Democratic Alliance (DA) MP and finance spokesperson Mark Burke has moved to clarify his relationship with fintech company Kastelo as the South African Reserve Bank investigates transactions worth about R4 billion linked to the business.
Burke says he left Kastelo in 2024 to pursue a political career and is not involved in the company’s day-to-day operations. He has also stressed that a recent High Court judgment did not establish that Kastelo or he had committed wrongdoing.
The dispute centres on a blocking order issued by the South African Reserve Bank (SARB) against Kastelo Proprietary Limited while the regulator investigates possible breaches of South Africa’s exchange control regulations.
The court found that the Reserve Bank had sufficient grounds to impose the blocking order while its investigation continues. That finding, however, is not the same as a final determination that the company breached the law.
Burke clarifies his former role at Kastelo
Burke said descriptions of his current position at Kastelo were inaccurate.
He explained that he had previously served as chairperson of the wider Kastelo group but had stepped away from the company before entering Parliament.
“I resigned from Kastelo in 2024 to pursue a political career,” Burke said.
He added that he ceased serving as chairperson of the broader Kastelo group in February 2026 and is not the chairperson of Kastelo Proprietary Limited, which is the entity directly involved in the court proceedings.
The distinction between the wider group and the company named in the litigation is important because the SARB investigation and court proceedings concern the specific legal entity subject to the blocking order.
What the Reserve Bank investigation is about
The SARB’s investigation relates to transactions involving approximately R4 billion and potential contraventions of South Africa’s exchange control regulations.
The High Court proceedings did not determine the ultimate merits of those allegations. Instead, the court considered whether the Reserve Bank had a sufficient basis to prevent certain transactions or dealings while its investigation proceeds.
Burke said the judgment should therefore not be interpreted as a finding that Kastelo had already violated exchange control rules.
“The High Court judgment does not make any finding of wrongdoing against Kastelo, nor myself,” he said.
He added that the court’s decision concerned the Reserve Bank’s authority to issue the blocking order during an ongoing investigation rather than whether the underlying allegations had ultimately been proven.
That distinction is particularly relevant because regulatory investigations can take place before a final finding of liability or misconduct has been made.
Burke says he is confident he will be cleared
Burke said he respected the independence of the Reserve Bank and would allow the investigation to run its course.
He also rejected any suggestion that he had personally been accused of misconduct.
“At all times I have and will act ethically and lawfully, and I am confident that once the SARB’s inquiry is complete, it will find no wrongdoing on my part,” he said.
Burke maintains that he is not personally under investigation by any entity or agency.
No final finding against him has been reported in the matter.
MP says he recused himself from SARB matters
Burke also addressed concerns about a potential conflict of interest arising from his position as the DA’s finance spokesperson.
He said that after entering Parliament, he informed both his political party and the secretary of Parliament’s finance committee that he could not participate in matters involving the Reserve Bank.
According to Burke, the recusal was intended to ensure that his previous association with Kastelo did not influence his parliamentary responsibilities.
“The record of recusal is very clear,” he said, adding that he would continue maintaining what he described as strong ethical boundaries.
He also said that the necessary declarations had been submitted to Parliament and recorded in the Members’ Interests Register.
DA backs due process
The DA has also sought to draw a clear line between an ongoing investigation and a finding of guilt.
DA federal council chairperson and MP Ashor Sarupen said the party would neither interfere with nor prejudge the Reserve Bank’s investigation.
“The DA will not interfere with or prejudge that investigation.”
Sarupen said the party would take appropriate action if a competent regulatory authority or court ultimately found wrongdoing by Burke.
At present, however, he argued that there was no basis for treating Burke as though such a finding had already been made.
“There is no finding of wrongdoing against Dr Burke that would justify the DA treating him as though such a finding had already been made,” Sarupen said.
Why the case matters beyond Kastelo
The controversy places additional scrutiny on the relationship between South Africa’s financial regulators, fintech businesses and politically active individuals with previous commercial interests.
It also highlights the importance of distinguishing between a regulatory investigation, an interim court decision and a final finding of wrongdoing.
For the SARB, the immediate task remains determining whether the transactions under scrutiny breached exchange control requirements. For Burke, the political issue is whether his previous association with Kastelo could create a conflict of interest in his parliamentary role.
His stated recusal from SARB-related matters is therefore likely to remain an important part of the political scrutiny surrounding the case.
For now, neither the High Court judgment nor the ongoing SARB investigation amounts to a finding that Burke committed misconduct.
The regulator’s investigation will ultimately determine whether there were contraventions of exchange control rules and whether further action is warranted.
