Irvin Khoza, chairman of South Africa's World Cup 2010 bid, was charged with possession of a suspected stolen firearm after a raid on his home last night by police and tax investigators.
Khoza was released on 3,000 rand ($363.8) bail after members of the South African Revenue Service (SARS), accompanied by police, searched his Soweto home and the offices of soccer club Orlando Pirates.
Police senior superintendent Martin Aylward said Khoza had been charged with possession of a suspected stolen firearm. He is due to appear in a Soweto court on Tuesday.
Police and tax authorities have declined to discuss the nature of the SARS investigation, and Khoza was not immediately available for comment.
Khoza is head of the reigning South African league champion Pirates and one of the country's most influential soccer figures.
He was chairman of South Africa's failed bid for the 2006 World Cup, which was handed to Germany. Khoza was then reappointed to lead the 2010 bid.
A South African newspaper reported on Saturday that Khoza under investigation for alleged tax evasion.
The Saturday Star, quoting an unnamed source, said the Pirates could be sold if Khoza does not have the disposable cash to settle his tax arrears.
The newspaper reported that Khoza was met by police and tax investigators at Johannesburg airport on Friday night after he returned from a trip to Sweden.