UIF loses R66m
The Unemployment Insurance Fund (UIF) lost R66-million on
fraudulent unemployment claims between April 2005 and March
this year, the fund said on Thursday.
UIF spokesperson Kgomotso Sebetso said it was considered
fraud for people to continue to receive benefits despite
having secured a new job.
Natwest trio plead guilty to Enron-related fraud
Houston, Texas - Three former British bankers pleaded guilty
in a Texas courtroom Wednesday to a single count of fraud
related to the scandal-ruined energy trading firm Enron.
A lawyer for the so-called "NatWest Three" said that after 17
months of staying apart while awaiting trial in Texas, the
trio decided to accept a plea deal in order to "move forward
and do more productive things with their lives."
Former bank employee stripped of all he owns
Former First National Bank financial adviser Clynton Cotton,
who is accused of ripping off clients by almost R21-million,
was stripped of everything valuable he owns in an asset
forfeiture raid on his plush Umbilo home on Wednesday.
Security groups illegal
companies contracted to the Thulamela Municipality, in
Limpopo, are operating illegally and under a corrupt
umbrella, the Thohoyandou high court found yesterday.
Council to probe two big tenders
BUFFALO City council has ordered a forensic investigation
into the awarding of two multi-million rand contracts to two
different companies without its knowledge.
effectively amounts to a review of the tenders awarded by the
municipality to Waste Rite for a R28million waste management
services project and to Neo Solutions for R5m to implement a
waste management bylaw.
Arrests in British football corruption probe
London - Four men were arrested as detectives investigating
alleged corruption in British football raided eight
addresses, police said Wednesday.
The City of London Police said the four - aged 69, 55, 48 and
30 - were being held on suspicion of conspiracy to defraud
and false accounting.
New fraud scam
Police in Pietermaritzburg issued a fraud warning on Tuesday
after financial institutions in the area reported numerous
cases of the new "over deposit refund scam", police said.
Police spokesperson Inspector Joey Jeevan said a fax was sent
to a potential victim by a person pretending to be from South
African Revenue Service (SARS) or Telkom.
R1bn bid to tackle card fraud
industry plans to spend R1bn introducing smart cards as
soaring credit card fraud threatens to choke the R40bn
industry, says Absa group payments systems GM Walter Volker.
Social grant fraud decreasing - SASSA
The South African Social Security Agency (SASSA) says there
is a considerable decrease in fraud and corruption of social
grants within the Social Development Department. The agency's
CEO, Fezile Makiwane, made the statement this morning in
Pretoria at the opening of a four-day workshop.
Scorpions eye 'biggest diamond'
Cape Town - The
Scorpions, SA's elite crime-fighting unit, is now probing
claims of fraud in connection with the "world's biggest
diamond", allegedly found on August 27 on a farm in the North
Scorpions spokesperson, Tlali Tlali told News24 that
British businessman Brett Jolly had "approached and made a
representation to us," and that his claims were being
subjected to an internal process before an investigation
could be launched.
KZN parks to be investigated
KwaZulu-Natal’s agriculture MEC
Mtholephi Mthimkulu has ordered a forensic investigation into
Ezemvelo KZN Wildlife following revelations of alleged
financial irregularities and an adverse audit report.
Fears of cover-up into
Findings of forensic
investigations that allegedly finger top KwaZulu-Natal
government leaders in looting vast resources belonging to the
provincial department of agriculture are being kept under
Finance MEC, Zweli Mkhize, this week told the provincial
legislature's finance and economic development portfolio
committee that the findings needed to be kept secret as the
Directorate of Special Operations, the Scorpions, was
Fraudsters eat into hefty chunk of the healthcare services
you should be getting
Up to 10 percent of claims paid out by medical schemes,
amounting to R6 billion a year, are fraudulent or represent
an abuse of the schemes' benefits. If these practices could
be curtailed, the contributions that you as a member of a
medical scheme pay could be significantly lower.
