South African Gambling Board Suspended

  1. South African Gambling Board Suspended Board

Meeting Summary. The Minister of Trade and Industry, briefed the Committee regarding the suspension of National Gambling Board (NGB) members. The suspension of the NGB had come immediately after allegations of maladministration, wasteful expenditure and corrupt activities had been reported by the Auditor-General South Africa (AGSA) in the NGB’s recently tabled 2013/14 annual report. 2001 (Act No. 2 of 2001), as amended “Act”, the North West Gambling Board “NWGB” is established to regulate the gambling industry in the North West Province of South Africa “the Province”. Among its powers and functions provided for in the Act, the Board has a mandate to: 1. Oversee gambling.

South African National Lottery
RegionSouth Africa
First draw11 March 2000
OperatorIthuba
Regulated byNational Lotteries Commission
Highest jackpotR232,131,750.69
Odds of winning jackpot
  • 20,358,520 to 1 (Lotto)
  • 20,358,520 to 1 (Lotto Plus)
  • 24,435,180 to 1 (PowerBall)
  • 24,435,180 to 1 (PowerBall Plus)
  • 531,441 to 1 (SportStake)
  • 4 to 1 (EAZiWIN)
Number of games6
Shown onE.tv, SABC 2
Websitewww.nationallottery.co.za

Nov 06, 2014  Electronic gambling was not authorised in South Africa, and people who were doing it were contravening the National Gambling Act, 2004. Dr Luyenga said it was clear that the debate about the suspension of the NGB had been turned into politicking.

The National Lottery is operated by ITHUBA Holdings, to whom the licence was granted in 2015. The lottery is regulated by the National Lottery Commission, and was established in 2000.

Lottery tickets may be bought only by people of at least 18 years of age.

In the 2007 fiscal year transaction values totalled R3.972 billion, with an average of five million transactions per week. In the 2012 National lottery generated R4.7 billion in sales of Lotto and Powerball tickets.[1]

Lotto is the most popular type of gambling in South Africa[2] but Powerball has been the faster-growing for last years due to its high payouts.[1]

  • 3Games
    • 3.2LOTTO
    • 3.4Discontinued games
  • 4Other ways to play

History[edit]

The National lottery was introduced to South Africa on 11 March 2000. At the time it was run by Uthingo.

After a marketing effort that aimed to reach 80 percent of South African homes directly[3]more than 800,000 tickets were sold in the first day of availability[4]Nearly R70 million worth of tickets were sold in the first three weeks of operation.[5]

In October 2002 operator Uthingo suggested a daily lottery to supplement the weekly draw. The concept, called Keno, was rejected by the trade and industry ministry in March 2003.[6]In November 2003 the Lotto Plus game was launched, acting as a supplementary weekly lottery available on the purchase of a primary lottery ticket, with an entry fee of R1.[7]

In July 2006 the Gidani consortium, featuring Greek company Intralot as a technical partner, was judged the preferred bidder to operate the lottery for seven years starting April 2007. The operating licence was awarded in October 2006.[8]In March 2007 the Pretoria High Court set aside that award on application by incumbent Uthingo, finding that the failure to adequately investigate the shareholders in some bidding consortia left room for conflicts of interest.[9]

Following the final draw by incumbent Uthingo, the lottery was indefinitely suspended in April 2007.[10]

In September the operating licence was awarded to Gidani again.[11] When ticket sales re-opened in October more than 200,000 tickets were sold within the first three hours.[12] Gidani introduced scratch cards, but they were discontinued for several months when they lost their licence to Ithuba.

In 2015, Lotto licences were awarded to ITHUBA. In 2015, 2 new games were introduced by Ithuba: EAZiWIN, an instant win game consisting of four types of indigenous inspired games; Morabaraba, Fafi Fortune, 4 Siya Wina and Popa Feela and PowerBall Plus.

Eligibility[edit]

  • Players must be 18 years or older
  • Tickets may be bought in person at approved retailers, handheld partners and participating banks in South Africa.
  • Online purchase of tickets are only available to people who have an ABSA, FNB, Nedbank and Standard Bank account or have registered on the South African National Lottery website and are residents of South Africa with a South African ID.

