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Lotteries Act, 1997 (Act No. 57 of 1997)

Regulations Relating to Allocation of Money in National Lottery Distribution Trust Fund

3. Requirements for the allocation of funds for charities (sec 28)



A juristic person applying for a grant in terms of section 28 of the Act, shall-


1) be an organisation or institution established for charitable, benevolent or philanthropic purposes, including friendly societies, welfare organisations and conduit organisations or trusts in respect of any such organisation or institution;
2) state that its income and property are not distributable to its members, employees or managers, except as reasonable compensation for services rendered;
3) indicate that changes in the composition of its membership or management will not substantially affect its continued existence;
4) establish that it aims to improve the quality of life of people and communities who are disadvantaged by poverty or social exclusion;
5) establish that it-
a) funds or intends to fund projects which enable people to become involved in activities which improve the quality of life for the community as a whole;
b) funds or intends to fund projects which assist those at greatest disadvantage or excluded from the community, especially projects pertaining the elderly people, the disabled and children or;
c) provides or intends to provide facilities for the under-privileged;
6) indicate that the projects undertaken or to be undertaken shall be for the public good and that there is a clear demand therefor;
7) indicate that the project or intended project produces or will produce significant improvements or new developments which would not otherwise have taken place;
8) establish that the project or intended project is financially viable and capable of being implemented;
9) establish that it has adequate measures and procedures for the proper application of sound economic, and effective management;
10) establish that proper accounting records are kept;
11) furnish a written report pertaining to its financial state of affairs and activities;
12) indicate the procedure for changing its constitution in respect of its aims.