the twin sister of Mashatile's wife, Humile. The company is a minority shareholder in Sizekhaya, and it is central to questions of a conflict of interest for the Deputy President. The company's name, Sizekhaya – which translates to 'we are coming home' – seems apt for a group bound not only by business but also by longstanding personal relationships. Aside from the revealing video, the group also appeared together in a photo previously published by amaBhungane, taken at St Paul's Anglican Church in February 2024, where they gathered to honour victims of a bus crash following the ANC's manifesto launch at Moses Mabhida Stadium. While the published photo focused on Tembe, Mashatile and his wife in the front row, a closer look reveals Shabalala standing behind them to the right and a partially obscured woman who may be Bogatsu to his left, just behind the red jacket. That year, Mashatile had frequented Tembe's home in uMdloti, KwaZulu-Natal, according to people in the area, and around the time the photo was taken it is said that Mashatile's presidential protection unit stayed over at Tembe's house for around six days. Coincidentally or not, Bellamont Gaming was registered just months before that visit, in December 2023 – four months after the NLC published the request for proposal (FRP) for the licence and just two months before bids were due. In that month, Zungu was seemingly celebrating a special moment with Tembe, and a photo shared to his WhatsApp story shows the pair holding a baby girl, allegedly Zungu's. Miami and milestones 2023 was also the year that Shabalala and Bogatsu allegedly celebrated their own milestone – their alleged engagement in August in Miami. Tembe and Reggie Kukama – a well-known friend and associate of Mashatile's – as well as Kukama's son were allegedly there to witness the special occasion. Kukama and Mashatile are members of the so-called 'Alex mafia', a group of successful businessmen and politicians who hail from Alexandra, Johannesburg. More pictures from the same year show Shabalala and Bogatsu arm-in-arm with Zungu and his wife, Nozipho. Another image shows the alleged couple with a close friend at a lunch hosted for the group. Another shows Bogatsu and Shabalala alongside the ANC's Tony Yengeni in an intimate lunch setting. On 2 February 2024, the day before the lottery bids were due, Shabalala, Bogatsu, Tembe and his wife, Princess Nandoyesizwe Tembe (formerly Zulu), were photographed at the opening of the Anele Tembe Library at Durban Girls' College. It was a special occasion for Tembe as a grieving father. His daughter Anele died in 2001 after falling from a balcony in the presence of her then fiancé, rapper Kiernan AKA Forbes. Forbes died two years later after being shot in Durban. 'Not enough to buy an aeroplane' In response to amaBhungane's questions, Tembe dismissed questions about his relationships as an 'invasion of privacy and humiliating'. He said that in his various positions, he has met 'almost all leaders across the political spectrum in their home and my home'. 'It's my duty to share notes on all issues that impact business and to influence them to inculcate and live Godly values. None of them (across the political spectrum) would ever say I discussed personal interests.' Mashatile, he said, had no financial interest in Sizekhaya's bid. He added that the bid was never discussed with Mashatile and confirmed his shareholding in Sizekhaya, but claimed that it was 'insignificant' and 'much less than 10%'. He added: 'The NLC takes the biggest chunk of the top line and winnings even higher. No shareholder would make money to buy an aeroplane.' Political alignment Tau and Mashatile have also risen through the political ranks together. From December 2000, Tau served as a member of the mayoral committee (MMC) in Johannesburg for various portfolios until 2009, when he was elected to the Gauteng ANC provincial executive committee. Around this time, from 1994 until 2009, Mashatile served as MEC in various portfolios, also in Gauteng. From 2007 to 2017, Mashatile served as provincial chairperson of the ANC in Gauteng and from 2011 to 2016 – the same period – Tau served as mayor of Johannesburg. Parliamentary grilling Tau maintained in a parliamentary portfolio committee meeting this week that the process of awarding the licence to Sizekhaya Holdings was fair, but said he would go back and investigate allegations of a conflict of interest between the Deputy President and his sister-in-law. 'Fit and proper is a continuous process. There are allegations that have been raised in the media,' Tau said. 'We have looked at those allegations and we will look at them because they are specific allegations; you cannot ignore them. It would be irresponsible of us to ignore what has been raised in the public domain by investigative journalists in the media and so on.' Tau added that they would get appropriate advice on whether the Deputy President's relationship constitutes a conflict of interest, political affiliation and any other considerations. DM

