Sizekhaya rejects claims of political ties to Deputy President Mashatile
The dispute centres on the eight-year national lottery contract, valued at around R180 billion (about €9.2bn), which Sizekhaya won after a process overseen by the National Lotteries Commission.
South Africa.- Sizekhaya Holdings, the consortium awarded South Africa’s national lottery operating licence in May 2025, has rejected claims of political connections to Deputy President Paul Mashatile as mere gossip and unfounded theories. In court papers opposing a legal challenge from rival bidder Ithuba, Sizekhaya’s attorney, Rishaban Moodley, stated that media reports suggesting influence through family and associates do not prove any violation of bidding rules or the Lotteries Act.
The dispute centres on the eight-year national lottery contract, valued at around R180 billion (€9.2bn), which Sizekhaya won after a process overseen by the National Lotteries Commission (NLC) and approved by Parks Tau, Minister of Trade, Industry and Competition.
Ithuba, the current operator whose term ends in 2026, filed an urgent application in the Gauteng High Court in Pretoria to halt the handover and review the decision, citing alleged irregularities in evaluation and political links. The court hearing is scheduled for October 28 to 30, 2025.
Moodley emphasised in his affidavit that Sizekhaya is cooperating fully with an investigation launched by Tau into the allegations. He argued that the Lotteries Act only bars direct interests by political parties or office-bearers that could lead to control, which is not the case with Sizekhaya or its shareholders.
At the heart of the allegations is Khumo Bogatsu, the twin sister of Deputy President Paul Mashatile’s wife, Humile Mashatile, and a co-owner of Bellamont Gaming, which has a stake in Sizekhaya Holdings. Moodley noted that Bogatsu has denied any discussions with the Deputy President regarding her role in the bid. He wrote in the affidavit: “What the media articles insinuate is that Ms Bogatsu must have parlayed her family connection to the Deputy President in order to get him to pull strings… She denies that she even discussed her role in Sizekhaya’s bid with her brother-in-law.”
The controversy also centres around Sizekhaya chair Moses Tembe, who is said to have a close relationship with Mashatile through their shared social and professional circles, like the KwaZulu-Natal Growth Coalition. However, Tembe asserts that he has cordial relationships with politicians from various parties and never discussed the bid with Mashatile. In a separate statement reported by Current Affairs ZA, Tembe reiterated that the Deputy President holds no financial stake in the company.
Another shareholder, Sandile Zungu, is said to have ANC connections, but Moodley clarifies that he does not currently hold office. He mentioned that Zungu once declined a nomination for a provincial ANC role and has no personal relationship with Mashatile beyond occasional events. Moodley dismissed broader claims of “political party connections” as vague and irrelevant to the Act’s requirements.
If Ithuba succeeds, the review could delay or overturn the handover, disrupting lottery operations that contribute heavily to national revenue and generate funds for social causes. Sizekhaya has asked the court to dismiss Ithuba’s application, arguing it lacks legal grounds and seeks only to create doubt.