close
close

Yes it asks your minister to clarify the delay of loto license against the background of conflict concerns

Yes it asks your minister to clarify the delay of loto license against the background of conflict concerns

Note for publishers: Please see attached Soundbite of Toby Chance Mp

The decision of Minister Parks Tau announced on Thursday to postpone the Lotto license for another 12 months, in terms of legality questions about what is happening after May 31, 2025, when the current Lotto holder expires and May 31, 2026, the new date proposed when TA is committed to granting the new license.

The law on modification of the lottery stipulates that a license can only be extended for a period that does not regenerate that does not exceed 24 months. The license was already extended by former minister Ebrahim Patel on June 1, 2023 to expire on May 31, 2025. As you cannot legally offer another extension, the two scenarios are possible:

  • Loto ticket sales are suspended and give frozen for one year or
  • The National Commission for Loters, using its funds accumulated by R3.9 billion to pay subsidies until the new operator announced.

While you claim that it is necessary to give more time for additional evaluations on granting a license, this raises speculation about the possible conflicts of interest of some of the bidders, all having close links.

Yes ask your minister to establish the registration and continue with a decision on the lottery license without delay.

The lottery license is challenged with fierce every time it appears for renewal. In the amount of approximately R180 billion for each eight -year term, the problem is controversial from 2022, resulting in Patel’s expansion. Whatever the company wins the offer, a judicial appeal of one or more losses is practically safe.

Given the dependence of many NGOs and charity organizations on Lotto subsidies, Loto is unlikely to be canceled for one year. This lets NLC pay subsidies from his reserves as a scenario.

The reluctance of your minister to choose a new license holder raises several questions around the links that bidders have with various factions within the ANC and why it takes another year to evaluate the offers that were already submitted on Monday. There are speculation that Front-run is in favor of the dominant ANC fraction.

The clear minister, yours, sail in a traitor political mining field and must first put the interests of the Loter Commission.