South African gambling regulator fired for ‘gross misconduct’

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The head of the gambling board in South Africa’s Gauteng province has been fired after a report discovered ‘gross misconduct’ and ‘abuse of public resources’.

As reported by the South African Government News Agency, Vuyiswa Ramokgopa, Gauteng MEC for Economic Development, Agriculture and Rural Development, said that she had no choice but to terminate the employment of Dr Karabo Mbele, Chief Executive Officer of the Gauteng Gambling Board, following the investigation.

The report implicated Mbele in ‘serious governance failures’ related to interference in funding adjudication processes, approving funding before governance procedures had been concluded, authorising payments without supporting documentation and failures in compliance and oversight obligations.

Oscar Maripane, the board’s Chief Financial Officer, has also been suspended pending the outcome of an internal disciplinary process after evidence was found that linked him to procurement irregularities, non-compliance with Gauteng’s Public Finance Management Act, as well as breakdowns in internal controls and statutory reporting obligations.

‘Broader institutional decay’

Ramokgopa described a ‘broader institutional decay’ within the Gauteng Gambling Board, which, left unchecked, would ‘erode public trust and compromise the integrity of the entity’.

Particular attention was drawn to the allocation of approximately R73m (£3.28m) from a Social Development Fund and Corporate Social Investment (CSI) funding before the board approval process was completed.

Questions have also been raised over Mbele approving a further R23m (£1.03m) in Social and Economic Development (SED) funding in April 2025 without following the correct governance and approval processes.

Following the publication of the forensic report, compiled by an independent legal team led by Advocate William Mokhare SC, Ramokgopa said: “It is deeply concerning that since assuming office six weeks ago, I have been inundated with whistleblower reports, many of whom requested to remain anonymous, citing various instances of misconduct, malfeasance and maladministration at the gambling board.

“It has become clear to me that the status quo at the Gauteng Gambling Board cannot continue.”

Several members of the Gauteng Gambling Board board also resigned in December 2025, and an administrator will now be appointed while a new board is established.

A crucial time for South Africa

These explosive allegations come at a crucial time for the South African gambling market, as the sector continues to thrive amid wider momentum across Africa.

In particular, online betting has seen a surge in activity, resulting in South Africa’s Treasury opening a consultation into the prospect of establishing a new iGaming tax to sit alongside current provincial gaming taxes.

First announced in November, the National Treasury has proposed a 20% tax to be placed on online gaming activity with the goal of raising funds to ensure that ‘external costs associated with gambling are internalised by those that provide and participate in gambling’.

The proposal stated: “Advances in technology have made online gambling more accessible, changing how people gamble and increasing the variety of gambling products available, which gamblers can now access from anywhere, at any time. It transcends the provincial boundaries and cannot be realistically and fully administered at a provincial level.”

Coupled with provincial tax rates, which vary between 6% and 9%, depending on the location and vertical, the country’s effective tax rate will sit between 26% and 29% if successfully implemented.

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