Lottery Licence Bidder Accuses Minister Of Favouring Ithuba
Minister for Trade, Industry and Competition Parks Tau has been accused of 'frustrating' the awarding of the fourth national lottery licence in order to advance the interests of the present licence holder, Ithuba.
In an urgent court challenge seeking to force Taus hand to award the lucrative licence, worth an estimated R180 billion, bidder Wina Njalo RF Pty Ltd says the Ministers approach to the matter is 'so entirely irrational that it can give rise to only one conclusion: that the Minister is actuated by an ulterior purpose and is acting in a manner which will advance the interest of one party Ithuba'. Wina Njalo is a subsidiary of Hosken Consolidated Investments, established for the sole purpose of bidding and ultimately operating the national lottery.
The company says the delay in awarding the fourth licence, and the Ministers 'irrational and unlawful' decision to extend the bid evaluation process by another year, and then to issue a new request for proposals for a 12-month 'temporary licence', are threatening the very existence of the national lottery.
'We bring this application in our interest and in the public interest to safeguard the lottery, which is a revenue generation mechanism which plays a critical role in depositing billions of rands to sustain good causes,' Wina Njalo CEO Dawid Benjamin Muller says in his affidavit in the urgent application lodged this week in the Pretoria High Court.