The Special Investigating Unit (SIU) has obtained a preservation order from the Special Tribunal to freeze assets worth R24.98 million linked to the alleged misappropriation of a National Lotteries Commission (NLC) grant. The order, granted on 10 April 2025, freezes two luxury properties and a high-value Powerstar vehicle stem from funds that were meant for the 2016 Rio Olympics “Roadshow Send-Off” campaign.

The judgment follows an SIU investigation that uncovered a coordinated scheme involving the Mshandukani Foundation (NPO), registered just four months before receiving the grant.

In July 2016, the South African Sports Confederation and Olympic Committee (SASCOC) applied for funding on behalf of Mshandukani Foundation, claiming it would support Olympic awareness events nationwide. Despite the foundation’s lack of track record, the NLC approved R24.98 million within six days.

The NLC then paid SASCOC on 20 July 2016, which then transferred R24.83 million to Mshandukani Foundation’s account in three tranches.

• Within days, the foundation diverted funds to entities linked to NLC officials:
• R15.35 million to Ironbridge Travel Agency, linked to former NLC COO
  Phillemon Letwaba, used for cars, goats, and personal expenses.
• R7.23 million to Mshandukani Holdings controlled by foundation member Mashudu Shandukani.
• R3 million to Mosokodi Business Trust, also linked to Letwaba
• Direct payments of R450,000 to Letwaba and R600,000 to former NLC legal manager TS Maseiwa

Acquisition of the two properties

Between 22 July 2016 and 6 March 2017, Mshandukani Holdings received approximately R7.23 million. On 26 August 2016, AO Residence Trust, linked to Mashudu Shandukani, purchased an Office Park in Centurion for R650,000. This acquisition was funded through Mshandukani Holdings.

On 30 August 2016, AO Residence Trust signed an offer to purchase a house in a complex in Centurion, for R1.1 million. The following day, on 31 August 2016, an amount of R1.13 million was transferred from Mshandukani Holdings to the conveyancers facilitate transaction.

Acquisition of Specialised Vehicle

On 8 November 2016, Mosokodi Water Solutions — a company linked to Letwaba — purchased a Beifangbenchi Powerstar drill/cleaner for R1.7 million. The transaction was funded through Ironbridge Travel Agency, which is also linked to Letwaba.

The SIU was authorised by President Cyril Ramaphosa in terms of Proclamation R32 of 2020 to investigate allegations of corruption and maladministration in the affairs of NLC and the conduct of NLC officials and to recover any financial losses suffered by the State.

The order of the Special Tribunal is part of implementing SIU investigation outcomes and consequence management to recover financial losses suffered by State institutions because of corruption or negligence.

The SIU is empowered to institute a civil action in the High Court or a Special Tribunal to correct any wrongdoing uncovered during investigations caused by corruption, fraud, or maladministration. In line with the Special Investigating Units and Special Tribunals Act 74 of 1996, the SIU refers any evidence pointing to criminal conduct it uncovers to the National Prosecuting Authority (NPA) for further action.

Enquiries:
Kaizer Kganyago
Spokesperson: Special Investigating Unit
082 306 8888
KKganyago@siu.org.za