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The Economic Freedom Fighters (EFF) have launched a legal intervention in an ongoing court battle over the fourth National Lottery licence. The party says the awarding of the licence to ANC-linked Sizekhaya Holdings violated transparency laws and sections of the Lotteries Act.
EFF leaders argue that they exhausted every political and administrative channel before turning to the courts. These included appeals to Parliament, the Trade Minister, and the Presidency — all of which were allegedly ignored.
“We will not permit the fourth lottery licence to become yet another chapter in the long and painful history of state capture,” the party said.
What the EFF says went wrong
According to the statement, the EFF’s challenge is based on a range of legal, ethical, and governance concerns:
- Sizekhaya Holdings allegedly has indirect political ties through family trusts and layered corporate structures.
- The company reportedly failed to meet key licence criteria, such as taking over operations within five months.
- The Minister did not provide evidence that Sizekhaya met mandatory requirements.
- Attempts to obtain the full court record were blocked, despite the documents being public.
- The Lottery is meant to serve the public — not politically connected businesses.
Legal and political issues raised
| Concern raised by EFF | Detail |
|---|---|
| Indirect political influence | Shareholders reportedly include family members of government officials. |
| Transparency loopholes | Law only bans direct political interests; EFF wants indirect links banned too. |
| Ignored parliamentary oversight | Portfolio Committee dismissed concerns or failed to act. |
| Failure of executive accountability | Minister and Presidency did not act on documented warnings. |
| Violation of Lotteries Act | Section 13(2)(b)(iv) cited — prohibits political parties from benefiting. |
What’s next?
The EFF wants the court to:
- Declare current provisions of the Lotteries Act constitutionally defective.
- Interpret the law to ban both direct and indirect political interests in licence awards.
- Block the licence awarded to Sizekhaya Holdings.
The party also wants broader reform to prevent future state capture in public concession processes like the Lottery, which manages nearly R58 billion in community funds.