Marius Smit, the chairman of the Board of Healthcare Funders
Forensics Unit and the head of the Discovery Group Forensic
Services, says healthcare fraud and abuse impacts on you
directly - particularly as a significant portion of the
monthly premiums that you pay goes towards filling a
Condom fraud case postponed
former employee of the SA Bureau of Standards (SABS) who
allegedly certified condoms that did not meet the required
standards and two other accused, had their case postponed in
the Pretoria Commercial Crimes Court on Friday.
Simphiwe Fikizolo, 32, Sajeev Joseph, 35 and Jeffrey Hurwitz,
51, will appear again next year on February 26 after a
postponement was granted for further investigations.
Curators of Fidentia go after Brown joint estate
Cape Town - The relentless, time consuming and expensive
quest by the Fidentia curators to locate assets for the
benefit of widows and orphans continued in the Cape high
The curators, Dines Gihwala and George Papadakis, went before
judge Dennis Davis and sought the provisional winding up of
the joint estate of J Arthur Brown and his wife, Susan, on
the basis that Brown owed Fidentia Holdings more than R25
Loophole may clear ex-Cape Town mayor
The City of Cape Town's
standing committee on public accounts (Scopa) has had to
clear former city manager Wallace Mgoqi and top officials of
the then-ANC administration in several cases of financial
mismanagement because of a loophole.
But Mgoqi may yet be hauled before court over payments of
Stung Scorpion cries racism in court
The disgraced Scorpion whose corruption conviction sparked a
police probe into Brett Kebble murder prosecutor Gerrie Nel
has slammed a magistrate's criticism of his ex-boss as
Suspended National Prosecuting Authority deputy director
Cornwell Tshavhungwa claims magistrate Andries Lamprecht
launched a "vitriolic" and "unwarranted" attack on Nel's
evidence - which Tshavhungwa claims would have cleared him of
the fraud, corruption and perjury charges for which he was
convicted - because Nel would not join his "racist agenda".
Scorpions boss to be grilled
Scorpions boss Leonard McCarthy faces a grilling over how the
crime-fighting organisation's top-secret informer fund was
fleeced of hundreds of thousands of rands by one of its most
The state's corruption, fraud and theft case against former
Scorpions national head of operations Geophrey Ledwaba - the
third of such cases against staff based at the organisation's
Gauteng office - is also expected to expose how the so-called
C-Fund was vulnerable to looting by National Prosecuting
Pathological gambler jailed
A pathological gambler was on Monday effectively jailed for
six years for stealing more than R900 000 from Sanlam, while
employed by the insurance company as a client service
Natalie Young, a 29-year-old mother, appeared in the
Bellville commercial crimes court, where magistrate Amrith
Chabilall found her guilty on 102 counts of fraud, involving
No word yet on NPA Zuma decision
There was no word yet on whether ANC deputy president Jacob
Zuma would have to face new corruption charges as the
National Prosecuting Authority (NPA) was still considering
the case, an NPA spokesperson said on Monday.
"It is a very painstaking process of consideration," said NPA
spokesperson Tlali Tlali, speaking less than a month before
the ANC holds it national conference and elects its future
leader, a position for which Zuma appears to have widespread
Jail time for Old Mutual fraudster
A single parent in dire financial straits who desperately
needed to pay for her children's education and prevent her
house being repossessed, is to spend six years in jail after
she admitted defrauding her employers of more than
This follows a plea bargain she entered into with the state,
which was accepted by the specialised Commercial Crimes Court
in Bellville on Thursday.
Jeanette Botha, 48, was employed at Old Mutual as a personal
assistant to general manager David Beresford and forensic
consultant Brent Small when the offences were committed.
Porritt holds up Tigon case
case of former Tigon CE Gary Porritt and former Tigon and PSG
Guaranteed Growth Fund director Sue Bennett was on Friday
postponed until Wednesday when Porritt could not make it to
court on time, as he was stranded in KwaZulu-Natal, where he
Heads roll for loans to fat-cat buddies
SCORPIONS investigators probing multibillion-rand fraud at
the Land Bank seized documents from the bank’s Tshwane
headquarters during raids.
