Johannesburg - The Special Investigative Unit (SIU) has slammed reports doing the rounds on social media with claims that the popular actress Terry Pheto’s house auction was stopped by the Presidency.
The house, which was reportedly built with funds linked to the siphoning of National Lottery Commission (NLC) grant funding, was auctioned on Thursday, March 2, but attracted no successful bids.
The SIU responded to the claims, revealing that the auction was run by an independent auctioneer, Auction Assets.
"Fake News Alert. The house of Moitheri Pheto was auctioned on March 2, 2023, on a live stream. The auction was a process of the Asset Forfeiture Unit, and the SIU accompanied the AFU as this is an SIU investigation.
"Twenty-eight people registered for the auction, but no one made an offer on the day. The auction was run by an independent auctioneer, Auction Assets. Post the auction, the auctioneer has received written offers for the property, which are now being considered."
The auctioning of Pheto’s home was a continuation of the implementation of the SIU investigation outcomes and consequence management to recover assets and financial losses suffered by state institutions and/or to prevent further losses.
The SIU spokesperson, Kaizer Kganyago said the unit is making an effort to recoup the NLC money that was illegally used on the property.
Last year, the SIU reported that the house was built with funds linked to the siphoning of National Lottery Commission (NLC) grant funding.
The SIU allegedly swooped on multi-million properties, a luxury vehicle, and two seafood restaurants owned by Pheto, former Lottery boss Lesley Ramulifho, and a group of others.
The auction follows a preservation order granted by the High Court of South Africa, Gauteng Division, Pretoria, to the Asset Forfeiture Unit (AFU) and the Special Investigating Unit (SIU) on November 4, 2022, to freeze Pheto’s Bryanston home.
"The SIU investigations have found that the money used for the purchase of the land and construction of the home came from non-profit organisations that received NLC funding meant for the roll-out of a public campaign and culturally sensitive medical intervention projects aimed at achieving traditional circumcision practice.
"After the preservation order was granted, Pheto’s legal representatives contacted the SIU and the AFU, indicating that they would not contest the preservation order granted by the High Court," Kganyago said.
The SIU was established in terms of Proclamation R32 of 2020, authorised by President Cyril Ramaphosa to investigate allegations of corruption and maladministration in the affairs of the NLC and the conduct of NLC officials and to recover any financial losses suffered by the State or the NLC.
The Star