Archive for April 2nd, 2007

BuaNews (Tshwane)

April 1, 2007
Posted to the web April 1, 2007

Oupa Segalwe

There will be no licensed operator authorised to conduct the national lottery for one month period, Trade and Industry Minister Mandisi Mpahlwa said Saturday.

This follows a High Court ruling early in March that the process taken by the National Lottery Board to award the new license to the Gidani Consortium was procedurally incorrect.

Judge Willie Seriti of the Pretoria High Court ruled that the board had failed to investigate the shareholdings in Gidani, the first preferred bidder, and the second bidder Uthingo – the then license holder.

Gidani allegedly has shareholders who are political office bearers while a company that has a stake in Uthingo is also alleged to have a shareholder who is also a political office bearer.

In terms of the Lotteries Act such individuals are precluded from having a stake in the lottery.

Briefing the media hours ahead of the expiry of the license held by Uthingo, Mr Mpahlwa said on receipt of the judgment, he commissioned further investigations by the board in line with the court’s requirements.

However, the amount of work involved made it difficult for the board to complete the process in time to meet the 31 March deadline.

“The sheer volume of work that had to be undertaken made it impossible to conclude this work in time for me to make a new decision before the expiry of the current license,” Mr Mpahlwa said.

He told reporters that the process of awarding the new license would be concluded within one month period followed by the [continue reading]