Case Law[2025] ZASCA 158South Africa
Portapa (Pty) Limited t/a Supabets and Others v Casino Association of South Africa and Another (182/2024; 215/2024) [2025] ZASCA 158; [2025] 4 All SA 534 (SCA) (21 October 2025)
Supreme Court of Appeal of South Africa
21 October 2025
Headnotes
Summary: Gambling Laws: Interpretation of ‘sporting event’ in s 55 of the Gauteng Gambling Act 4 of 1995 – limiting fixed-odds bets with bookmakers to ‘sporting events’ not in conflict with the provisions of s 4 of the National Gambling Act 7 of 2004 – ‘sporting events’ not including roulette games.
Judgment
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## Portapa (Pty) Limited t/a Supabets and Others v Casino Association of South Africa and Another (182/2024; 215/2024) [2025] ZASCA 158; [2025] 4 All SA 534 (SCA) (21 October 2025)
Portapa (Pty) Limited t/a Supabets and Others v Casino Association of South Africa and Another (182/2024; 215/2024) [2025] ZASCA 158; [2025] 4 All SA 534 (SCA) (21 October 2025)
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sino date 21 October 2025
Latest amended version 28 October
2025.
FLYNOTES:
LEGISLATION – Gambling –
Fixed-odds
bets
–
Casino
games – Roulette – Compliance by bookmakers with
statutory scheme – Bookmakers deliberately restricted
to
betting on sporting events – Roulette is a casino game which
falls outside this scope – Approvals were unlawful
–
Permitted betting on a casino game without requisite casino
licence – Cross-appeal upheld – Unlawful
for
bookmakers to offer fixed-odds bets on casino games –
Gauteng Gambling Act 4 of 1995, s 76(2).
THE
SUPREME COURT OF APPEAL OF SOUTH AFRICA
JUDGMENT
Reportable
Case no: 182/2024
In the matter between:
PORTAPA
(PTY) LIMITED T/A SUPABETS
FIRST APPELLANT
SUPAWORLD
GAUTENG (PTY) LTD
SECOND APPELLANT
INTELLIGENT
GAMING (PTY) LTD
THIRD APPELLANT
and
CASINO
ASSOCIATION OF SOUTH AFRICA
FIRST RESPONDENT
THE
GAUTENG GAMBLING BOARD
SECOND RESPONDENT
and
Case no: 215/2024
THE
GAUTENG GAMBLING
BOARD
APPELLANT
and
CASINO
ASSOCIATION OF SOUTH AFRICA
FIRST RESPONDENT
PORTAPA
(PTY) LTD T/A SUPABETS
SECOND RESPONDENT
SUPAWORLD
GAUTENG (PTY) LTD
THIRD RESPONDENT
INTELLIGENT
GAMING (PTY) LTD
FOURTH RESPONDENT
Neutral
citation:
Portapa (Pty) Limited t/a
Supabets and Others v Casino Association of South Africa and Another
,
and
The
Gauteng Gambling Board v Casino Association of South Africa v Portaba
(Pty) Ltd t/a Supabets and Others
(182/2024
& 215/2024)
[2025] ZASCA 158
(21 October 2025)
Coram:
DAMBUZA, MOTHLE and KOEN JJA
Heard:
26 August 2025
Delivered:
This judgment was handed down
electronically by circulation to the parties’ representatives
by email, publication on the Supreme
Court of Appeal website and
released to SAFLII. The date for hand-down of the judgment is deemed
to be 11h00 on 21 October 2025.
Summary:
Gambling Laws:
Interpretation
of ‘sporting event’ in s 55 of the Gauteng Gambling Act 4
of 1995 – limiting fixed-odds bets with
bookmakers to ‘sporting
events’ not in conflict with the provisions of
s 4
of the
National Gambling Act 7 of 2004
– ‘sporting events’
not including roulette games.
ORDER
On
appeal from:
Gauteng
Division of the High Court, Johannesburg: (Crutchfield J, sitting as
a court of first instance):
1
The appeals in case number 182/2024 and case number 215/2024 are
dismissed with costs,
including the costs of two counsel where
employed.
2
The ‘cross-appeals’ arising from high court case number
9547/2018 are upheld
with costs, including the costs of two counsel
where employed.