Games[edit]

8 games operate under the South African National Lottery brand:

Current games[edit]

LOTTO[edit]

LOTTO and LOTTO PLUS odds
MatchOdds of winning% of total winning pool
2 and bonus1 : 96Lotto R20.00, Lotto Plus R15
31 : 72Lotto R50.00, Lotto Plus R25
3 and bonus1 : 10287.3%
41 : 1,3718.4%
4 and bonus1 : 30,1615.0%
51 : 75,4024.0%
5 and bonus1 : 3,393,0872.3%
All 61 : 20,358,52073.0%
Lotto and Lotto Plus coupon 2015 - present

Players buy tickets with their choice of six different numbers between 1 and 52; there is provision for random numbers to be generated automatically for those who do not wish to choose, known as 'Quick Pick'.

In the draw, six numbered balls are drawn without replacement from a set of 52 balls numbered from 1 to 52. A further Bonus Ball is also drawn, which affects only players who match five numbers.

Prizes are awarded to players who match at least three of the six drawn numbers, with prizes increasing for matching more of the drawn numbers. All players who match all six drawn numbers win equal shares of the jackpot; the chance of doing so is 1 in 20,358,520. If four, five, or six balls are matched, the relevant prize is divided equally between all who match that many balls. If no player matches all six numbers, the jackpot is added to that of the next Lotto draw—a Rollover.

The entry fee to the LOTTO draw is set at R5.00 per board.

The draw is conducted on Wednesdays and Saturdays on SABC 2 at 20:56.

PowerBall and PowerBall PLUS odds
MatchOdds of winning% of total winning pool
PowerBall1 : 35Fixed (R10 for PowerBall/ R5

for Power Ball Plus)

1 ball and PowerBall1 : 57Fixed (R15 for PowerBall/ R7.50

for Power Ball Plus)

2 balls and PowerBall1 : 2993.00%
3 balls1 : 2254.00%
3 balls and PowerBall1 : 4,2804.80%
4 balls1 : 9,9124.24%
4 balls and PowerBall1 : 188,3342.50%
5 balls1 : 2,230,2744.00%
All balls including PowerBall1 : 42,375,20054.46%

LOTTO PLUS 1[edit]

LOTTO PLUS 1 is exactly the same as LOTTO, but gives the player a second chance to win. When buying a LOTTO ticket, the player must pay an extra R2.50 per board to enter the LOTTO PLUS 1 draw. Odds are the same, while prizes are usually slightly lower.

The draw is conducted on Wednesdays and Saturdays on SABC 2 at 20:56.

LOTTO PLUS 2[edit]

LOTTO PLUS 2 is exactly the same as LOTTO, but gives the player a third chance to win. When buying a LOTTO ticket, the player must pay an extra R2.50 per board to enter the LOTTO PLUS 2 draw. Odds are the same, while prizes are usually slightly lower.

The draw is conducted on Wednesdays and Saturdays on SABC 2 at 20:56.

PowerBall[edit]

Powerball and Powerball Plus coupon 2015 - present

When introduced, the PowerBall jackpot draw required players to pick five main numbers from 1 to 45 and one 'PowerBall' number from 1 to 20 for an entry fee of R5 per board. Prizes may be won by matching the main numbers, with matches of the PowerBall number winning higher prizes. The top prize of the game is won by matching all five main numbers as well as the PowerBall. Draws take place on Tuesdays and Fridays on E.tv at 21:00.

After 28 November 2015, odds were changed as more possibilities to win were introduced. An example of the recent additions were, if the player matched only the Powerball, he or she would win money, while before, that ticket would not win anything. In addition, the number of main balls was raised from 45 to 50.

The record prize for any Lottery game in South Africa was in PowerBall at R102,016,595. This prize was won in the Free State but never collected. The highest claimed prize was also from PowerBall at R91,068,427

PowerBall PLUS[edit]

PowerBall PLUS is exactly the same as PowerBall, but gives the player a second chance to win. When buying a PowerBall ticket, the player must pay an extra R2.50 per board to enter the PowerBall PLUS draw. Odds are the same, while prizes are usually slightly lower.

Powerball PLUS was a more recent game added by the National Lottery of South Africa and is currently the newest game. It was introduced on 28 November 2015.

Draws take place on Tuesdays and Fridays on E.tv at 21:00.

SPORTSTAKE 13[edit]

Sportstake coupon 2015 - present

A player can play SPORTSTAKE 13 by predicting outcomes of 13 predetermined match fixtures drawn from English and other identified professional soccer fixtures.

