CLEARING agent director Rubishen Munsamy has been ordered to pay SARS over R12m or face a jail term of 10 years after pleading guilty to 14 counts of fraud and contravention of Customs and Excise Act at the Durban Regional Court.

Munsamy, 41, was also sentenced to three years correctional supervision. Directorate for Priority Crime Investigation (Hawks) spokesperson Lieutenant Colonel Simphiwe Mhlongo said that Munsamy was sentenced along with his clearing agent.

“He was ordered by the courts to pay a fine of R500 000 which is wholly suspended for five years on condition that he is not convicted of fraud or contravention of Customs and Excise Act.”

Mhlongo said their crimes were committed between September 2018 and October 2019 when the clearing agent was contracted to clear imported goods.

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“The client supplied necessary documents to his clearing agent and Munsamy framed a draft import bill of entry. He presented it to his client for the payment of customs duties and value added tax.

“The client paid him the requested amount, however, Munsamy altered the description of the goods when he was submitting to the South African Revenue Service (SARS). As a result due taxes were drastically reduced and SARS suffered a financial loss of R14 711 077.60 in respect of 14 shipments he was instructed to clear.”

An internal investigation was conducted by SARS and a case of fraud was reported at Point police station and the docket handed over to the Hawks members from Durban Serious Commercial Crime investigation for further probing. In November 2024, Munsamy was summoned to appear before court. After several court appearances, he pleaded guilty on 14 counts of fraud and contravention of Customs and Excise Act.

“Munsamy was sentenced to three years correctional supervision and 10 years imprisonment which is wholly suspended for five years on condition that he pays SARS R12 363 161 within five days from the date of the sentence, he pays SARS R6m within 12 months from the date of the sentence and he further pays R1.5m to the Criminal Asset Recovery Account within five days from the date of the sentence,” said Mhlongo.

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