Pretoria - The Department of Trade and Industry has dismissed reports linking the resignation of the National Lotteries Board (NLB) CEO, Professor Vevek Ram, to the operational challenges faced in the distribution of good cause funding.
In a statement, the dti said Ram, who resigned last Friday, had indicated a possible interest in participating in the future bidding process for the next lottery operator.
"The board felt it would involve a conflict of interest and accepted Professor Ram's offer to resign," spokesperson Sidwell Medupe said.
Recently there has been an outcry by cash-strapped charities and non-governmental organisations over the slow response by the board's distributing agencies. Some organisations are reported to have had to close down because funds have dried up.
Medupe said the dti was aware of the significant challenges experienced in distributing good cause funds and have given priority attention to the problem.
In light of the pressure generated by a decreasing pool of funds, an increased number of applications and improvement in turn-around times, Medupe said Minister Rob Davies stressed that mechanisms be put in place to ensure the continuance of high standards of corporate governance.
"These standards include policy common to the dti and all its agencies; that any instance of maladministration or abuse of public funds will be subjected to independent investigation and depending on the outcome, decisive action will immediately be taken."
