The NLC announced a shake-up in its governance and performance in a press release. This comes after reports of a corruption scandal involving Upbrand Properties, a construction company with links to a senior board member at the NLC. Local media accused the company of making questionable payments to several board members at the commission.
In response, Minister Ebrahim Patel appointed Dr Barney Pityana, a human rights lawyer, as the new chairperson of the NLC, beginning on 1 August. The appointment followed a two-year parliamentary process, which involved multiple candidates being interviewed and a public nomination process.
Dr Pityana is a well-known academic and anti-apartheid activist, with experience as the former chairperson of Uthingo, the national lottery operator. He holds a master of laws in labour law and a PhD in religious studies, and he is also an ordained priest and an admitted attorney of the High Court. Minister Patel expressed satisfaction with Dr Pityana’s appointment, highlighting the need for ethical leadership in light of corruption allegations.
In response to the corruption scandal, the Department of Trade, Industry and Competition initiated a forensic investigation into the NLC’s funding decisions. The president also appointed the Special Investigating Unit (SIU) to probe the matter further. Minister Patel expects additional action to be taken against those involved in any wrongdoing.
The minister has extended Ithuba Holdings’ license, the current operator, for two years due to the impact of the Covid-19 pandemic on their business. However, Ithuba will be required to contribute at a higher rate to the NLC during the extended period. The NLC is also reviewing the process for appointing future operators.