3
The order of the high court in high court case number 9547/2018 is
set aside and replaced
with the following:
‘
1
It is declared that it is unlawful, in
terms of the Gauteng Gambling Act 4 of 1995, for bookmakers
to offer
fixed-odds bets on the outcome of a casino game, including the game
of roulette.
2
It is declared that:
2.1
The second respondent (Supabets) is not permitted to offer fixed-odds
bets on the game of roulette;
2.2
The second respondent’s conduct in offering fixed-odds bets on
the outcome of roulette is unlawful
and contravenes s 76(2) of the
Gauteng Gambling Act 4 of 1995;
3
The decision of the first respondent as contained in its letter dated
2 March 2018 is reviewed and set aside insofar
as it finds
that the second respondent did not act contrary to the provisions of
ss 39 and 76 of the Gauteng Gambling Act 4 of
1995;
4
The first and second respondents, jointly and severally, are directed
to pay the costs
of the application, including the costs of two
counsel where employed.’
JUDGMENT
Dambuza
JA (Mothle and Koen JJA concurring)
[1]
The issue in this appeal is whether
bookmakers that are licenced as such under the Gauteng Gambling Act 4
of 1995 (the Gauteng Act)
may offer fixed-odds bets on the outcomes
of roulette games. The Gauteng Division of the High Court,
Johannesburg, per Crutchfield
J (the high court), held that because
roulette is a casino game and not a sporting event, bookmakers in the
Gauteng Province may
not offer betting on outcomes of live roulette
games.
[2]
The
background against which the dispute arises is the following. The
second respondent, the Gauteng Gambling Board (the Board),
is a
statutory body established in terms of s 3 of the Gauteng Act. Its
powers and functions are set out in s 4 of that Act. They
include
overseeing and controlling gambling activities within the Gauteng
Province, advising the relevant Member of the Executive
in the
province on matters relating to granting of gambling licences, and
regulating gambling within the province. It has exclusive
jurisdiction to investigate, consider and issue gambling licences
within the Gauteng Province.
[1]
[3]
On 9 January 2017, the Board approved the
use of the Aardvark betting software in the Gauteng Province. The
software is owned by
the third appellant, Intelligent Gaming (Pty)
Ltd (Intelligent Gaming). It enables bookmakers to offer and accept
wagers to and
from punters on the outcome of sports and lottery draw
events and the electronic capturing of bets.
[4]
On
11 April 2017, the Board approved Intelligent Gaming’s request
to offer on the Aardvark software, livestream feeds of roulette
draw
contingencies
[2]
to existing
holders of bookmaker licences in Gauteng. On 14 June 2017 the first
appellant, Portapa (Pty) Ltd, a licenced bookmaker
which trades as
Supabets (Supabets), made an application to the Board to install the
Aardvark betting software at its betting shops
in Gauteng. The Board
gave a conditional approval to this application in terms of
regulation 266 of the Gauteng Gambling Regulations
published under
the Gauteng Act on 20 June 2017.
[3]
One of the conditions was that the approval could only be implemented
once consent to all the contingencies and bet types were
secured.
[5]
Despite not having obtained the required
consent for all contingencies and bet types, on 23 June 2017 Supabets
began to offer fixed-odd
bets dependant on streamed, live roulette
contingencies. On 19 September 2017, the Board addressed a letter to
all licenced bookmakers
advising that the installation and upgrading
of all gambling software could only be effected with its approval. It
stressed that
installations of the Aardvark system without its prior
approval was unlawful conduct under Regulation 266 and Rule 14.080 of
the
Gauteng Gambling Rules and Regulations.
[6]
At this stage the first respondent, the
Casino Association of South Africa (CASA), a voluntary association
whose members are casino
licence holders in South Africa, became
aware that Supabets was offering fixed-odd bets on the outcome of
livestreamed roulette.
It lodged a complaint with the Board in
respect of the conduct of the Supabets, asserting that in terms of
the Gauteng Act, bookmakers
who operate in the Gauteng Province
require a casino licence in order to offer bets on roulette games,
because roulette is a casino
game. CASA urged the Board to take
immediate steps to stop the offending conduct.
