SA radio presenter suspended over alleged crypto scam connection.
South African Broadcasting Corporation has suspended popular radio presenter, Sebasa Mogale over alleged ties to a crypto scam.
Popular South African media personality, Sebasa Mogale has been indefinitely suspended by the nation’s broadcaster following the revelation of his alleged involvement in a crypto scam that saw over 100 people fall victim.
The decision came after an investigative report by South African journalism powerhouse, Carte Blanche on 15th May implicated Mogale in a failed scheme that had unsuspecting people, including pensioners, investing their money with promises of returns of up to 3 times their investments.
Mogale, who is a recognizable voice on South Africa’s Thobela FM and also plays a role in South Africa’s popular television series Skeem Saam, was identified as one of the masterminds behind the scam.
According to the Carte Blanche report, Mogale used his celebrity status and established radio trustworthiness to convince his listeners to invest in a crypto mining scheme that would turn out to be a scam.
Mogale functioned as an intermediary using his platform on Thobela FM to market and advertise an investment opportunity in the mining operations of Mining City which was marketed as the world’s most successful mining community.
The sales pitch highlighted the different investment packages that one could subscribe to and included a small breakdown of the guaranteed daily earnings expected to amount to at least 3 times the initial investment over the three-year investment period.
On hearing this, investors with little to no training in personal finance management took the word of Mogale’s familiar voice and sunk their personal savings and pensions but never saw any of the 300% returns that had been heavily advertised on Mogale’s show.
The investigation found the premises where Mogale had operated his “investment business” had been closed due to financial difficulties and when Mogale was contacted for a statement, he was reported to be adamant that investors were fully aware of what they were getting into.
Following difficulty in accessing Mogale directly and a lack of investors backing his claims, Carte Blanche’s summary of the investigation went on to read, “But for at least 140 people, the man they trusted to guide them through the crypto maze appears to have been little more than a confidence trickster.”
Mogale’s suspension was confirmed by a statement from Gugu Ntuli, the South African Broadcasting Corporation (SABC) group executive responsible for corporate affairs that stated,
Ntuli added that the SABC will “leave no stone unturned” in its own probe into Mogale’s role in the scam.
Victims of the scam have started coming out to reveal their losses following the breaking of the exposé and news of Mogale’s suspension. South African police are calling for more victims to file reports to enable the law enforcement agencies to act formally and pursue the matter.
In the meantime, it is worth noting that the scheme had a few red flags that can help protect from future exploitation. For one, neither Mogale nor any of his partners were experts in crypto mining which requires significantly more expertise than trading.
The fact that the scheme also guaranteed a 300% return on investment in the speculative and volatile world of crypto is also a warning sign that investors should also be on the lookout for.