A man accused of siphoning a portion of R27 million, from the UIF Temporary Employer/Employee Relief Scheme (TERS) funds, was arrested.
The Special Investigating Unit (SIU) said it welcomes that arrest and the prosecution, of similar cases, in Mpumalanga, and the Free State.
In Mpumalanga, ghost employees, siphoned R26.9 Million from Preserved Assets.
The SIU said several suspects were arrested as a result, on Monday, including Fumu Mkalira Msiska (48), his wife, Gladness Mkhonto Msiska (48), and his brother-in-law, Bongani Zoran Mkhonto (39).
They appeared before the Middelburg Magistrate’s Court on charges of fraud involving ghost employees, in the UIF-TERS scheme.
The court granted a bail of R300 000 each to the Msiskas, while Mkhonto was granted bail of R3,000.
The High Court of South Africa, Mpumalanga Division, issued a preservation order against assets suspected to be proceeds of crime, including three properties in Pretoria, Middelburg, and White River, which were preserved, along with household goods, office equipment and bank accounts.
Those assets include six cars-2019, Land Rover, Range Rover L560, a 2011 Toyota Fortuner, a 2005 Mercedes-Benz, C180 Kompressor, a 2015 BMW X6, a 2019 Mercedes-Benz V250 D and 2010 Caterpillar, backhoe loader.
During the investigation, the NPA’s Asset Forfeiture Unit secured the freezing of bank accounts and seized five vehicles. In addition, three properties located in Pretoria, Middelburg, and White River were preserved, along with household goods and office equipment.
The SIU investigation revealed that the accused siphoned R26,943,793.19 from the UIF-TERS scheme by fabricating employees and submitting fraudulent claims.
It is further alleged that the funds were subsequently transferred from A and F Consulting to Khulani Quality Contribution, a company linked to Msiska’s wife.
The brother-in-law, Mkhonto, allegedly acted as a runner by sourcing identification particulars used to facilitate fraudulent claims involving ghost employees and former workers of the company.
The Heilbron Magistrates’ Court, in the Free State, convicted and sentenced Ente Thibello Sekhoto (51) and his company, Batlokoa Circle 12 Plaster Services (Pty) Ltd, for fraud and money laundering related to UIF-TERS benefits.
SIU’s investigation found that Sekhoto fraudulently applied for relief funds on behalf of individuals who were not employed by his company, cheating the Unemployment Insurance Fund (UIF) into paying R201,812.36 into his company’s bank account.
The court ordered Sekhoto and his company to jointly pay the National Department of Employment and Labour in the amount of R201,812.36, payable within four years.
Picture: Supplied