EFF and ANC target DA's Mark Burke over R4 billion crypto company allegations
The EFF has accused the DA of hypocrisy and financial misconduct following allegations that Kastelo, a fintech company chaired by senior DA MP Mark Burke, systematically bypassed South Africa’s exchange control regulations to externalize R4 billion. The Johannesburg High Court dismissed an appeal by Kastelo to unfreeze its bank accounts while the Reserve Bank investigates. Acting Judge S. Johnson ordered costs on a punitive attorney-and-client scale. The South African Reserve Bank's affidavit against Kastelo, founded and chaired by Burke, who is also the DA’s federal finance chairperson, suggests financial crime rather than minor regulatory lapses. A Reserve Bank investigator stated there is reason to believe Kastelo used clients’ allowances to move funds offshore for its own benefit. Burke served as Kastelo’s CEO until June 2024, remaining as chairman after being called to Parliament. Allegations include using clients’ single discretionary and foreign investment allowances without full knowledge, opening offshore accounts in their names, and misrepresenting activities in compliance declarations. The Reserve Bank has frozen some of Kastelo’s funds with Access Bank and is conducting a broader investigation. Burke’s political position as DA federal finance chairperson and his role on parliamentary finance committees make the allegations particularly damaging. The EFF described the actions as financial crime, highlighting the DA's claims of clean governance. The ANC Parliamentar
