The owner of Major General Trading CC, former ANC Mzanele regional secretary Major Sekopo (48), and a former SARS accountant for the company, Ndileka Precious Mfunda (55), have been found guilty on charges of tax fraud.

Sekopo and Mfunda were summoned to appear in court by the Directorate for Priority Crime Investigation’s (Hawks) Serious Commercial Crime Investigation team in George between 2016 and 2018.

Mfunda was a SARS accountant hired by Major General CC as a consultant, during which time she submitted fraudulent claims to the South African Revenue Services from 2009 to 2014.

Mfunda’s duties were to do the audit and interact with municipalities on behalf of Major General CC.

It was reported that the company entered into a contract with Bitou Municipality, Oudtshoorn Municipality and Ventersdorp Municipality to administer their tax returns and to submit them.

Extensive investigation revealed that they also submitted false returns and did not declare or pay their personal tax.

Major General Trading CC ‘earned’ 25% commission of all amounts saved by the municipalities.

It is further reported that their alleged fraudulent conduct prejudiced SARS cash amounting to over R16m as the money was successfully paid into the business’ account.

The company was subjected to a tax auditing process where discrepancies were detected.

Sars reported the matter to the Hawks for probing, which culminated in their arrest.

They appeared in the Thembalethu Regional Magistrate’s Court on Wednesday, where they were found guilty on the charges.

The matter has been remanded to July 20 for sentencing.