Payments delayed as Sizekhaya takes South Africa lottery

Cedit: Janusz Pienkowski / Shutterstock

The transition of the South Africa Lottery national licence into new hands has been completed, but not without a dose of controversy.

The start of June saw Ithuba Holdings, the previous lottery licence holder for over a decade, lay back and allow Sizekhaya to step in as the new operator.

Sizekhaya won the tender last year for being the most operationally capable company out of the list of contenders to run the national lottery of South Africa, according to the government. 

Ithuba Holdings wanted to participate itself, but was barred from doing so due to its tenure extending what is permitted by South African law. 

Sizekhaya on the other hand was warmly welcomed by the National Lotteries Commission (NLC), the regulator responsible for the South African National Lottery.

In a public statement, NLC Board Chairperson, Prof. Barney Pityana, described the transition as an “important milestone” for millions of lottery players, and praised Sizekhaya’s commitment to usher the lottery into a new chapter.

He said: “We are encouraged by Sizekhaya’s commitment to modernising the Lottery experience through improved accessibility, technological innovation and enhanced customer experience. 

“These developments have the potential to strengthen participation and, ultimately, increase funding available for projects that uplift communities and create opportunities for South Africans.

“As we enter this new era, our focus remains clear: protecting the integrity of the National Lottery, safeguarding the interests of players and ensuring that the proceeds generated continue to make a meaningful difference in communities across our country.”

One last controversy for the road

However, the transition of the license did not go as smoothly as expected. On the eve of the new lottery operator taking the reins, players came to social media to complain about delays in the payments of winnings.

The accusations were primarily pointed at Ithuba, which remained steadfast in its claim that all necessary documentation on player records and pending payments had been handed over to Sizekhaya on the date and through the channels agreed by both lottery operators, therefore passing the ball to the new licence holder.

As with any migration to a new system, perhaps this is just a matter of Sizekhaya still going through the provided information and clearing house as it ventures into its eight-year lottery contract which started on 1 June.

But one thing will remain certain for Lottery Daily readers and every South African lottery player – the South African National Lottery, together with Ithuba and Sizekhaya, close a chapter of severe public scrutiny and concerns of corruption relating to lottery funding.

Whether this chapter will remain closed, only time will tell.