Pretoria - The Nelspruit Specialised Commercial Crimes Court has convicted and sentenced Sthembiso Nelson Ubisi, 42, for money laundering, in a case where the SA Revenue Service (Sars) lost almost R1 million to a group of fraudsters.
“Ubisi was convicted and sentenced to R20 000 fine or three years imprisonment, of which half, R10 000 or 18 months imprisonment is suspended for five years,” said Hawks spokesperson in Mpumalanga, Captain Dineo Lucy Sekgotodi.
Sekgotodi said Ubisi has been ordered to pay back the revenue service R50 000 in R800 instalments before or on the 7th of each month.
Ubisi was the last to be sentenced in the group of six accused who benefited from the Sars fraud by submitting fraudulent tax returns on behalf of Dlami Trading cc.
They were arrested on April 29, 2021 and charged with fraud, theft or alternatively contravening the provisions of the Tax Administration Act and money laundering.
“Ubisi, Themba Edlon Ndlovu, 46, Themba Mabandla Pila, 34, Baby Martha Malomane, 39, Patricia Nobuhle Ndlovu, 46, and Caswell Thokozani Shongwe, 41, unlawfully received undue funds from Sars between 2015 and 2017, which were paid into the company, Dlami Trading cc through misrepresentation and thereafter paid into their personal bank accounts,” Sekgotodi said.
She said Sars suffered a loss of R992 150.
In a similar incident, the Hawks said a Durban businessman recently appeared in court for alleged Value Added Tax (VAT) fraud that caused Sars to lose out on over R1.2 million.
The accused is the sole member of a Close Corporation that supplied musical instruments to the Department of Arts and Culture from 2013 to 2014.
Hawks spokesperson Captain Simphiwe Mhlongo said the accused allegedly provided a VAT number that he was not authorised to use.
“Thus, the accused charged the department R2 313 740.03 VAT and that amount was not declared to the South African Revenue Service (Sars),” he said.
Mhlongo said the accused further submitted a nil income tax return in respect of 2014 and 2015 claiming that his company did not work during the said period.
“As a result, Sars suffered a prejudice of R1 228 405.42,” he said.
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