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The Chip Board Archive 25

Brief story of casinos in South Africa

Gambling was restricted in South Africa as early as 1673. Despite this ,the gambling never end and took place everywhere. For instance after the discovery of gold on the Witwatersrand on 1886 and the massive expansion of the área, gambling floorished, also in Cape Town gambling also took place at many of Cape Town’s bars or canteens (in the beginning of XIX century it was estimated that there were more than 400 licenced and non licensed bars in the city with gambling); the Chinese immigrant population living on the Witwatersrand were involved in gambling, gambling was a popular pastime in the clubs etc.
The Gambling Act of 1965 officially banned all forms except betting on horse racing. Gambling was declared a morally repugnant vice by the South African apartheid government in 1965.
The bantustans were ethnically-defined territories specifically designated for South Africa’s black population under apartheid.
The three homelands ( bantustans) of Transkei, Ciskei and Venda were granted independence in 1976, 1980 and 1979, respectively. The independence was granted to Bophuthatswana in 1977. The international community rejected the bantustans as independent states, , only recognised by by South Africa and Swaziland. Being that the bantustas theoretically “independent” they did not consider themselves obliged to apply this law,and casinos began to operate in South Africa’s apartheid-era bantustans towards to the late 1970s ( On 1971 the Self-Governing Territories Constitution Act was passed by the South African parliament and bantustans were given powers to write their own laws).
Bophuthatswana’s president, Lucas Mangope, and Southern Sun ( later Sun International) hotel group founder, Sol Kerzner, established a mutually beneficial relationship to create casinos within the borders of the bantustan. Despite SAR prohibition, casinos began to operate in South Africa’s apartheid-era bantustans towards to the late 1970s and started operating in the Bantustans of Bophuthatswana, Ciskei, Transkei and Venda. Sun International established Sun City in Bophuthatswana in 1979, the Wild Coast Sun in the Transkei and the Fish River Sun in the Ciskei in 1989. Carousel at Bophuthatswana was opened on 1991.
Sun City was shared 50% /50% by Bophuthatswana Government and Sun International. Sun City had become a meca where white South Africans could take advantage of facilities that were banned in South Africa. Bophuthatswana became a tourist haven, and even a train service was introduced on 1979 to bring passengers from Pretoria to Sun City. The casino at the Sun City was one of the largest in the world when it opened its doors in 1979 ( It 48 gaming tables at the time).
In 1994 with the political changes in the country the bantustans were incorporated in South Africa, and subject to its general law.
The prohibition of gambling was ineffective with an estimated 2 000 casinos operating illegally in South Africa by 1995.
In October 1994, the Lotteries and Gambling Board, published an interim report chaired which expressed a view that “the Gambling Act, 1965 no longer reflects the true moral viewpoint of the majority of South Africans and that the Government should legalise lotteries and gambling in the Republic of South Africa”. The final Report on Gambling (1995) recommended that all forms of gambling be regulated. In 1996, the Wiehahn Report informed the National Gambling Act (Act No. 33 of 1996). However by then, provincial lawmakers viewed casino taxation as one of the few forms of independent revenue generation available to them.
The review of the gambling industry by the Wiehahn Commission led to the National Gambling Act of 1996 being passed. 40 casinos licenses will be allowed, distributed throughout the provinces ( Gauteng, the province where Johannesburg and Pretoria are located, will have the largest share of the licenses ).
Prior to 1994, Sun International had the monopoly on the southern africa casino market ( 18 hotels and 12 casinos on 1984, with Sun City being the epicentre of that monopoly). The status changes with the rules from the government to distribute 40 new casino licences throughout South Africa in 1995. Sun International would bid for and win some of them. The license of Sun City will be renewed. Fish River will close.
In 2004, this Act was repealed and replaced with the National Gambling Act of 2004 which recognised the concurrent powers by the National and Provincial governments. The 2004 Act provided for uniform norms and standards applicable in South Africa .
The formal casino industry in South Africa evolved in the mid-1990s . In 1994, a total of nine (9) casinos existed and were all located in the previous TBVC (Transkei, Bophuthatswana, Venda and Ciskei) states. Most of these were built in the 1980s, the first being Sun City which opened in December 1979. In the period prior to the passing of the National Gambling Act of 1996, namely 1994 to 1996, not much happened in terms of casino infrastructure investment. However, during 1997 to 2002, the industry entered a period of rapid development and, by the turn of the century, there were 17 casinos operating from permanent venues, with a further 5 casinos still operating from temporary infrastructure (NGB report, February 2003). In 2002 a further 6 casinos were established.Over the subsequent period up to 2010 a further eight (8) new casinos were established and substantial investment in upgrading and refurbishment was made in existing casinos.As at 2016, a total number of 38 casinos (a maximum of 40 licenses is provided for in the national legislation) are operational in South Africa. The Minister of Trade and Industry, increased the maximum number of casino licenses that may be granted in South Africa from 40 to 41, with the additional licenses being allocated to the North West Province. The casino industry is considered world-class in global context. The industry comprises of six (6) management companies namely Sun International, Tsogo Sun Holdings/Hosken Consolidated Investments, Peermont Global, London Clubs International, Northern Cape Casino Consultants and Niveus Investments.
On 2016 there were 38 casinos with 24070 slot machines and 889 table games.
To see dates of the opening of each casino please consult CHIPGUIDE.

Chip scans from Chipguide. Casino pictures from myself ( some in the chipguide archives) . By order Graceland,Thaba Moshate,The Ridge,Boardwalk, Emperors, Gold Reef, Frontier Inn, Goldfields, Rio, Carousel,Carnival City, Pretoria

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Brief story of casinos in South Africa
Thank you Carlos - this article should be...
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Good suggestion Dick. Carlos, the next....
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Re: Brief story of casinos in South Africa
Just to Clarify
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Great info nice read thanks
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