Build One South Africa (BOSA) welcomes the ruling by the Gauteng High Court, which has ordered the Minister of Trade, Industry and Competition, Parks Tau, to appoint a new operator for the National Lottery by 28 May 2025. In a significant judgment, the court also declared the extension of the bid validity period for the fourth National Lottery licence as unlawful and invalid.
This ruling is a clear vindication of BOSA’s long-standing concerns about irregularities in the procurement process for the National Lottery licence. We have consistently warned that both the Public Finance Management Act (PFMA) and the Lotteries Act do not provide for the extension of a bid validity period beyond its original terms.
Under standard procurement law and ethical governance, once a bid validity period lapses, the process must either be concluded or restarted in full.
Extending a bid validity period – especially without the prior and written consent of all bidders – compromises the integrity of the process and potentially violates Section 217 of the Constitution. This section requires that all public procurement processes must be conducted in a manner that is fair, equitable, transparent, competitive, and cost-effective.
The ruling sends a strong message against manipulation and backdoor deals in state procurement, particularly in institutions like the National Lotteries Commission, which plays a vital role in funding civil society organisations across the country.
BOSA calls on Minister Parks Tau to respect the court’s ruling without delay and to ensure that the appointment of a new operator is conducted in full compliance with the law, in the interest of public trust and good governance.
We further urge the relevant parliamentary committees to initiate oversight processes to examine how this unlawful extension was permitted, and whether any disciplinary or legal consequences should follow for those involved.
Roger Solomons – BOSA Acting Spokesperson – 072 299 3551