The parliamentary Social Cluster Portfolio Committee, tasked with investigating the issuance of cannabis licenses by the Ministry of Health, has called for the immediate revocation of 75 licenses issued between 2017 and 2024.
The committee cited widespread irregularities and suspected corruption in the licensing process. During a heated session, the committee uncovered a system riddled with missing records, unpaid fees, and allegations of licenses being granted without adherence to due process.
At the core of the controversy is a list of 75 companies that reportedly received licenses without paying the required fees.
Committee Chairperson Mokhothu Makhalanyane expressed outrage at the Ministry’s failure to produce crucial financial documents, including accounts related to cannabis revenue, a financial analysis report, and receipts from 24 operating companies.
“We want to know who were the lucky persons who were awarded licenses worth M500,000 free of charge while other people had to sell their properties or take loans to get the licenses,” Makhalanyane stated.
‘Masello Sello, the Ministry’s Director Legal, claimed that the list had been provided in a previous meeting but admitted that it could not be located during the current session. However, she suggested that the information might exist in Parliament’s records.
Germina Mphoso, the Director of Pharmaceuticals, revealed a shocking lack of record-keeping, admitting that the ministry did not maintain a comprehensive list of license recipients or payments.
“Literally, the record to say who were they, it was never kept,” she said, further noting that Post Bank statements were insufficient to trace payments.
Committee member ‘Machabana Lemphane Letsie questioned the application process and discovered that not all applicants had paid the required M15,000 application fee. Letsie also highlighted that some companies were issued licenses without paying the full license fee.
The situation escalated when Mphoso claimed she had received directives from the legal director to issue licenses to individuals who had not made payments.
“She indicated that in some cases she would get a directive from the director legal to say Germina should issue licenses, especially those that were not paid for,” Makhalanyane relayed to the committee.
Adding to the controversy, Letsie called for the immediate cancellation of all cannabis licenses issued between 2018 and 2024 until their legality is verified.
“They should not only be canceled locally but globally because there are others used in other countries where their holders are searching for investors saying they have licenses while they did not even pay for them,” Letsie emphasised.
Letsie further accused Mphoso and Sello of deliberately withholding information.
“The way I see it, we are going in vicious circles. Germinah and ‘Masello know all about the issues, but they are deliberately not going to tell us about these issues.”
The committee has demanded that the Principal Secretary (PS) take immediate action against the implicated officials, invoking Sections 46, 47, and 48 of the Public Financial Management Act, which deal with the recovery of government funds. Makhalanyane has given the PS seven days to implement these measures.
Furthermore, the committee has called for an amendment to the law to address the ministry’s apparent dysfunction.
“I want us to amend the law immediately so that if the ministry is unable to work because Germina refuses to work, let’s remove her from the position as well as the legal officer because they are not being useful; they are holding this ministry at ransom,” Letsie asserted.
Ntsoaki Motaung is an award-winning health journalist from Lesotho, specializing in community health stories with a focus on sexual and reproductive health and rights, as well as HIV. She has contributed to platforms like “Be in the KNOW,” highlighting issues such as the exclusion of people with disabilities from HIV prevention efforts in Lesotho.
In addition to her journalism, Ntsoaki serves as the Country Coordinator for the Regional Media Action Plan Support Network (REMAPSEN). She is also a 2023 CPHIA Journalism Fellow.
