Mashatile breaks silence on claims of nepotism in lottery licence award
One of Sizekhaya’s key shareholders is Bellamont Gaming, co-owned by Khumo Bogatsu and Moses Tembe, the chair of Sizekhaya. Bogatsu is the twin sister of Humile Mashatile, the deputy president’s wife.
South Africa.- Deputy President Paul Mashatile has reacted to brewing claims that politics played a role in the granting of the national lottery licence to Sizekhaya Holdings.
On May 28, the Goldrush-backed consortium was announced by Minister Parks Tau as the winner of the national lottery contract, concluding a lengthy and controversial process.
Sizekhaya edged out seven other bidders to win the contract, which has been dubbed “a licence to print money,” because of its lucrativeness. While the process that saw the company emerge was marred with delays and allegations of irregularities, the bone of contention for the South African populace and stakeholders after the announcement was the company’s ownership structure and close ties to high-ranking government officials.
One of Sizekhaya’s key shareholders is Bellamont Gaming, co-owned by Khumo Bogatsu and Moses Tembe, the chair of Sizekhaya. Bogatsu is the twin sister of Humile Mashatile, the deputy president’s wife, directly making her a sister-in-law to Paul Mashatile.
Tembe is reportedly a close acquaintance of the deputy president, with sources indicating that Mashatile has been a frequent guest at the KwaZulu-Natal businessman’s uMdloti residence.
These connections have raised suspicions that the award process was swayed by politics and favouritism rather than merit.
In a recent interview, Mashatile contended that Bellamont Gaming had no direct dealings with the presidency and that the consortium’s involvement and fate in the lottery licence were unrelated to his office.
He acknowledged his friendship with Tembe but stated that he did not know about Tembe’s business relationship with Bogatsu. The deputy president further argued that it was unjust to scrutinise his relatives’ business dealings simply because of their familial connection to him.
He said: “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?
“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”.
Mashatile added that the decision to select the winning bidder rested solely with Parks Tau, as the trade and industry minister.
Since the allegations surfaced, Sizekhaya had defended Bellamont Gaming, stating that the company is a minority shareholder and fully compliant with gaming regulations. Tembe has also denied any impropriety in the licensing process.
In his recent meeting with the South African parliamentary portfolio committee, Tau expressed confidence in the lottery decision-making process, but pledged to look into the undue influence claims.