Accused and his two companies sentenced for fraud and money laundering

Media Statement
Directorate for Priority Crime Investigation
(HAWKS)

MPUMALANGA – Clifford Ndlovu (40), and his two companies were found guilty and sentenced by the Nelspruit Specialised Commercial Crimes Court on Thursday, 18 April 2024 for 11 counts of Fraud and Contravention of Section 4,5 & 6 of the Prevention of Organised Crime Act, Act 121 of 1998-Money laundering.

During 2013 and 2017, the accused was a sole director of two companies, Mahathamile Trading cc referred to as accused no 2 and Malatirhle Hire and Transport cc referred to as accused no 3. The accused submitted fraudulent tax invoices to the South African Revenue Services for services never rendered, claiming undue funds, through misrepresentation, prejudicing and causing an actual loss to the Revenue Service to the total amount of R3 333 992.60.

The matter was reported to the Hawks Nelspruit based Serious Commercial Crime Investigation for further probe. The investigation was finalised and the accused was summoned to appear in court.

The accused and his companies were sentenced as follows:

Accused no 1-
Counts 1-11: Fraud , counts taken together for purpose of sentence:
10 years imprisonment of which half is wholly suspended for 5 years, on condition that accused is not convicted of fraud which is committed during the period of suspension.
The accused was further sentenced to 36 months correctional supervision.
The accused was placed under 24 hour house arrest during correctional supervision sentence.

The accused to perform community service of 16 hours per month for the duration of his sentence

The accused to attend treatment, development and support programs.

Count 12: Money laundering:
05 years imprisonment which is wholly suspended for 05 years on condition that the accused is not convicted for contravention of the Prevention of Organized Crime Act during the period of suspension.  The accused was declared unfit to possess a firearm.

Accused no 2:
Counts 1 to 6:
R200 000.00 fine of which half, R100 000.00 is suspended for 5 years on condition that the accused is not convicted of fraud during the period of suspension.

Count 12: Money laundering.
R 200 000.00 fine which is wholly suspended for 5 years on condition that the accused is not convicted for Money laundering during the period of suspension.

Accused no 3
Counts 7 to 11: Fraud.R 200 000.00 fine of which half, R100 000.00 is suspended for 5 years on condition that the accused is not convicted for fraud during the period of suspension.

Count 12: Money laundering.
R200 000.00 fine which is wholly suspended for 5 years on condition that the accused is not convicted for Money laundering during the period of suspension.

Accused already paid back the prejudiced loss amount to SARS

AFU-Submitted application for confiscating order in terms of Section 18 of POCA.

The Provincial Head of the Hawks Major General Gerber applauded the team for the excellent work done in ensuring successful sentence and seizure of proceeds.
End

Enquiries:
Captain Dineo Lucy Sekgotodi
0714813493
Twitter: https://twitter.com/SAPoliceService
Facebook: https://www.facebook.com/SAPoliceService
Instagram: https://instagram.com/sapoliceservice_za/
YouTube: https://www.youtube.com/user/SAPoliceService
Website: www.saps.gov.za