5 people implicated in R5.6-million Covid-19 UIF ‘fraud’ granted bail
This after millions meant for CSG Resourcing employees were paid in the account of an employee who later shared it with his relatives.
Five people implicated in the R5.6-million Covid-19 UIF Ters scandal were each granted R5 000 bail by the Pretoria specialised commercial crimes court on Monday.
Tshepang Howard Phohole, Taetso Zulu, Tsietsi Godfrey Mojela, Itumeleng Charlene Masoko and Tebogo Andries Nchimane Masoko of Dilsfinest Cafe (Pty) Ltd made their first appearance on charges of fraud, theft, money laundering following their arrest over the weekend.
Hawks spokesperson Lumka Mahanjana said the state did not oppose bail on the basis of their cooperation after they were arrested.
She said all addresses of the suspects were verified and all five vehicles bought by proceeds of the UIF funds were recovered upon their arrest.
“The court ordered them not to dispose of building material that was bought using such proceeds, until we recover it from their premises.”
The case was postponed for further investigation to 7 September.
This came after Covid-19 UIF Ters fund money meant for local firm CSG Resourcing Employees was allegedly paid into the account of an employee, Tshepang Phole.
The payment was discovered by CSG Resourcing after the relief fund was approved by the UIF did not reflect on their account.
The National Prosecuting Authority (NPA) said investigations by relevant law enforcement agencies into the matter were awaiting a statement from the UIF, which shows that the Covid-19 relief payment was manipulated to be paid into the account of Phohole.
Initial investigations revealed that after receiving the funds, Phohole transferred portions of the funds into other numerous bank accounts held by himself and his relatives. None of the other accused are attached to either CSG Resourcing or the UIF.
On 4 June, the Financial Intelligence Centre (FIC) issued various notices to the various banking institutions to “freeze” the funds implicated in the case.
On 19 June, the Gauteng High Court in Pretoria granted the Asset Forfeiture Unit (AFU) part of the NPA a preservation order for more than R3.2-million in relation to funds fraudulently, or alternatively, mistakenly transferred into Phohole’s bank account.
The remaining amount was still being investigated by the unit.
The NPA said the UIF Covid-19 relief funds were meant for more than 200 employees of different companies under CSG.
Hawks national spokesperson Colonel Katlego Mogale said the five were charged on 30 counts, which included a count of fraud and or an alternative count of theft, as well as 28 counts of money laundering.
The arrests followed an investigation after a case was registered at the Brooklyn police station.
The suspects were traced and arrested at the various residences in Soshanguve, Atteridgeville and Mamelodi on Saturday morning.
“Five vehicles, including an Range Rover Evoque were recovered as well as other items suspected to have been bought with the money which were not meant for the suspects,” said Mogale.
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