SIU seizes luxury property linked to lottery grants
According to SIU, the luxury home located in Pretoria’s exclusive Silverstream gated estate and owned by Alfred Sigudhla was purchased with lottery funds meant for charitable causes.
South Africa.- A multimillion-rand property owned by Alfred Sigudhla has been frozen by a preservation order secured by the Special Investigating Unit (SIU) due to allegations that it was bought with funds from lottery grants.
According to SIU, the luxury home located in Pretoria’s exclusive Silverstream gated estate was purchased with lottery funds meant for charitable causes, which were laundered through non-private companies and private entities.
In the tribunal’s order, Sigudhla, founder and former director of the Southern African Youth Movement (SAYM) and Smart Safety PPE, is listed alongside 13 others and four companies, including two private and two non-profits.
The SIU is investigating all SAYM projects funded by the Lottery, which have totalled over R69.6 million (€3.3m). Among the funded projects were an old-age home in the Free State, an agricultural development, a Mpumalanga-based drug rehabilitation centre and an anti-drug musical tour.
However, SIU spokesperson Kaizer Kganyago revealed that these funds were misappropriated and diverted to buy property.
Kganyago said: “Sigudhla, who is cited in the tribunal order, serves as the chairperson of the SA Youth Movement NPC, which received R23m from the NLC for old-age homes in rural provinces. He signed the grant agreement on September 15, 2017, and diversion for an additional R7.5m on May 21, 2019, despite a lack of proof of project delivery.”
The SIU found that after receiving R23 million (€1.1m) for the Free State old-age home, SAYM paid R1.6 million (€77,138) to Smart Safety PPE, which then paid R1.67 million (€80,512) towards Sigudhla’s home purchase.
Another organisation, Malusi We Sizwe NPC, which receieved R13 million (€626,747) in 2018/19 for a KZN agricultural project, also contributed to the funding of the house. Following payment from the NLC, nearly R900,000 was transferred to Trizaflo (Pty) Ltd, which then paid R2.1 million (€101,243) to the attorney for the Silverstream house sale.
amaBhungane Investigations
An investigative journalism group called amaBhungane has published findings about Sigudhla’s alleged misuse of public funds in 2020.
As reported by the outfit, on top of the nearly R70 million in lottery funding, SAYM received millions from the Department of Cooperative Governance and Traditional Affairs (COGTA) for a Community Works Programme (CWP) in the Eastern Cape in 2018.
amaBhungane obtained COGTA records exposing that at least 10 contracts worth R13.6 million (€655,674) went to companies linked to SAYM staff, business partners and Sigudhla’s family members.
The group also reported that Sigudhla’s Facebook page, before it was made private, featured photos of his luxury car collection and champagne, as well as parties with local celebrities.
The Special Tribunal’s order supports the SIU’s efforts to recover state funds lost to mismanagement or negligence. However, investigations and indictments are ongoing as the SIU’s probe uncovers more evidence of corruption.