For each fixture the player chooses their prediction by marking on the bet slip;

[1] – for a home win

[x] – for a draw

[2] – for a home loss (Away win)

Prize divisionTheoretical odds of winningPool %
Match 131:1,594,32330%
Match 121:62,32015%
Match 111:511020%
Match 101:69735%
    • You can select a single or multiple outcomes result for each fixture.
    • A valid wager must consist of at least one selection per fixture.
    • A minimum price per wager per board is R2.00 vat incl, and a maximum wager per Betslip is R2000.00
    • Each wager will cost you R2.00 vat incl.
    • You can play PROPICK™ as a quick play option
    • There is no Multi Draw option.
    • SPORTSTAKE 13 fixture results are considered as the final score after 90 minutes of play or after extra time where applicable, however excludes penalty shoot-out.
African
EAZiWIN odds
Name of GameGame based onPrice of CardHighest PrizeOdds of winning
Popa FeelaUnknownR3R30,0001 : 4
4 Siya WinaUnknownR5R100,000
Fafi FortuneFafi
MorabarabaMorabaraba

EAZiWIN[edit]

As well as tickets for the Draw Games, the National Lottery also sells instant win digital scratch cards.

They are digital scratch cards, where a card is compared against a slip and not scratched like traditional scratchcards. These are called 'EAZiWIN and are based on traditional African games.

Cards range from R3 to R5.

PICK 3[edit]

Lotto's newest game was announced to launch on 3 December 2016. It will be a daily game with a top prize of R10,000.

Discontinued games[edit]

Wina Manje[edit]

Wina Manje was a scratchcard game that consisted of many types of scratch cards. This was replaced by EAZiWIN in 2015.

Raffle[edit]

South African National Lottery announced that there would be a once-off raffle for Christmas 2016. The draw took place on 30 December 2016. It was officially named 'Raffle'. Prizes included R1,000, R10,000, R100,000, with the top prize being a Mercedes Benz C200 Cabriolet

Other ways to play[edit]

As well as by purchasing a ticket at a shop, tickets can be purchased many other ways.

Online[edit]

All National Lottery games can be played online after registering. There are two ways of playing the lotto online.

FNB & Nedbank: LOTTO, LOTTO PLUS 1, LOTTO PLUS 2, PowerBall and PowerBall PLUS are available for play through the bank's apps.

National Lottery website: LOTTO, LOTTO PLUS 1, LOTTO PLUS 2, PowerBall, PowerBall PLUS and SPORTSTAKE 13 are available for play through the South African National lottery website.

Record Jackpots[edit]

Below lists the highest 11 jackpots from the National Lottery of South Africa.

RankJackpotGameDraw numberDateNotes
1R232,131,750.69PowerBall9652019-02-19Collected (1 Winner, a man in his 50s)
2R145,469,799.30PowerBall9082018-08-03Collected (1 Winner, 34 year old man)
3R141,343,180.95PowerBall10182019-08-23Collected (1 Winner, 50 year old man)
4R114,242,816.50Powerball10452019-11-26Collected (1 Winner, 32 year old man)
5R110,000,000[13]Lotto17832018-01-274 Winners won R27.5 million each
6R102,016,595.00PowerBall1662011-06-03Collected (1 Winner, a man in his 20s)
7R91,068,427.00PowerBall322010-02-12Collected
8R87,624,435.00PowerBall6962016-07-22Collected (1 Winner, a man in his 40s )
9R83,853,069.85PowerBall9832019-04-23
10R79,874,757.50Lotto19152019-05-04Collected (1 Winner, a woman who bought a R30.00 quick pick ticket)
11R77,710,963.20PowerBall9792019-04-092 Winners won R38,855,481 million each

Operators[edit]

OperatorYear begunYear stopped
Ithuba2015Present
Gidani20072015
Utingo20002007

Socio-economic impact[edit]

In June 2003 it was reported that 27 percent of lottery players were unemployed[14]and that 43 percent of players earned less than R2,000 a month.[15]It was also reported that legalised gambling had created 50 673 jobs in 2000, although it may have redirected spendings from other industries.[16]

2006 research found that 82 percent of South Africans played the lottery once a week and that 53 percent of the population did not engage in any other form of gambling. The average player spent R81 per month on the lottery.[17]

Revenue distribution[edit]

Under the current operator, Ithuba, 34 percent of revenue is paid to a central charitable distribution fund, up from an initial 28 percent.[18]Six percent of revenue is paid as retail commission, ten percent is retained as operational costs[19] and 48 percent is paid in prizes.[20]

Previous lotteries in South Africa[edit]

