MaMkhize’s tax troubles deepen as Royal AM faces uncertain future! It never rains but pours for controversial businesswoman Shauwn “MaMkhize” Mkhize, as her tax troubles with the South African Revenue Service (SARS) continue to mount.
The Royal AM owner is reportedly in deep financial trouble, owing SARS over R40 million in unpaid taxes. Her ongoing battle with the taxman has severely impacted her football club, Royal AM, also known as Thwihli Thwahla, which has now been placed under curatorship.
Royal AM Set to Be Sold
Last week, reports surfaced that Royal AM is up for sale after SARS won a legal battle against MaMkhize. The court ruling effectively handed control of the club over to SARS, which is now looking to recoup the money owed by selling the club.
According to reports, potential buyers are already in negotiations to take over the club. SARS has even advised the Premier Soccer League (PSL) to hold off on suspending the team until the sale is finalized. This decision was made to ensure that the club remains operational while new owners are sought.
MaMkhize has been fighting to regain control of Royal AM, but her attempts have been unsuccessful. It appears her battle with SARS has taken a turn for the worse, forcing her to watch from the sidelines as the club faces an uncertain future.
Royal AM Loses Municipality Sponsorship
Adding to her woes, Royal AM’s sponsorship deal with the Msunduzi Municipality has seemingly come to an end.
Social media was set abuzz when photos of municipal workers stripping off Royal AM branding from the Harry Gwala Stadium surfaced online. Many fans took this as a sign that the municipality had cut ties with the club.
In 2023, MaMkhize secured a three-year sponsorship deal with the Msunduzi Municipality worth R27 million, allowing Royal AM to use Harry Gwala Stadium as their home ground. The deal was set to run until June 2026, but it now seems to have been terminated prematurely.
MaMkhize
Democratic Alliance Takes Royal AM to Court
The Democratic Alliance (DA) has played a key role in challenging the sponsorship deal in court. The party argues that public funds should not be used to support an entity that is not compliant with tax laws.
In legal papers, the DA stated:
“The payment by the Msunduzi Municipality of any money to the Royal AM sponsorship contract is declared to be unlawful, reviewed, and set aside.”
The court case is scheduled for 28 February, but given recent developments, many fans believe that the sponsorship deal is already dead.
Despite growing speculation, Royal AM and the Msunduzi Municipality have yet to officially address the reports regarding the termination of the sponsorship deal.
MaMkhize
What’s Next for MaMkhize and Royal AM?
With her football club up for sale, a cancelled sponsorship deal, and millions owed to SARS, MaMkhize finds herself in a difficult position.
Fans are now left wondering what will become of Royal AM, a club that once brought excitement and controversy to South African football. If the sale goes through, it will mark the end of MaMkhize’s reign in the PSL, a league she entered with bold ambitions just a few years ago.
For now, MaMkhize remains tight-lipped, but one thing is certain—her tax battle has had major consequences, and she will need a miracle to turn things around.