The Special Investigating Unit (SIU) has obtained a preservation order from the Special Tribunal against two properties linked to funds allocated by the National Lotteries Commission (NLC) to Malusi We Sizwe Non-Profit Company (NPC). The properties are in The Orchards and Soshanguve, Pretoria.
The preservation order relates to a R13 million grant approved by the NLC in November 2018 for an agricultural project in Zululand District Municipality in KwaZulu-Natal, which was intended to benefit approximately 1 900 people, including unemployed youth and elderly community members.
The preservation orders follow an SIU investigation, which revealed that on 14 September 2018, former NLC Grant Manager Marubini Ramatsekisa submitted an internal proposal for “proactive funding” for the project, which was approved on the same day by former NLC Chief Operating Officer Philemon Letwaba.
On 3 October 2018, Malusi We Sizwe NPC applied for funding of R14,976,796. At the time, Sinqobile Khumalo, Margaret Sithole, and Lawrence Malungwa were listed as directors of the organisation.
The NLC Adjudication Committee approved R13 million for the project on 1 November 2018. Shortly after the grant approval and the signing of the grant agreement, Nelisiwe Mahlangu was appointed as a director of the NPC on 26 November 2018, while the existing directors resigned on the same day.
Protecting the public interest and assets through prevention measures and systemic investigations to eradicate fraud, maladministration, and corruption.
The NLC paid the first tranche of R7 million on 5 December 2018 and a second tranche of R6 million on 20 March 2019. Before receiving the NLC funding, the NPC had only R100 in its bank account.
The SIU investigation further uncovered financial flows from the NPC account to various entities and transactions linked to the acquisition of immovable properties.
These include:
• The purchase of a property in Soshanguve, Pretoria, by Mahlangu on 9 April 2019 for R345,000.
• Transfers totalling R5.6 million from Malusi We Sizwe NPC to Trizaflo (Pty) Ltd, owned by Wisane Mabundza, between March and November 2019.
• Trizaflo made a transfer of R2,118,338 to attorneys for the purchase of property in Midstream Estate, Pretoria. The property was registered in the name of Alfred Sigudhla on 9 December 2019. The SIU obtained a preservation order of this property in April 2025.
• The purchase and transfer of another property in The Orchards, Hartbeeshoek, Gauteng, into Mahlangu’s name on 1 October 2020.
The investigation by the SIU showed that the properties in Soshanguve and The Orchards were purchased for Mahlangu’s benefit using NLC funds, rather than for an agricultural project in KwaZulu-Natal.
The orders are intended to prevent the sale or disposal of the properties pending the finalisation of civil proceedings aimed at recovering misappropriated funds.
The preservation orders are part of the SIU’s ongoing investigation into allegations of corruption and mismanagement related to projects funded by the NLC, conducted under Proclamation 32 of 2020, issued by President Cyril Ramaphosa.
The SIU instituted civil proceedings under the Special Investigating Units and Special Tribunals Act 74 of 1996 as part of implementing SIU investigation outcomes and to recover financial losses suffered by State institutions because of corruption or negligence, including funds paid for services not rendered.
The SIU remains committed to recovering public funds lost through corruption and ensuring accountability for those involved in the abuse of public resources.
Protecting the public interest and assets through prevention measures and systemic investigations to eradicate fraud, maladministration, and corruption.
In line with the Special Investigating Units and Special Tribunals Act 74 of 1996 (SIU Act), the SIU will refer any evidence of criminal conduct uncovered during its investigation to the National Prosecuting Authority (NPA) for further action.
Enquiries:
Selby Makgotho
Spokesperson: Special Investigating Unit
Cell: 083 718 6128
SIUMedia@siu.org.za
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