The Special Investigating Unit (SIU) has recovered R70,000.00 in the ongoing investigation into the misappropriation of National Lotteries Commission (NLC) grant funding linked to the 2016 Rio Olympic Games “Roadshow Send-Off” campaign.

This marks the second successful settlement in the SIU’s efforts to reclaim unlawfully used public funds.

The recovery was secured through a settlement agreement with Imbizo Events, which has been ordered by the Special Tribunal to repay the amount in two equal instalments.

This latest recovery follows a similar settlement in December 2025, when TV personality Minenhle “Minnie” Dlamini repaid R50,000.00 that she had received irregularly from the Mshandukani Foundation NPO.

The foundation, along with several individuals and companies, has been at the centre of a major investigation into the misuse of millions in public funds.

SIU spokesperson Kaizer Kganyago confirmed that these recoveries are part of the unit’s broader mandate to ensure that public funds are returned to the State.

“The SIU remains committed to ensuring that public funds are returned to the State and redirected to lawful beneficiaries,” Kganyago said.

The investigation has revealed that nearly R25 million in NLC grant funds, which were intended for Olympic awareness events, were misappropriated by several entities and individuals with links to former NLC officials.

One of the main vehicles for the misappropriation was the Mshandukani Foundation, a Non-Profit Organisation (NPO) that had only been registered shortly before receiving the funding. The grant was approved just six days after an application was made by the South African Sports Confederation and Olympic Committee (SASCOC) on behalf of the foundation.

Large sums were diverted to various recipients, including R15.35 million to Ironbridge Travel Agency, which is connected to former NLC Chief Operating Officer Phillemon Letwaba.

Another R7.23 million was channeled to Mshandukani Holdings, controlled by Mashudu Shandukani, while R3 million was directed to Mosokodi Business Trust, also linked to Letwaba. There were also direct payments to former NLC officials and other associates of the involved parties.

Kganyago said in April 2025, the SIU obtained a preservation order from the Special Tribunal, freezing assets worth R24.9 million.

These assets include two luxury properties and a specialised Powerstar vehicle, all of which were acquired through the misappropriated funds.

Kganyago also stated that the SIU has filed a review application at the Special Tribunal, seeking to declare the NLC’s decision to grant funding to SASCOC invalid and to set it aside. 

”The application seeks an order directing all respondents in the matter to repay the full amount of R24.98 million unduly paid to them.”

Kganyago said the matter was heard in December 2025, and the SIU is now awaiting a ruling from the Special Tribunal..

Meanwhile, NLC Board Chairperson Prof Barney Pityana stressed that the investigation is an independent legal process.

“In this regard, the Commission believes it is in the public interest that law enforcement agencies are afforded the necessary space and time to conduct their work thoroughly, without interference or parallel public commentary that may compromise the integrity of the investigation,” Pityana said.

The NLC has also made it clear that it will not comment on specific projects or transactions that fall under the scope of the SIU investigation until the process is complete.

“The Commission will act on the findings and recommendations contained in the final SIU report once the investigation has been concluded,” Pityana said.

hope.ntanzi@iol.co.za 

IOL News 

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