[7]
On 29 November 2017, the second appellant, Supaworld Gauteng (Pty)
Ltd (Supaworld) applied to
the Board to offer fixed-odd bets on
roulette games as contingencies on the Aardvark system. When it
submitted this application,
it was already offering the bets. It
continued to do so while waiting for a response from the Board.
[8]
By March 2018, the Board had still not responded to CASA’s
complaint. Correspondence from
CASA to the Board, following up on the
complaint, was met with the response that the Board was investigating
the matter. On 9 March
2018, CASA approached the high court seeking a
declarator: that it is unlawful for anyone, other than a holder of a
casino licence,
to offer fixed-odds bets on the outcome of a casino
game, including the roulette game; that Supabets was not authorised
and/or
licenced to offer fixed-odd bets on the outcome of roulette;
and that its conduct in doing so was unlawful. It also sought
interdictory
relief stopping Supabets (the first respondent in that
application) from offering bets on outcomes of roulette games. It
sought,
in the alternative, that the Board (the second respondent in
that application) be ordered to complete its investigations into its
complaint within 60 days of the order that would be granted. The
interdictory relief against Supabets, if granted, would endure
pending the Board’s decision.
[9]
Three days after the launch of the high court application, the Board
advised CASA of its decision
on the complaint. Its decision, taken on
2 March 2018, was that Supabets had not acted unlawfully, but had
merely ‘introduced
a new contingency (betting on the outcome of
roulette games) without the prior approval of the Board’. This
conduct did not
contravene the provisions of ss 39 and 76
[4]
of the Gauteng Act as CASA had alleged, said the Board.
[10]
Pursuant to the Board’s response, CASA amended its Notice of
Motion to seek a review of the Board’s
decision that Supabets
had not acted unlawfully. It persisted in its prayer for a declarator
that it was unlawful for persons other
than casino licence holders to
offer fixed-odds bets on the outcomes of casino games, including
roulette and that Supabets was
not entitled to offer fixed-odd bets
on that contingency without a casino licence.
[11] On
29 June 2018, the Board approved Supaworld’s request to offer
fixed-odds bets on outcomes of roullete
games, using the Aardvark
system. On 10 July 2018, Supabets also applied to offer
fixed-odds bets on outcomes of roulette
games on the Aardvark system.
Three days after that application was made, on 13 July 2018, the
Board approved it.
[12]
CASA became aware of the approval decisions of the Board. This
information was contained in correspondence
from Supabets’
legal representatives dated 15 August 2018. In October 2018, CASA
launched a second application in the high
court for a review of the
approval decisions taken by the Board on 29 June, 13 July 2018, and
on 20 June 2017. In that application
CASA maintained that the
approvals granted to Intelligent Gaming were part of a broader scheme
in which Supabets and Supaworld
(the Supabets entities) would secure
approvals to offer fixed-odd bets on roulette games as contingencies,
using the Aadvark system
to livestream roulette games. It sought
orders that the decisions permitting the Supabets entities to install
and use the Aadvark
system at their premises and to offer bets on
roulette, be reviewed.
[13] In
the second application CASA contended that the approval decisions
were unlawful, exposed it to unlawful
competition and exposed members
of the public to unlawful unregulated gambling. It argued that the
decisions taken by the Board
were premised on material errors of law,
were not authorised by the empowering provision, resulted from a
failure to take into
account relevant considerations, and did not
comply with mandatory legislative provisions, resulting in procedural
unfairness.
In essence, CASA’s case centred around roulette
being a casino game and the approvals having been made in
contravention of
ss 76(3) and 87 of the Gauteng Act which required
the Supabets entities to be in possession of casino licences, in
order to offer
and/or accept bets on roulette games.
[14]
The high court dismissed the first review application and granted the
second one. It found that once CASA
issued the second review, it
should have abandoned the first one. In granting the second review,
it set aside the approvals that
had been granted by the Board. In
this appeal the Board and Supabets entities’ appeal against the
decision of the high court,
while CASA cross-appeals against the
dismissal of the first review. Both the appeal and cross-appeal are
with the leave of this
Court.
