Question NW1489 to the Minister of Police
11 August 2015 - NW1489
Mbhele, Mr ZN to ask the Minister of Police
(a) What number of (i) financial, (ii) forensic and/or (iii) other investigations that were commissioned by his department have been completed since 1 April 2013 and (b) in each case, what are the relevant details on the (i) investigation including a synopsis of the facts and findings of each case, (ii) persons or third parties responsible for each investigation, (iii) total cost to date of each investigation and (iv) appropriate steps taken against officials and third parties implicated of wrongdoing in the findings of the investigations?
Reply:
(a)(i) Nil
(a)(ii) Three (3) – Detailed forensic accounting investigations
(a)(iii) Nil
(b)(i) Durban-Central CAS 2001/08/2005: Fraud and/or Theft against the principal member of Durban Bay Trust Company Limited. Durban Bay Trust Company Limited offered services dealing with participation bonds, loans and investments, as well as the administration of deceased estates. It was alleged that during the period 1996 to 2005 the accused and /or associated entities accepted capital from members of the public to invest, inter alia, on the stock exchange and property. They also operated a trust dealing with estates; and trust monies were used to repay investors.
PARK ROAD CAS 476/06/2003: The accused together with other accomplices operated an investments scheme in the Vaal Triangle from about the mid 1990’s to approximately June 2002. The accused started a cash loan business in the Vaal Triangle which was later expanded to six cash loan outlets in the Vaal Triangle. The accused acquired a close corporation during 1998, through which the accused’s family elicited deposits from the public to finance the cash loan enterprises. The investors were promised a return of 10% interest per month on their investments. The operation of the accused and the family came to the attention of the Department of Trade and Industry during 1999. The accused also acquired another company during 2001 in which shares were issued without complying with legal requirements.
KABEGA PARK CAS 277/05/2004: The accused conducted a fraudulent pyramid scheme. The evidence disclosed that the funds obtained from investors were primarily deposited in the bank account of a company. The accused also channeled some of the funds through an account in the name of his father-in-law.
(b)(ii) Durban-Central CAS 2001/08/2005: LMD Africa Forensics (Pty) Ltd.
PARK ROAD CAS 476/06/2003: Sizwe Ntsaluba Gobodo Audit Advisory Forensics
KABEGA PARK CAS 277/05/2004: Deloitte & Touche Registered Auditors, Risk Advisory and Legal
(b)(iii) Durban-Central CAS 2001/08/2005: R432 313.31
PARK ROAD CAS 476/06/2003: R357 033.75
KABEGA PARK CAS 277/05/2004: R282 282.24
(b)(iv) Durban-Central CAS 2001/08/2005: Accused was sentenced to 5
years imprisonment
PARK ROAD CAS 476/06/2003: Accused was sentenced to 5 years imprisonment, suspended in full for 5 years and 36 months correctional supervision.
KABEGA PARK CAS 277/05/2004: The accused was sentenced to 15 years imprisonment.