Fraud conviction in Nelspruit Specialised Commercial Crimes Court
Clifford Ndlovu and his companies, Mahathamile Trading CC and Malatirhle Hire and Transport CC, was sentenced for fraudulent activities totalling over three million in a case of financial misconduct.
The Directorate for Priority Crime Investigation’s (Hawks) spokesperson, Captain Dineo Sekgotodi, announced that Clifford Ndlovu (40) and his two companies, Mahathamile Trading CC and Malatirhle Hire and Transport CC, were found guilty and sentenced by the Nelspruit Specialised Commercial Crimes Court on Thursday April 18 for 11 counts of fraud and contravention of Sections 4, 5 and 6 of the Prevention of Organised Crime Act.
Between 2013 and 2017, Ndlovu, as the sole director of the two companies, submitted fraudulent tax invoices to SARS for services never rendered, resulting in an actual loss to the revenue service of a total amount of R3 333 992.60.
The matter was reported to the Nelspruit Hawks’ Serious Commercial Crime Investigation Unit for further investigation. Upon conclusion, Ndlovu was summoned to appear in court.
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Sekgotodi outlined Ndlovu’s sentence as follows:
• Counts 1 to 11 (fraud): 10 years’ imprisonment, with half suspended for five years on the condition that Ndlovu is not convicted of fraud during the suspension period. Additionally, he was sentenced to 36 months’ correctional supervision and placed under 24-hour house arrest during this period. He is also required to perform 16 hours of community service per month and attend treatment, development and support programmes.
• Count 12 (money laundering): Five years’ imprisonment, wholly suspended for five years on the condition that Ndlovu is not convicted of contravening the Prevention of Organised Crime Act during the suspension period. He was also declared unfit to possess a firearm.
The sentencing for Mahathamile Trading CC and Malatirhle Hire and Transport CC is as follows:
• Mahathamile Trading CC: Counts 1 to 6 (fraud) resulted in a R200 000 fine, with half suspended for five years on the condition of no fraud conviction during the suspension period. Count 12 (money laundering) incurred a R200 000 fine, wholly suspended for five years under the same condition.
• Malatirhle Hire and Transport Close Corporation: Counts 7 to 11 (fraud) incurred a R200 000 fine, with half suspended for five years under the condition of no fraud conviction during the suspension period. Count 12 (money laundering) resulted in a R200 000 fine, wholly suspended for five years under the same condition.
Ndlovu has already repaid the prejudiced loss amount to SARS.
