Man defrauds Revenue Services of over R 330million

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The Hawks in Nelspruit managed to secure a successful prosecution for a 40 years old man together with two of his companies for defrauding South African Revenue Services (SARS) of millions for services they did not render.

Police spokesperson Captain Dineo Sekgotodi said that Clifford Ndlovu was a sole director of two companies, Mahathamile Trading cc and Malatirhle Hire and Transport cc referred to as accused no 2 & 3 respectively.

As result of his misrepresentation and prejudice, the revenue services ended up suffering a loss of R3 333 992.60.

The accused and his companies were sentenced as follows:

Accused no 1-

Counts 1-11: Fraud , counts taken together for purpose of sentence:

10 years imprisonment of which half is wholly suspended for 5 years, on condition that accused is not convicted of fraud which is committed during the period of suspension.

The accused was further sentenced to 36 months correctional supervision.

The accused was placed under 24 hour house arrest during correctional supervision sentence.

The accused to perform community service of 16 hours per month for the duration of his sentence

The accused to attend treatment, development and support programs.

Count 12: Money laundering:

05 years imprisonment which is wholly suspended for 05 years on condition that the accused is not convicted for contravention of the Prevention of Organized Crime Act during the period of suspension.  The accused was declared unfit to possess a firearm.

Accused no 2:

Counts 1 to 6:

R200 000.00 fine of which half, R100 000.00 is suspended for 5 years on condition that the accused is not convicted of fraud during the period of suspension.

Count 12: Money laundering.

R 200 000.00 fine which is wholly suspended for 5 years on condition that the accused is not convicted for Money laundering during the period of suspension.

Accused no 3

Counts 7 to 11: Fraud.

R 200 000.00 fine of which half, R100 000.00 is suspended for 5 years on condition that the accused is not convicted for fraud during the period of suspension.

Count 12: Money laundering.

R200 000.00 fine which is wholly suspended for 5 years on condition that the accused is not convicted for Money laundering during the period of suspension.

He was found guilty on 11 counts of Fraud and Contravention of Section 4,5 & 6 of the Prevention of Organised Crime Act, Act 121 of 1998-Money laundering.

The court also heard that Mr Ndlovu has already paid back the prejudiced loss amount to SARS.