The now defunct homeland of Ciskei established a lottery in 1984 and operated by Score-A-Lot. In 1991 Score-A-Lot was the first Lottery in Africa to operate Video Lottery Terminals (VLT) in Africa and the first totally cashless operation using smart card technology. After lengthy negotiations with South Africans 'Department of Trade and Industry' (DTI) Score-A-Lot closed in Dec 2001[21][22]

A lottery was established by decree in the former homeland of Transkei in 1989 and operated by Score-A-Lot. In 1991 Score-A-Lot was the first Lottery in Africa to operate Video Lottery Terminals (VLT) in Africa and the first totally cashless operation using smart card technology. After lengthy negotiations with South Africans 'Department of Trade and Industry' (DTI) Score-A-Lot closed in Dec 2001[23]

The Natal Lotto (also referred to as the KZN Lotto) was launched in the KwaZulu-Natal province in 1992.[24]During eight years of operation it raised R869 million and paid R345 million to charities and R448 million in prize money.[25]

See also[edit]

References[edit]

  1. ^ ab'Betting on Africa. 2nd annual edition, November 2013. Gambling Outlook: 2013-2017 (South Africa - Nigeria - Kenya)'(PDF). PwC South Africa. 2013. Retrieved 5 July 2016.
  2. ^'National Lotteries Board Annual Report, 2007'(PDF). National Lotteries Board. Retrieved 9 September 2008.[permanent dead link]
  3. ^'National Lottery geared up to start on Thursday'. The Daily Dispatch. Retrieved 9 September 2008.
  4. ^'R2m lottery tickets sold'. The Daily Dispatch. Retrieved 9 September 2008.
  5. ^'R32m won in lottery – so far'. Independent Online. Retrieved 9 September 2008.
  6. ^'No tata ma chance everyday, rules Erwin'. Independent Online. Retrieved 9 September 2008.
  7. ^'Big plus for Lotto punters – at just R1 a pop'. Independent Online. Retrieved 9 September 2008.
  8. ^'Operator for national lottery awarded'. Independent Online. Retrieved 9 September 2008.
  9. ^'Lottery shareholders under scrutiny'. Independent Online. Retrieved 9 September 2008.
  10. ^'Lotto debacle leaves public high and dry'. Independent Online. Retrieved 9 September 2008.
  11. ^'Gidani gets green light for lottery'. Mail&Guardian. Retrieved 9 September 2008.
  12. ^'Lotta mania hits SA'. Independent Online. Retrieved 9 September 2008.
  13. ^'Ithuba National Lottery | Lotto Result'. www.nationallottery.co.za. Retrieved 1 October 2019.
  14. ^''The Gambling Board must come to its senses''. Independent Online. Retrieved 9 September 2008.
  15. ^'Lotto ticket sales coin R80m each week – research'. Cape Times. Retrieved 9 September 2008.
  16. ^'Parliament worries about gambling's growth'. Business Report. Retrieved 9 September 2008.
  17. ^'SA starting to gamble sensibly, says report'. Independent Online. Retrieved 9 September 2008.
  18. ^'Gidani set for lotto high stakes'. Independent Online. Retrieved 15 September 2008.
  19. ^'Gidani boss strikes family off Lotto roll'. Independent Online. Retrieved 15 September 2008.
  20. ^'PowerBall and PowerBall Plus Rules and Regulations'(PDF). Ithuba. Retrieved 11 February 2019.
  21. ^'Annual Report of the National Lotteries Board, 2003'(PDF). National Lotteries Board. Archived from the original(PDF) on 26 October 2005. Retrieved 9 September 2008.
  22. ^'Annual Report of the National Lotteries Board, 2004'(PDF). National Lotteries Board. Archived from the original(PDF) on 28 January 2005. Retrieved 9 September 2008.
  23. ^'Judge calls for action on illegal gambling'. The Daily Dispatch. Retrieved 9 September 2008.
  24. ^'KZN wishes it took a chance with old Lotto'. Independent Online. Retrieved 9 September 2008.
  25. ^'Lotto KZN lives on in its charitable work'. Independent Online. Retrieved 9 September 2008.

External links[edit]

South african gambling board suspended board
Retrieved from 'https://en.wikipedia.org/w/index.php?title=South_African_National_Lottery&oldid=934438192'

After a long and bumpy legalization process, South Africa finally greenlighted the country’s new gambling bill in November.

The Portfolio Committee on Trade and Industry at the Parliament approved the newly-issued 2018 National Gambling Amendment Bill a few weeks ago, despite the fact the original scope of the gambling act has been narrowed to three issues only in order for a quicker passage to be guaranteed.

