In unclaimed prizes
of licence conditions to relieve financial burdens on Gidani, said Nevhutanda, explaining why Gidani should not be awarded the licence.
Nevhutanda said they were also forced to amend Gidani’s licence to avoid the operator incurring R75 million in annual penalties as a result of Gidani failing to meet the terminal roll-out target.
The commission also had to force Gidani to lay criminal charges against an employee from Intralot, Gidani’s business and technical partner, which had fraudulently printed winning lottery tickets and claimed the prizes.
The commission said it only became aware of Gidani’s agreement with Intralot after the fraud and discovered that the agreement, which in effect handed lottery operations to Intralot, did not form part of Gidani’s bid.
Despite Gidani being fined R15 million related to the fraud case, the board decided to suspend the fine to relieve Gidani’s financial strain.