[15]
The appeal stands on two legs. First, the Board and the Supabets
entities argue that there is a conflict
between the provisions of the
National Gambling Act 7 of 2004 (the
National Gambling Act) and
the Gauteng Act, with regard to the scope of bookmakers’
contingencies. This, the argument goes,
is
because the
National Gambling Act authorises
bookmakers to accept
bets on any contingency, while the Gauteng Act limits bookmakers to
accepting bets only on sporting activities.
The appellants contend
that this restriction is improper and that the
National Gambling Act
should
prevail. The second leg of the appeal is that ‘sporting
event’ in the definition of the contingency in respect of which
bookmakers may accept bets under the Gauteng Act, must be given a
wide interpretation to include the offering and accepting of
fixed-odd bets on roulette.
[16]
CASA maintains that there is no conflict between the national and
provincial gambling legislations. It argues
that the wide
interpretation advanced by the appellants is not sustainable on a
correct interpretation of the definition of ‘sporting
event’
provided in the Gauteng Act. Furthermore, CASA argues that the relief
sought in its first review is different from
that sought in the
second. Consequently, the high court should not have dismissed its
first review application.
[17] I
consider first the question whether there is a conflict between the
relevant provisions of the national
and provincial Gambling Acts. The
relevant provision in the
National Gambling Act is
s 4(1)
, which
provides:
‘
4.
Bets and wagers-
(1)
A person places or accepts a bet or wager when that person-
(a)
Being a player, stakes money or
anything of value on a fixed-odds bet or an open bet, with a
bookmaker on any contingency; or
(b)
Being a bookmaker-
(i)
accepts a stake of money or anything of
value on a fixed-odds bet, or an open bet, from a player on
any
contingency
; or
(ii)
stakes money or anything of value on a
fixed-odds bet, or an open bet, with another bookmaker on
any
contingency
;
(c)
stakes or accepts a stake of money or
anything of value with one or more other persons on
any
contingency
; or
(d)
expressly or implicitly undertakes,
promises or agrees to do anything contemplated in paragraph
(a)
,
(b)
or
(c)
.’
(emphasis supplied)
[18]
Section 55 of the Gauteng Act, on the other hand, provides that:
‘
A
bookmaker’s licence shall, subject to any condition imposed
under section 32, authorise the accepting, on the licenced premises
concerned of fixed odds bets on
sporting
events’
.
(emphasis
supplied
)
The conflict, according
to the Board and the Supabets entities, arises from the limitation of
the contingency on which bets can
be offered under the Gauteng Act,
to ‘sporting events’, while the
National Gambling Act
allows
fixed-odds betting on ‘any contingency’. They
contend that this Court should find that there is a conflict between
the two statutes and, for that reason, interpret ‘sporting
event’ in s 55 of the Gauteng Act broadly, to mean ‘any
contingency’.
[19]
The issue requires a correct understanding of the interrelationship
between the
National Gambling Act and
the provincial gambling
statutes. In terms of the Constitution, gambling is a concurrent
legislative competence of national government
and the provinces.
[5]
The conclusion by the high court, that the content and ambit of the
national and provincial statutes fulfil different roles, is
correct.
Each province has its own gambling legislation and related rules and
regulations. Generally, these must be consistent
with the
National
Gambling Act on
issues on which the
National Gambling Act has
primary
competence. However, each province within the country has its own
peculiarities and restrictions. It is for this reason
that the
Constitutional Court has held that inconsistences between the
National and Provincial gambling legislation are not
unconstitutional.
[20]
In
Weare
and another v Ndebele N O and others
[6]
(
Weare
)
the Constitutional Court considered whether s 22(5) of the
Kwazulu-Natal Regulation of Racing and Betting Ordinance 28 of 1957
(the Ordinance) constituted an irrational and arbitrary
differentiation, contrary to the provisions of s 9 of the
Constitution,
for prohibiting juristic persons from holding bookmaker
licences. In other provinces juristic persons were allowed to hold
such
licences. The applicants in that Court argued that the
restriction of bookmaker licences to natural persons had become
outdated,
was no longer rationally linked to the goal of regulation,
and served no legitimate government purpose. In rejecting that
argument,
the Constitutional Court held that the applicants had not
shown that the policy choice made by the KwaZulu-Natal Provincial
Legislature
fell outside the bounds of legitimate legislative choice.
