Rustenburg - Eighteen people arrested for allegedly defrauding the Department of Labour of more than R1.4 million from the Temporary Employer/ Employee Relief Scheme (TERS) fund have been granted bail at the Molopo Magistrate's Court in Mmabatho, North West.
The National Prosecuting Authority (NPA) said the group were released on bail of R5 000 and R10 000 each.
The NPA spokesperson in the North West division, Henry Mamothame, said they were facing three separate charges of fraud, alternatively theft.
"They were all granted bail of between R5 000 and R10 000, as some of them appear in all three charges. The matter was postponed to January 23 next year for further investigation,“ Mamothame said.
"The bail conditions are that all 18 will be confined to their homes, but were granted permission to go to work and also avail themselves on the said court date," he said. “They were further ordered to report to their nearest police station every Friday and Monday between 6am and 8pm. They were also ordered to surrender their passports to the investigating officer.”
The Hawks arrested the 18 in North West and Gauteng provinces respectively on Sunday and Monday.
"It is alleged that in 2020, during the Covid-19 pandemic, three sole directors of different dormant entities applied for TERS funds from the Department of Employment and Labour for 47, 133 and 141 supposed employees.
"The department paid the funds to the companies' bank accounts. The funds were allegedly transferred to certain individuals for personal enrichment. The department suffered a total loss of more than R1.4m due to siphoning activities. The Hawks investigated the matters and warrants of arrests were issued," said Hawks spokesperson Warrant Officer Bonnie Nxumalo.
The Department of Labour and Employment said to date, 10 people had been convicted and sentenced to direct imprisonment or received suspended sentences for defrauding the Covid-19 TERS scheme.
Forty-six people have been arrested thus far, and more arrests were anticipated.
IOL