Bail for high-flyer fraud accused

Four men – including a former Gauteng MEC – arrested in connection with multi-million rand fraud have each been granted bail of R40 000 by the Pretoria Specialised Commercial Crime Court.

The men are former Land Bank acting chief executive Phill Mohlahlane, 55; former Gauteng housing MEC Dan Mofokeng, 51; national credit consultant Khutso Mosoma, 31; and attorney Matome Maponya.

They were arrested by the Hawks on Tuesday and face five charges of fraud, alternatively theft, and five other charges of money laundering.

It is alleged they embezzled R14 million from the AgriBEE scheme, earmarked for poor families.

The money was meant for the funding of struggling small, medium and micro enterprises, but the Hawks are convinced it was used to buy luxury houses and cars.

Mohlahlane said in an affidavit that he was married with six children and was currently unemployed. He told the court that he intended to plead not guilty.

Mosoma described himself as a national credit consultant at Absa and said he owned two properties in Pretoria.

The court heard he earned about R35 000 a month and that he also intended to plead not guilty.

Mofokeng said in his affidavit that he was self-employed and owned property in Bela Bela, Limpopo.

It was also revealed that he was out on R1 000 bail for a fraud case in the Daveyton Magistrate’s Court.

Maponya told the court his business would go bust if he was not granted bail.

“All I have worked for my whole life could be destroyed,” said Maponya, adding that his wife was eight months’ pregnant.

The State did not oppose bail which was set at R40 000.

Magistrate Dawie Jacobs wanted to know from State prosecutor Dries van Rensburg why Mosoma, “who at his age, lived a lavish lifestyle with property and luxury vehicles”, was granted only R40 000 bail.

Van Rensburg replied that Mosoma was not the main accused in the case and that the set amount was appropriate.

The magistrate warned the men to be back in court on May 3.

They should also report to their nearest police every Monday between 8am and 6pm until their next court appearance.

Meanwhile, Moloko Moloto reports that Mohlahlane could face separate criminal charges, related to allegations that he landed a top government post using fake qualifications.

The Limpopo agriculture department said yesterday that charges were laid with the Hawks, after his expulsion as chief executive of its subsidiary, the Limpopo Agribusiness Development Corporation last year.

Mohlahlane allegedly stated in his CV that he was previously a professor at a US University, but later failed to provide the qualifications when requested by the Agriculture department.

MEC Dipuo Letsatsi-Duba terminated his contract, two months after he had been appointed.

Department spokesman Kenny Mathivha said yesterday that charges of misrepresentation and fraud had been laid against Mohlahlane. “We checked with the Hawks yesterday and today and they have a case”, he said.

Mathivha noted that Mohlahlane was controversially appointed by the Limpopo agribusiness board, while the MEC was out of the country. The board proceeded with the appointment, against the MEC’s objection. The board reports directly to the MEC.

Mathivha said on her return, Letsatsi-Duba queried the board’s decision to increase Mohlahlane’s annual salary to R1.3m. “That was not the figure we advertised; ours was just below R1.02m.”

Mathivha said the department was considering recouping the two months’ salary, paid to Mohlahlane. “There is also a proposal that the board be dissolved,”,said Mathivha.

Hawks spokesman McIntosh Polela said the department’s case against Mohlahlane was pending. “There are no formal charges against him yet, but a colonel has been appointed to take statements.” - Pretoria News