It held that the provincial legislature of Kwazulu-Natal had the
prerogative
of selecting the means to achieve the objectives of its
government.
[7]
The Court held
that:
‘
Provinces
have the right to regulate their own gambling industries. There can
be no objection in this case to the KwaZulu-Natal
legislative regime
simply on the ground that it is different to that in other provinces.
This is not to say that the situation
in other provinces may not be
referred to when challenging provincial legislation. But the fact
that there are differences between
the legal regimes in provinces
does not in itself constitute a breach of section 9(1).
[8]
[21]
The national and provincial gambling statutes are complementary. They
represent the national and provincial gambling
policy framework. As
the Constitutional Court held in
Weare
, the policy choice
exercised by the Gauteng Provincial Legislature in this case, in
restricting the contingency on which bookmakers
may accept or offer
bets, could only be validly challenged if it exceeded the bounds of
legitimate legislative choice. The appellants
made no such case.
[22]
Furthermore, there is no conflict between the national and provincial
statutes in this instance. In the relevant
part, s 146 of the
Constitution provides:
‘
146
Conflicts between national and provincial legislation
(1)
This section applies to a conflict between
national and provincial legislation falling within a functional area
listed in Schedule
4.
(2)
National legislation that applies
uniformly with regard to the country as a whole prevails over
provincial legislation if any of
the following conditions is met:
(a)
The national legislation deals
with a matter that cannot be regulated effectively by legislation
enacted by the respective provinces
individually.
(b)
The national legislation deals
with a matter that, to be dealt with effectively, requires uniformity
across the nation, and the
national legislation provides that
uniformity by establishing-
(i)
norms and standards
(ii)
frameworks; or
(iii)
national policies
(c)
. . .
(3)
national legislation prevails over
provincial legislation if the national legislation is aimed at
preventing unreasonable legislation
by the province that-
(a)
is prejudicial to economic,
health or security interests of another province or the country as a
whole; or
(b)
impedes the implementation of national
economic policy.
. . .
(4)
Provincial legislation prevails over
national legislation if subsection (2) or (3) does not apply’
[23]
Casinos, racing, gambling and wagering are listed in Schedule 4 to
the Constitution as matters of concurrent
national and provincial
legislative competence, with the
National Gambling Act establishing
the framework for regulation and co-ordination of gambling
activities.
[9]
The
National
Gambling Act establishes
norms and standards which apply generally
throughout the country with regard to casinos, racing, gambling and
wagering. The norms
and standards guide the National Gambling Board
in the exercise of its exclusive competence - the oversight role over
the provincial
authorities, particularly the monitoring of compliance
with the provisions of the
National Gambling Act.
[24
] In
terms of
s 30(1)
(a)
(i) of the
National Gambling Act,
provincial
licencing authorities have exclusive jurisdiction within
their individual provinces, to investigate and consider applications
for,
and issue provincial licences. To this extent, as the Supabets
entities contend, provincial gambling legislation controls gambling
within provinces, and ensures that the industry contributes to the
provincial economies, adheres to local and national standards,
and
addresses the social impacts of gambling within the provinces. The
regionalisation of gambling regulation provides room to
satisfy the
unique demographic, economic and social factors in the different
provinces. Within this context provincial regulatory
authorities
regulate the different gambling licencing modes. There is no evidence
that, in the gambling industry, the
National Gambling Act fulfils
any
of the conditions set out in s 146 (2) or (3) of the Constitution.
Provincial legislation therefore prevails.
[25] In
addition, the
National Gambling Act and
the Gauteng Act can be read
harmoniously. As counsel for CASA submitted,
s 4
of the
National
Gambling Act is
not a contingency prescription provision. It merely
describes how bets and wagers are made and/or accepted. This is plain
from
the text of the provision. Regarding bookmakers,
s 4
(b)
provides that a bet or a wager is made when a bookmaker accepts a
stake of money or anything of value on a fixed-odds bet, or an
open
bet, from a player on any contingency for which they are licenced.
The broadly framed text in
s 4
of the
National Gambling Act text
provides flexibility to cover any contingency that the individual
provincial legislative authorities may choose to provide. There
is
therefore no conflict between
s 4
(b)
of the
National Gambling
Act and
s 55 of the Gauteng Act.