The crime-fighting unit was called in after a forensic
investigation revealed massive fraud at the Land Bank.
'Staffer stole almost R1m'
In the space of three months, a Department of Community
Safety staffer allegedly managed to defraud it of almost
R1-million, the standing committee on public accounts (Scopa)
of the provincial legislature has heard.
Bank's CEO denies fraud
Johannesburg - The Development
Bank's chief executive on Tuesday denied involvement in a
reported case of fraud allegedly perpetrated by Land Bank
Paul Baloyi was responding to a Sunday Times article which
claimed he was one of Amber Mountain's directors. The company
allegedly received about R300m in taxpayer's money from Land
Bank officials to develop an upmarket equestrian estate in
the KwaZulu-Natal north coast.
'Mbeki killed BAE bribery inquiry'
President Thabo Mbeki was involved in the African National
Congress (ANC) leadership's blocking of a parliamentary
investigation into alleged bribery by BAE Systems and other
weapons firms in South Africa's biggest arms deal to date,
according to a former MP who was driven out of the ANC for
spearheading the inquiry.
Still no verdict on ex-cricket boss
Judgment in the R7.4-million fraud case against Diteko
Modise, the United Cricket Board’s former financial manager,
has been postponed — for the fourth time.
Food firm gets R99m fine
million fine imposed on Tiger Brands by the Competition
Commission for participating in bread-and-milling cartels
sends "a very clear message" to other companies to stop price
fixing, says the South African National Consumer Union.
commission announced yesterday that Tiger Brands had been
ordered to pay the fine, which amounted to 5.7% of its annual
turnover, after admitting to its involvement in the cartels.
Tigon accused refuse to disclose financial status
Tigon CE Gary Porritt and former Tigon and PSG Guaranteed
Growth Fund director Sue Bennett have refused a request from
the Legal Aid Board to make full disclosure of all their
trusts and financial standing.
Fraud probe begins
and Young have been appointed by Phalaborwa Mining Company (PMC)
to probe allegations of corruption, nepotism and racism
against the Palabora Foundation, a developmental organisation
under the auspices of PMC.
Court told of Merc for tender
A former high-ranking KwaZulu-Natal Education Department
official is on trial for accepting a R154 000 bribe, in the
form of a Mercedes-Benz, for allegedly awarding his friends
government tenders and for paying them for the work before it
The head of the investigation unit at the Department of
Treasury was arrested for covering up these allegations and
faces charges of defeating or obstructing justice.
R2bn fraud shock hits Land Bank
Johannesburg - Top Land Bank officials have siphoned off
more than R2bn meant for farmers, to fund their close
friends' and associates' ventures, the Sunday Times reported
The money was used for luxury golf estates, a sugar mill,
equestrian estates and residential developments.
The fraud was revealed in a forensic audit by Deloitte,
which was handed to the Cabinet this week by the Minister of
Land Affairs, Lulu Xingwana.
How fat cats looted land bank billions
Cabinet calls for criminal charges after R2bn is siphoned
off to fund associates’ business schemes.
Top Land Bank officials siphoned off more than
R2-billion meant for farmers to fund their close friends and
business associates’ luxury golf estates, a sugar mill,
equestrian estates and residential developments.
This massive fraud was revealed in a damning forensic
audit by Deloitte that was handed to the Cabinet this week by
the Minister of Agriculture and Land Affairs, Lulu Xingwana.
Court boosts Tigon sleuths
investigators involved in the case against Tigon CEO Gary
Porritt and fellow director Sue Bennett received a boost
yesterday when the Supreme Court of Appeal ruled that seizure
of documents by members of the office of serious economic
offences was legal.
Until yesterday the police had
been prevented from accessing about 400000 documents seized
from three premises linked to Tigon because a Pretoria High
Court judge had ruled that the search was “performed in an
unconstitutional and unlawful fashion”.
