Newsroom > UDM calls for urgent reform and accountability at the National Lotteries Commission

UDM calls for urgent reform and accountability at the National Lotteries Commission

UDM calls for urgent reform and accountability at the National Lotteries Commission

Statement by Zandile Phiri, Acting Secretary General of the United Democratic Movement

The United Democratic Movement (UDM) is concerned by the findings of the Auditor-General’s 2023/24 report on the National Lotteries Commission (NLC). The qualified audit opinion, along with serious concerns around internal controls, non-compliance, and nearly R1 billion in unspent grant funding, paints a troubling picture of an institution still failing in its mandate to support vulnerable communities through grant funding.

The audit highlights include grant mismanagement, delays caused by critical vacancies, and repeated failure to investigate irregular expenditure. The underspending of R957 million in grant allocations is unacceptable, particularly when those funds could have addressed urgent needs in communities across South Africa.

Of great concern are the material irregularities involving incomplete or undelivered projects such as the Motheo Sports Complex and the eDumbe Old Age Home. These are not just administrative oversights but broken commitments to the people who depend on these services.

While the UDM acknowledges some improvements under the new board and commissioner, the slow pace of reform and continued vacancies in key positions remain a serious barrier to restoring functionality and integrity at the NLC.

The UDM calls on the Minister of Trade, Industry and Competition to take urgent action. This must include the swift appointment of competent personnel, the immediate strengthening of internal controls, full investigation of financial misconduct, and regular public reporting to restore trust.

South Africans deserve a National Lotteries Commission that is transparent, accountable, and focused on serving the public good. The ongoing mismanagement of public funds meant to uplift the most vulnerable is unacceptable and must be brought to an end.