Siblings found guilty for defrauding Revenue Service of almost R 1million

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A thorough investigation by the Hawks in Mpumalanga saw two siblings aged 50 and 36 years being convicted for fraud and Contravention of Tax Administration Act.

The 36 years old Godfrey Mgidi and 50 years old Christina Mgidi were directors of a company called Morvest Pinnacle Solutions in 2015 when they submitted fraudulent tax returns for tax credits to the South African Revenue Service, claiming undue funds through misrepresentation.

Following the submissions, payments were made to the company’s Standard Bank business account belonging to Siyophumelela Trading and Projects cc, prejudicing and causing an actual loss to the Revenue Service R 968 099.33.

The matter was reported to the Hawks’ Nelspruit based Serious Commercial Crime Investigation for inquiry. The investigation was finalised and warrant of arrests were issued.

Both accused were arrested and later released on bail. They appeared in court on several occasions until they were found guilty and given sentences which were both suspended.