[26]
The next issue to be determined is whether roulette is a sporting
event on which bookmakers may accept bets,
as envisaged in s 55 of
the Gauteng Act. To recap, s 55 stipulates that a bookmaker’s
licence shall
authorise the
accepting of fixed-odds bets on sporting events.
‘Sporting event’ is defined in the Gauteng Act as:
‘
any
ball-game, race (including a race involving vehicles or animals) or
other athletic or sporting contest, competition or game,
including a
beauty contest, usually attended by the public’.
The Supabets entities
contend that roulette is a game and is therefore included in the
definition of a sporting event. They argue
that ‘game’,
in the definition of sporting event, should be interpreted broadly,
in line with the development of the
concept of electronic games in
the gambling industry and also so as to be consistent with s 22 of
the Constitution — the
right to freedom of trade, occupation
and profession. They discount CASA’s interpretation as unduly
restrictive and stagnant
because of its focus on a ‘physical
sporting encounter’. The argument is that the ‘game’
should be interpreted
broadly so as to make gambling accessible, in
conformity with the objects of gambling legislation. CASA insists
that on a plain
reading of the text of the definition of ‘sporting
event’, the adjectives ‘athletic or sporting’
describe
contest, competition or game. Therefore, contest,
competition or game must be an athletic sporting event (excluding
beauty contests).
[27]
Insofar as the argument for a broad, constitutionally compliant
interpretation of ‘game’ is concerned,
the appellants’
argument is unsustainable. I have concluded that the national statute
does not prevail over the provincial
legislation and that
s 4
of the
National Gambling Act and
s 55 of the Gauteng Act must be read
harmoniously. Fidelity must therefore be accorded to the text and
purpose of s 55 of the Gauteng
Act and the relevant definitions. The
broad interpretation advanced by the Supabets entities disregards
this well-established principle
of interpretation of legal documents.
[28] A
sensible reading of ‘sporting event’ in s 1 of the
Gauteng Act, is that it is: either a ball-game,
or a race (including
a race involving vehicles or animals), or
other athletic or
sporting contest, athletic or sporting competition or athletic or
sporting game,
including a beauty contest, usually attended by
the public. The phrase ‘other athletic or sporting’
describes the contest,
competition or game. ‘Game’ is not
a stand-alone noun. It is qualified by the words ‘sporting or
athletic’,
such that the complete expression is an ‘athletic
or sporting game’. The high court was correct in its conclusion
that
roulette is not a game as envisaged in the definition of
‘sporting activity’ in the Gauteng Act. It is also
relevant
that roulette is not a game that is usually attended by the
public.
[29]
Nothing prevents bookmakers from using technology or electronic means
to provide betting and wagering facilities
within their defined scope
of contingency. The fact that provincial legislatures in other
regions permit bookmakers in those regions
to offer or accept
fixed-odds bets on any contingency, is not a proper basis for the
interpretation that the Board and the Supabets
entities propose.
Section 55 of the Gauteng Act and the relevant definitions were
enacted to ensure that that gambling activities
in the Gauteng
Province are effectively regulated, taking into account the unique
socio-economic circumstances and demographics
of that province.
[30] A
further significant factor is that roulette is a casino game and
should be played in a casino. This is
apparent from the following
definitions in s 1 of the Gauteng Act. Casino game is defined as:
‘
. . .
any game, irrespective of whether or not the result thereof is
determined by chance or a measure of skill, played with playing
cards, dice a gaming machine or any other device used to determine
win or loss in the outcome of a wager for money or other valuable
consideration, and includes, without derogating from the generality
of the foregoing, chemin de fer, baccarat, bingo, keno, twenty-one,
poker and
roulette
,
or any other game whose rules closely resemble that of the
foregoing’.(
emphasis added).
Being a casino game,
roulette must be played in casino premises. In s 1 of the Gauteng Act
‘casino’ is defined as ‘premises
where casino games
are played or available to be played for money or other valuable
consideration gambled on the possibility of
winning a prize’.
[31]
The Gauteng Act is a carefully constructed scheme for regulating
gambling within the Gauteng Province. It
is intended to limit the
right to freedom of trade within the gambling industry. There is no
constitutional challenge to any of
the provisions of the Gauteng Act.
