The Special Investigating Unit (SIU) has secured the full recovery of R3.2 million in misappropriated funds linked to the National Lotteries Commission (NLC), exposing what it describes as a pattern of abuse involving grants meant for community development.
The recovered funds include R1.5 million from Todi Media Development Foundation NPC and R1.71 million from Zibsiflo NPC, both of which were intended to support public interest projects but were instead diverted for private benefit.
“These cases highlight a coordinated scheme in which public funds meant for community upliftment were diverted into private pockets and toward property purchases,” the SIU said.
The investigations, conducted under Proclamation R.32 of 2020, revealed that the same network of individuals misused grants allocated for media development and women’s soccer initiatives.
In the Todi Media case, a R1.5 million grant awarded in 2018 for a media project was diverted to private entities, including Unscripted Communication and Black Dungaree. A significant portion of the funds was allegedly used to purchase property in Bassonia, Johannesburg.
Khutso Daniel Makwela, director of Todi Media Development Foundation, admitted to the misuse and repaid the full amount. “The SIU has received R1.5 million that was misappropriated,” the unit confirmed.
Similarly, Zibsiflo NPC received R1.71 million between 2019 and 2020 for women’s soccer clinics in the Free State. The SIU found that most of the funds were redirected to individuals and entities linked to the same network, with nearly R900,000 used to acquire property.
“The project was never implemented,” the SIU said. Makwela, also linked to Zibsiflo, signed an Acknowledgement of Debt and repaid the full amount.
The SIU emphasised that while funds have been recovered, further legal action may follow. “Repayment and settlement agreements do not absolve one of the SIU’s obligation to make a referral for evidence of criminal conduct,” it said.
In line with the Special Investigating Units and Special Tribunals Act 74 of 1996, the SIU will refer any evidence of criminal conduct to the National Prosecuting Authority for possible prosecution.
No tags for this post.
