Pheto denies role in lotteries scandal
● Actress Terry Pheto has denied any involvement in the National Lotteries Commission (NLC) fraud and said she would co-operate fully with investigators.
Pheto, 41, who won international acclaim for her role in the 2005 crime drama Tsotsi, has been named in a Special Investigating Unit (SIU) probe into a huge lotteries fraud.
The SIU announced on Friday that the high court in Pretoria had granted it an order to freeze nine luxury properties in Pretoria, Centurion, Hartbeespoort and Johannesburg.
A BMW 420i and two Ocean Basket franchises on the East Rand were also part of the order. The assets are worth about R25m.
A Bryanston property owned by Pheto is among those attached. The actress bought it for R1.25m in 2017, according to a deed search.
She is named alongside Lesley Ramulifho, a lawyer; Collin Mukondeleli Tshisimba; Fulufhelo Promise Kharivhe; Mashudu Shandukani, who represents the AO Residence Trust; Rebotile Malomane, who represents the Rasemate Family Trust; Thabang Charlotte Mampane, who represents the Mojakgomo Family Trust; Sthembiso Jim Skosana, who represents Upbrand Properties Trust; and Botshelo Cornelius Moloto, who represents the Just Cuban Trust. Mampane is a former head of the NLC.
According to the SIU, its investigation revealed that the properties were funded by nonprofit organisations (NPOs) with money received from the NLC “under the auspices of grant funding”.
“The luxury properties, therefore, constitute proceeds of unlawful activities, hence the application for a preservation order pending the final determination of the application for final forfeiture,” the statement reads.
Deputy judge president Aubrey Ledwaba granted the order in his chambers on Friday.
According to the order, Pheto and others implicated are not allowed to sell or rent the properties while the litigation is pending. Yesterday, Pheto took to Twitter to deny the allegations.
“I am dismayed to discover I am the subject of an SIU probe into allegations of fraud relating to funding by the NLC,” she said.
“I deny any involvement in the alleged scheme that has been reported on. I also had no prior knowledge of an application to obtain a preservation order against me and have had no sight of this order.
“I hold the law in high regard and will cooperate fully with this investigation in an open and transparent manner.”
Tshisimba said: “I haven’t received that order. It’s hearsay. I don’t know what to challenge. I have never been informed. I don’t know anything. I just saw it published yesterday.”
Ramulifho said: “No comment.”
The others named by the SIU did not respond to calls or messages.
In September, SIU head Andy Mothibi and top investigating officer Leonard Lekgetho told the parliamentary portfolio committee on trade & industry that it had “referred evidence pointing to the commission of criminal offences to the National Prosecuting Authority for 13 individuals”.
They said they had also launched civil cases to recover money allegedly misappropriated from the NLC that was splurged on a R6m Rolls-Royce, mansions and other luxury items.
Mothibi said the interim report found law firms were used to siphon off the money. The firms, he said, would be reported to the Legal Practice Council.
“The amount involved in phase 1 investigations is R279m,” he said. “The amount was corruptly siphoned out of the NLC with the assistance of executive and board members.”
He said the investigation to trace the cash was “intense, massive and complex”.
The SIU has started the second phase of the investigation with 24 cases.
“The investigation revealed NPOs contributed towards the purchase of immovable property” on behalf of a board member, he said.
Lekgetho told MPs in June the SIU obtained a preservation order for the property registered under Vhutanda Investment (Pty) Ltd, where former board chair Alfred Nevhutanda is sole director.
Trade & industry minister Ebrahim Patel said the SIU’s report showed that NLC funds, meant for the most vulnerable communities and projects including old-age homes, drug rehabilitation facilities and centres for young children “were cynically and brazenly stolen by an organised syndicate of persons”.
“Institutions of democracy are able, when brought into action, to collect the evidence of wrongdoing and ensure implicated persons are identified and held to account,” Patel said.
Veteran journalist Ray Joseph, who has investigated the lotteries scandal since 2018, said the new NCL executive and a new board appeared determined to clean up.
“From what I see, there is an absolute determination to clean up the lottery. There will be a lot more prosecutions,” Joseph said.
“But I don’t believe we will ever know how much money has been stolen. I believe it runs into billions of rands. The theft was so endemic and deep-rooted and a proper investigation will take years.”