Department cracks down on sub-standard builders
THE national housing department
has commissioned the National Home Builders‘ Registration
Council (NHBRC) to conduct a forensic audit on selected
state-funded housing projects, starting in Transkei, to
determine the extent of sub-standard housing in the Eastern
State stops R16m tender
Committee on Public Accounts (Scopa) in Limpopo yesterday
recommended to the legislature that a R16,9 million contract
awarded to former head of the department of economic affairs
and finance, Ben Mphahlele, be terminated abruptly.
Cyber war intensifies
world entered the 21st century technological reasoning power
became increasingly sophisticated, and so did cyber-crime.
misdemeanour, commonly referred to as cyber-crime, is a new
type of criminal activity which started rearing its ugly head
in the early 1990s as the Internet became a common place for
online users worldwide.
But the long arm
of the law is catching up with those who commit cyber-crimes.
Legal threat over corruption report
representing suspended KwaZulu-Natal department of health
head Busi Nyembezi has threatened to take Premier Sbu Ndebele
to court if he failed to give him a report implicating his
client in fraud.
‘Casanova’ captured at last
A Durban fraudster, dubbed
“Casanova”, made an appearance in the Pinetown Regional Court
Kevin Harvey, 30, was collared yesterday after
nearly two years on the run. He had escaped while awaiting
A private investigator tracked Harvey down at a
financial services company.
Kiwi nabbed in £150m scam
Wellington - A New Zealand
national wanted by UK police over a £150m conspiracy to
defraud the Bank of England has been arrested and is in
custody, police said on Tuesday.
Former Mangaung mayor and others in court
Former Mangaung mayor Pappie
Mokoena and eleven other people appeared in the Bloemfontein
High Court on Monday in relation to charges linked to a
Scorpions' investigation at the municipality.
Judge A Kruger postponed the matter to November 13, 2008.
Fake degrees cheat others – Samwu
THE South African Municipal
Workers‘ Union and the SACP are calling on municipal manager
Graham Richards to take immediate disciplinary action against
managers who have misrepresented their qualifications to get
Responding to The Herald‘s
front-page report on Friday which revealed that about 58
degrees, diplomas and other qualifications listed on the CVs
of some senior municipal managers were fake, Samwu provincial
secretary Siphiwo Ndunyana said it had raised the issue with
the municipal manager two years ago, but nothing had been
Top banks drawn into homeloan fraud probe
Four of the country’s top banks
have inadvertently been roped into an allegedly fraudulent
homeloan scheme totalling more than R1-billion.
On Thursday, the department of
trade and industry launched an official investigation into a
Pretoria company for contravening the Companies Act and
Unfair Business Practices Act.
In addition, possible criminal
charges are being investigated by the National Prosecuting
Authority (NPA) against the Reverse Mortgage Company (RMC),
which operated for just more than two years.
Public works accused of tender fraud
The Mpumalanga department of
public works has been accused of fraud after a R500 000
construction tender was allegedly awarded to a company
different from the one chosen by the bid committee.
'Police must probe Scorpions' - ISS
The police are obliged to
investigate fraud and corruption charges against Scorpions
boss Gerrie Nel if a criminal complaint has been brought, the
Institute for Security Studies (ISS) said on Friday.
Doctor bust for fraudulent grant claims
doctor and his co-accused will appear in the Port Elizabeth
commercial crimes court today on charges of fraud involving
social security grants.
Fagbuyi and Ntomboxolo Makeleni are facing charges of
defrauding the state of about R440676.
Risk management ineffective in local industrial sector
The local manufacturing and
industrial sector does not have the kind of security systems
needed to effectively manage and protect its interests
despite the growing and diverse risks, reports local
electronic security equipment company Elvey Security
Beware of this scam
advertising firefighting training and jobs is nothing but a
national crime syndicate, says a statement from the City of
Cape Town's emergency services. It says "thousands" of
job-seekers are being conned into paying hundreds of rands
only to see the scam artists disappear with their money.