Section 76 of that Act stipulates events and contingencies on which
gambling may take place.
It provides:
‘
(1)
No person may gamble on the result of any event or contingency other
than-
(a)
a casino game;
(b)
a bingo game;
(c)
the operating of a gaming machine; or
(d)
. . .
(e)
A sporting event.’
(2)
No person may gamble on the result of any event or contingency
contemplated in subsection
(1) with any person other than the holder
of a licence who is authenticated by such licence to gamble on the
event or contingency
concerned.’
[32]
Licences in relation to each of the contingencies set out in s 76(1)
are regulated in Chapters 4 to 11 (excluding
Chapter 7)
[10]
of the Gauteng Act. Chapter 4 deals with casino licences, and chapter
5 deals with Bingo, Gaming machine, and additional gaming
machine
licences. Route operator licences are regulated in Chapter 6,
Totalizator and pool licences are provided for in Chapter
8, and
Chapter 9 regulates bookmaker licences. Section 39 in Chapter 9
prohibits the conduct of a casino without a casino licence.
It
mirrors similar prohibitions in Chapters 4 to 8. The case advanced by
the Board and the Supabets entities seeks to dismantle
this
deliberate construct in the Act and to allow bookmakers to ride on
the coattails of licencees under all these Chapters, without
the
required licences.
[33]
The fact that the Supabets entities currently offer bets on roulette
games streamed from Lithuania illustrates
this point. Whereas, in
South Africa, roulette games must be offered in licenced casinos, the
Board has no control over roulette
streamed from Lithuania, or
anywhere else outside the Gauteng Province. This is at odds with the
objectives of the Gauteng Act.
[34]
The fact that the Lithuanian casino from which the roulette games are
streamed may be in possession of a
licence as required under the laws
of that country, as the Supabets entities argued, is irrelevant. For
entities conducting gambling
businesses in Gauteng, the requirement
of a casino licence in order to offer roulette games, means a Gauteng
casino licence. As
submitted on behalf of CASA the gambling occurs in
Gauteng. Without a Gauteng casino licence, the Supabets entities are
conducting
a gambling activity without the necessary licence, which
is prohibited under s 7
(a)
of the
National Gambling Act. That
section prohibits the conduct of gambling activity if the outcome of
that activity depends directly or indirectly, partly or entirely
on a
contingency related to an event or activity that is itself unlawful.
[35]
The final issue to consider is whether CASA ought to have
discontinued its first review once it issued the
second review
application. I do not think so. Indeed, CASA sought a declarator that
the conduct of accepting bets dependent on
the outcome of roulette as
a contingency, without a licence, was unlawful. The first review was
a challenge to this conduct in
general, and in particular to
Supabets’ engagement in it, and, importantly, the Board’s
decision dismissing the complaint
on the grounds that Supabets did
not engage in unlawful conduct. CASA also sought an interdict to stop
the conduct. The second
review related to the approval decisions.
[36] It
is true that the approval decisions intervened to legitimise the
previously unlawful conduct by Supabets.
But this does not detract
from fact that Supabets’ unlawful conduct extended beyond
accepting bets on the outcome of roulette
without a licence to offer
that contingency. The unlawfulness of that conduct and the dismissal
of CASA’s related complaint
are beyond dispute. Against this
background in the first review CASA sought orders that: Supabets’
conduct, in offering bets
on the outcome of roulette without a casino
licence, be reviewed and declared unlawful, the Board complete its
investigation into
the complaint lodged, and that pending the
finalisation of that (first) review, Supabets be interdicted from
offering roulette
as a contingency on which fixed-odd bets could be
offered.
[37]
The withdrawal of the first application would leave intact the
Board’s decision that Supabets’
conduct in offering bets
on the outcome of a roulette prior to the Board’s approval was
lawful. Therefore, although the underlying
questions of law were the
same in both applications, the second review did not subsume all the
issues in the first review. Only
the prayers for a mandamus for
finalisation of the complaint investigation fell away. The review of
the Board’s decision
on the lawfulness of Supabets’
conduct in offering the bets prior to the approvals and the general
declarator, remained live
issues. CASA was therefore entitled to
proceed with both applications, although the declarators it sought in
the first application
in relation to the conduct of the Superbets
entities specifically, were subsumed by the challenge to the approval
decisions in
the second review.
