The consequences of Online Casinos operating illegally in South Africa are very much severe and sanctions are harsh and punishable by law. The Gauteng Gambling Board moved to effectively ban online gambling in South Africa in 2010.
Many Online gaming companies had to comply with the Gauteng Gambling Board’s decision and had to cease all operations in South African territory. The laws and regulations about gambling were modified in 2011 to ensure that there were no loopholes and no confusion on these gaming activities.
Some of these Online gaming companies are still offering their services despite this kind of activity having been declared illegal. Consumer protection units in South Africa are shocked to learn that these companies are still operating on their soil and even making huge marketing campaigns and games promotions.
Advertising and commercial materials are positioned around major cities and local residents do not seem to be bothered at all. People who are selling and promoting these advertising campaigns and those selling publicity spaces are equally operating illegally by providing services to illegal companies operating unlawfully. This may, eventually, lead to a major scandal soon followed by arrests, prosecution and jail.
Many South Africans believe that it is their right to have the opportunity to place bets on the Internet with online gaming companies. Some government officials are adopting the same school of thought and many have been even caught playing online casino games.
Some gaming companies found a way to counter the law by stating that their main offices were located outside the South African jurisdiction but according to the law these companies are not allowed to offer services through the Internet to South African citizens. Many of these companies are not engaged in any fraudulent activities nor have they stolen anything from their customers. These online gaming sites are extremely well organised and provide excellent benefits and opportunities to its customers, including great customer service features and bonus offers. According to some rumors, these companies are only operating illegally because some influential people in authority just do not want to authorize them.
The debate and examination over regulation and gambling at European and worldwide level is increasing and escalating fast. South Africa will probably review its strategy in the near future as a result and come up with a law that regulates online gambling and allow some exchanges to be made under strict rules and control. The country will come out a winner if this attitude is adopted considering the revenue in direct and indirect taxes that it can generate.
Written by Andy for Real Casino Online