Initially, the South African Department of Trade and Industry (DTI) rolled out a more thorough bill. The Committee, however, made a decision to reduce the major issues included in the bill to a total of three in order to be able to address the possible challenges regarding the passage of the legislation more quickly.

As previously reported by CasinoGamesPro, the three issues included in the 2018 National Gambling Amendment Bill regarded the rearrangement of the regulatory oversight with the newly-established National Gambling Regulator taking over the National Gambling Board’s powers; expansion of the National Central Electronic Monitoring System; and the changes associated with the National Gambling Policy Council.

Several Key Points Included in Gambling Amendment Bill

Despite the fact that the Government of South Africa had already launched the new Gambling Amendment Bill, the piece of legislation has faced strong criticism. Some of the experts who voiced their opinion called the piece of legislation unrealistic and said it was flawed and full of policies which did not make sense.

As mentioned above, the Portfolio Committee on Trade and Industry eventually approved the new piece of legislation, reducing the major issues included in the bill to three only in order to ensure a safe and quicker passage of the 2018 Gambling Amendment Bill.

However, the Amendment Bill originally included a number of key points, which deserve some attention. The piece of legislation described the National Gambling Board as the main gambling watchdog in the country, but it is the National Lotteries Commission which is to regulate the matters related to betting on the national and foreign lotteries and sports pools. The national gambling regulatory body will severely penalize all operators that generate winnings by offering illegal gambling operations in the country.

Horse racing remained legal under the Gambling Amendment Bill, with such operations be subject to regulation by NGR. Betting on dog races, however, is illegal, and so is the sport itself. As far as casino gambling, bingo and limited payout machines are concerned, the country has planned to impose a stricter regulatory regime, with the number of bingo licenses and machines across South Africa to be limited. Operating licenses may be suspended or fully withdrawn in case that operators fail to meet the targets set by the local authorities.

Gambling advertising was also part of the main aspects of the Gambling Amendment Bill, with new restrictions planned to be imposed on gambling operators’ advertising.

Most of the above-mentioned aspects of the bill, however, have been left behind by lawmakers who wanted to make sure that the piece of legislation would be passed without much turbulence. These issues are expected to be once again taken into consideration at a later stage when the new gambling amendment has already proved to be working smoothly.

New Gambling Amendment Has Fuelled Concerns

South African Gambling Board Suspended Board

The Government of South Africa has preferred to limit the ongoing restrictions for the time being due to the strong criticism demonstrated by both independent experts and gambling industry officials, who called the planned changes illogical and described them as too restrictive.

The bill has been a work in progress since 2016. Due to the significant wave of criticism faced by the piece of legislation, local lawmakers decided to put on hold many of the planned changes, until things calm a bit and the bill is safely passed and brought into action.

Lately, the entire continent has seen a massive growth of gambling operations with the South African gambling market being currently the largest one on the continent.

Despite this, gambling operators have voiced their concerns that this trend would change soon after the legislation changes take place. For now, online gambling remains banned in the country, and there are still restrictions in terms of the existing land-based casinos. There are approximately 60 gambling facilities in South Africa, including horse racing tracks and casino venues.

Popularity of Sports Betting Would Continue to Grow

The country has also been exploring sports betting and other types of gambling in which it could see its gambling market expand in the months and years to come, but unfortunately, it has witnessed some negative impact inflicted on players. The thing is that utilized money transactions are considered as one of the main factors which influence the growth of the sports betting field.

In fact, sports betting and mobile money transactions are bound in a mutually beneficial relationship. Since the National Act of 2004 banned online gambling operations in the country and the National Gambling Board became the major gambling regulator, this relationship became more complex, with some campaigners sharing concerns regarding certain illegal practices like money laundering, as well as negative impact faced by more vulnerable people.

According to a report published earlier in 2018, gambling revenue is expected to grow by 11.2% by 2020. On the other hand, gambling operators have revealed that most people who participate in these gambling activities are below 35 years of age. In addition, most of them seemed to be interested in sports betting, which resulted in benefits for the Government and the local community.

Some experts have projected that sports betting would continue to grow in popularity in the upcoming years. Despite the fact it has been considered less harmful than many other forms of gambling, fascination with sports bets is very likely to be no longer reserved for richer people and could affect people who are more disadvantaged as well. This is why local authorities would have to make sure they address problem gambling with adequate measures in order to keep players well protected against gambling-related harm.