[38]
The following order is therefore issued:
1
The appeals in case number 182/2024 and case number 215/2024 are
dismissed
with costs, including the costs of two counsel where
employed.
2
The ‘cross-appeals’ arising from high court case number
9547/2018 are upheld with costs, including the costs of two counsel
where employed.
3
The order of the high court in high court case number 9547/2018 is
set aside and replaced with the following:
1
The appeals in case number 182/2024 and case number 215/2024 are
dismissed with costs,
including the costs of two counsel where
employed.
2
The ‘cross-appeals’ arising from high court case number
9547/2018 are upheld
with costs, including the costs of two counsel
where employed.
3
The order of the high court in high court case number 9547/2018 is
set aside and replaced
with the following:
‘
1
It is declared that it is unlawful, in
terms of the Gauteng Gambling Act 4 of 1995, for bookmakers
to offer
fixed-odds bets on the outcome of a casino game, including the game
of roulette.
2
It is declared that:
2.1
The second respondent (Supabets) is not permitted to offer fixed-odds
bets on the game of roulette;
2.2
The second respondent’s conduct in offering fixed-odds bets on
the outcome of roulette is unlawful
and contravenes s 76(2) of the
Gauteng Gambling Act 4 of 1995;
3
The decision of the first respondent as contained in its letter dated
2 March 2018 is reviewed and set aside insofar
as it finds
that the second respondent did not act contrary to the provisions of
ss 39 and 76 of the Gauteng Gambling Act 4 of
1995;
4
The first and second respondents, jointly and severally, are directed
to pay the costs
of the application, including the costs of two
counsel where employed.’
N
DAMBUZA
JUDGE
OF APPEAL
Appearances
For
the appellant in case
number
182/2024:
B
Roux SC
Instructed
by:
Michael
Werner Attorney,
E G
Cooper Majiedt Inc, Bloemfontein
For
the appellant in case
number
215/2024:
JG
Rautenbach SC
Instructed
by:
Motlatsi
Seleke Attorneys,
Symington
De Kok Inc, Bloemfontein
For
the first respondent in both
case
numbers 182 and 215/2024
N
Ferreira with B Mtukushe
Instructed
by:
Edward
Nathan Sonnenberg
Lovius
Block Inc, Bloemfontein.
[1]
In
terms of
s 30
(a)
(i)
of the
National Gambling Act 7 of 2004
.
[2]
In
the
National Gambling Act, a
contingency is defined in
s 1
as an
event the outcome of which is uncertain or unknown to any person
until it happens.
[3]
The
conditions attached to the approval were the following:
·
‘
The system Internal Control Procedures
must be submitted prior to the inspection date.
·
The procedure must include IT controls for the
system and access matrix of the operations including controls of the
passwords.
·
The penetration and vulnerability test report
should be submitted to the Board before 25
th
August 2017.
·
The GGB approval 10199
may only be
implemented on condition that the operator obtains approval for all
contingencies and bet types prior to implementation.
·
The Gauteng Gambling Board approval 10199 is subject to Aardvark
Technologies
Limited successfully complying with licencing
requirements and licence being issued within 12 months. Failing
which the approval
will expire’.
[4]
Section 39(1) of the Gauteng Act provides that: ‘no person
shall conduct a casino without a casino licence’. And
s 76 (1)
of the same Act regulates the contingencies on which gambling may
take place. It provides:
‘
76
Events and contingencies on which gambling may take place
(1) No
person shall gamble on the result of any event or contingency other
than –
(a) a
casino game;
(b) a
bingo game;
(c)
the operation of a gaming machine; or
(d) .
. .
(e) a
sporting event’
[5]
Section 146 of the Constitution read with Schedule 4 to the
Constitution.
[6]
Weare
and another v Ndebele N O and others
[2008]
ZACC 20; 2009 (1) SA 600 (CC); 2009 (4) BCLR 370 (CC).
[7]
Para 58.
[8]
Para
70.
[9]
See the preamble to the
National Gambling Act.
[10
]
Chapter 7, which dealt with Lotteries was repealed in 1996.
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