The Royal Eswatini Police Service (REPS) informed the High Court that its investigation into illegal online gambling has escalated into a major international fraud and organized crime inquiry. Detective Constable Ntokozo Dlamini from the Organized Crime Unit submitted an affidavit stating that evidence retrieved from seized devices indicates possible connections between organized crime and high-ranking politicians, police officials, and immigration authorities.
According to court documents, over 400 electronic devices are currently undergoing forensic analysis, with support from INTERPOL. INTERPOL reported that 240 devices have been confiscated, leading to the arrests of 82 individuals during its special operation targeting Eswatini. The police executed coordinated raids across Mbabane and Ezulwini earlier in the year, including at the Castle Hotel, identified as one of the syndicate's key operations centers.
Initially aiming to address domestic illegal gambling and immigration issues, the REPS raided several locations in March 2026, resulting in the detention of 146 foreign nationals from countries such as China, Taiwan, Indonesia, Cambodia, and Brazil. During this operation, authorities confiscated 313 electronic devices. Those detained face charges under multiple acts, including the Gaming Control Act and the Money Laundering and Financing of Terrorism (Prevention) Act.
The investigation has since broadened, revealing an organized operation that allegedly targeted individuals in Brazil and India while managing unauthorized online gambling operations from Eswatini. Investigators discovered that the syndicate pooled its proceeds and converted these into cryptocurrency, particularly USDT, subsequently transferring the funds through financial institutions in Abu Dhabi and the United States back into Eswatini.
Furthermore, a detailed impersonation scam linked to the network was uncovered. Authorities believe a fake Brazilian police holding facility was located within Castle Hotel, reportedly containing Brazilian police uniforms, a bulletproof vest, communication radios, and a badge from the Brazilian Federal Police. Members of this syndicate pretended to be Brazilian Federal Police officers during video calls, misleading victims into believing they were under criminal investigation and compelling them to sign fraudulent "confidentiality agreements" while transferring funds to accounts claimed to be held by the Brazilian Central Bank.
INTERPOL estimates around 40 Brazilian victims have fallen prey to this operation, involving a wider effort dubbed Operation First Light 2026, which has intercepted illegal assets valued at approximately US$293 million across 97 countries.
As the investigation continues, pressure is mounting regarding Eswatini’s licensing practices. On June 2, 2026, National Commissioner of Police Vusi Manoma Masango recommended to the Ministry of Tourism and Environmental Affairs that all gambling license issuance be temporarily halted pending the investigation's conclusion. His memorandum highlighted that allowing licenses to be issued during such inquiries could further invite criminal infiltration that jeopardizes the nation’s economic stability and security.
Emphasizing the gravity of the situation, Masango remarked that no individual, regardless of their political status or influence, is above the law, asserting there will be no immunity for anyone implicated.
In mid-August, Senate Deputy President Ndumiso Mdluli urged Prime Minister Russell Mmiso Dlamini to investigate if any politicians were unwittingly allowing foreign criminals engaged in illegal online gambling to use their properties. Mdluli expressed concern about inadequate penalties for offenders and pointed out that, in June, many of the foreign nationals arrested were convicted only of immigration violations and received minimal sentences.
Currently, while Eswatini's Gaming Control Act of 2022 is legally in effect, the detailed regulations are still pending development. Legislators are pushing for a halt on new gambling licenses until these regulations are established and presented before parliament, a call originally made in December 2025. The Ministry of Tourism and Environmental Affairs has since put a stop to new license applications and only renewed a few existing ones under stringent oversight. Reports suggest that continued absence of regulation could place Eswatini on international financial crime grey lists.
As forensic investigations proceed, the police plan to release a comprehensive report in due course. The outcomes of this expansive inquiry, which started with raids on unauthorized operators in 2026, may compel Eswatini to reinforce its gambling regulatory framework significantly, shaping future regulations in the sector.