Paul Mashatile denies family tied to multibillion-rand lottery deal
Paul Mashatile denies family tied to multibillion-rand lottery deal

The Citizen

time25-06-2025

  • Business
  • The Citizen

Paul Mashatile denies family tied to multibillion-rand lottery deal

Mashatile is accused of political interference in the awarding of a lucrative fourth national lottery licence to Sizekhaya Holdings. Deputy President Paul Mashatile has denied suggestions of political interference in the awarding of a lucrative national lottery licence to Sizekhaya Holdings. Among Sizekhaya's shareholders is Bellamont Gaming, a company co-owned and co-directed by Khumo Bogatsu and Moses Tembe, the KwaZulu-Natal businessman who chairs Sizekhaya. Bogatsu is the twin sister of Humile Mashatile, the deputy president's wife. 'Printing money' Sizekhaya landed the lucrative licence to operate South Africa's national lottery for eight years. Bellamont Gaming was registered nine months later, in December 2023, with Tembe and Bogatsu as its founding and only directors. Bellamont and consortium partners then registered Sizekhaya just days before last year's February 3 deadline to contest the fourth national lottery licence, according to an amaBhungane report. The outgoing operator, Ithuba Holdings, reported a R7.28-billion turnover in 2024, according to the report. Bogatsu and Tembe's joint involvement adds to widespread fears that the politics of patronage may have intruded on the award process. WATCH Paul Mashatile speaking about the National Lottery allegations WATCH | In an interview on IN THE KNOW with Sowetan, deputy president Paul Mashatile dismissed suggestions of interference in the awarding of the lucrative lotto licence contract to Sizekhaya Holdings. Catch the full interview on SowetanLIVE's YouTube channel on Thursday.… — Sowetan LIVE (@SowetanLIVE) June 24, 2025 ALSO READ: 'Acquittal' of Mashatile's VIP officers a 'miscarriage of justice' Mashatile responds The awarding of the fourth lottery licence has garnered significant public attention, which has also focused on the apparent political ties of other bidders. Mashatile argued that Bellamont Gaming, owned and co-owned by Bogatsu and Durban businessman Moses Tembe, who are part of a consortium that was awarded the lucrative lottery licence, was not doing business with the Presidency. He said it was unfair to question why his relatives were conducting business. 'There are so many people who know me in this country – family, children, cousins and friends. Where must they do business, in Zimbabwe? Out of this country? ' Mashatile asked during an interview with Sowetan on Tuesday. 'They can do business, as long as I'm not involved, not because they know me. Because once you say Mr Mashatile is capable of influencing, even if he is sitting in his house, it's unfair. You must be able to say he went there to interfere'. Allegations Mashatile said only the trade and industry minister, Parks Tau, had the power to choose the winning bidder. When asked why there were such allegations around him, Mashatile said he doesn't know. 'There is no way of knowing why people are after me. I do my work, I have been in government for close to 30 years… So, I don't know where these allegations come from. People just go around picking stuff, and I don't know what their motive is. 'If I've done something wrong, I'll be the first to accept to say I did something wrong, but if I've not, I'm not going to accept that. It doesn't matter how many times people make allegations'. Lottery Minister of Trade, Industry and Competition, Parks Tau, announced the award to Sizekhaya on May 28 this year after protracted delays and what he called 'this arduous exercise' of evaluating eight applications. Sizekhaya was competing with seven other bidders, including long-time operator Ithuba. The National Lotteries Commission (NLC), which reports to Tau, helps adjudicate licence bids. On Monday, Tau assured MPs that allegations of conflicts of interest linked to the newly awarded lotto operator licence will be investigated. ALSO READ: WATCH: DA lays corruption charges against Mashatile

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