National Gambling Board to Get New Leadership After 10 Years
The Department of Trade, Industry, and Competition (DTIC) has initiated the process of appointing members to the National Gambling Board, marking the first step towards restoring its full functionality after ten years of administration. This follows a decade of turmoil, including allegations of maladministration and wasteful expenditure that left the board without permanent leadership.
Board Vacancies Advertised
In a statement issued on October 10, 2024, DTIC Minister Parks Tau confirmed that positions on the National Gambling Board, along with other entities under the DTIC, have been advertised. The National Gambling Board plays a critical role in regulating South Africa’s gambling sector, overseeing licensing processes, and assisting provincial authorities in detecting illegal gambling operations.
The 2024 annual financial report revealed that South Africa’s gambling industry generated R59.3 billion in revenue for the year ending March 31, 2024. Betting accounted for 60% of this total, making it the dominant gambling activity since 2020/21. Casinos followed, contributing 29% of the total revenue. Despite this vast revenue stream, the board’s operational budget stands at approximately R280 million annually.
A History of Maladministration
The National Gambling Board has faced significant challenges since 2014, when it was placed under administration following a forensic audit into mismanagement. The entire board of directors resigned, and joint administrators Caroline Kongwa and Tumelo Baleni were appointed to manage the board’s affairs. However, these appointments were not without controversy, with Kongwa’s role as joint administrator being extended multiple times before she was appointed Chief Strategic Advisor in 2019—a position that had not previously existed.
Minister Tau disclosed earlier this year that forensic auditors were investigating the board’s activities, focusing on issues such as building procurement, overseas travel, and remuneration practices. In an April statement, he noted that a forensic investigation company had been appointed, and the findings would be reported to Parliament.
“A further briefing by the Department relating to remuneration and authorisation for overseas travel has raised governance questions relating to these matters. This will now be included in the forensic investigation,” said DTIC Minister Parks Tau.
Pending Report on Investigations
Yamkela Fanisi, a spokesperson for the minister, stated that a draft report on the investigation has been submitted but is still undergoing internal review. Details of the investigation and the name of the forensic company have not been disclosed. Meanwhile, Kongwa has not responded to queries regarding her tenure and the ongoing probe.
The appointment of the National Gambling Board members is part of a wider effort by the DTIC to address vacancies across its entities. Positions currently being advertised include roles on the boards of the Export Credit Insurance Corporation, the Industrial Development Corporation, and the National Lotteries Commission, as well as leadership roles in regulatory and accreditation bodies.
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