Johannesburg – Two men, Sibusiso Simon Mlambo, 39, and David Sizanempi Palmer, 43, were convicted and sentenced yesterday for defrauding the South African Revenue Services (Sars).
Mlambo, who is a director at Sbu Mlambo (Pty) Ltd, and Palmer, from Tshangakuye Trading cc, were convicted and sentenced in the Nelspruit Specialised Commercial Crimes Court for charges of fraud and money laundering emanating from their criminal activities against Sars.
"Mlambo is said to have submitted fraudulent foreign tax credits for income tax on behalf of his fictitious company, S'bu Mlambo (Pty) Ltd, to the Sars, claiming and prejudicing the revenue service, causing an actual total loss amount of R222 989.60. (This) was paid into his personal Standard bank account," Hawks spokesperson Colonel Katlego Mogale said.
Mlambo was sentenced to six years imprisonment, which is wholly suspended for five years on condition that he is not convicted of fraud that was committed during the period of suspension. He was ordered to repay the Sars an amount of R 222 986.60.
For money laundering, he was sentenced to six years imprisonment, which is wholly suspended for five years on condition that he is not convicted of contravening the provisions of Sections of the Prevention of Organised Crime Act, Act 121 of 1998.
Further, the matter was referred to the Priority Crimes Specialised Investigation (PCSI) and the Asset Forfeiture Unit (AFU).
The Hawks said the AFU submitted an application for a confiscation order in terms of Section 18 of the Prevention of Organised Crime Act, Act 121 of 1998 (POCA). The inquiry was postponed to June 10, 2023.
"Meanwhile, Palmer was reported to have also submitted fraudulent foreign tax credits for income tax on behalf of a fictitious company, 'Tshangakuye Trading cc' to the Sars, claiming and prejudicing the revenue service and causing an actual total loss amount of R203 681.49, which was paid into his personal bank account," Mogale said.
He was sentenced for fraud, read with Section 103 of the Criminal Procedure Act, Act 51 of 1977, and money laundering in contravention of the provisions of Section 6 read with Sections 1 and 8 of the Prevention of Organised Crime Act, Act 121 of 1998.
Palmer was sentenced to six years imprisonment, wholly suspended for five years on condition that he is not convicted of fraud that was committed during the period of suspension. He was ordered to repay the Sars the amount of R 203 681.49.
He was further sentenced to six years imprisonment for money laundering, which is wholly suspended for five years on condition that he is not convicted on charges of contravening the provisions of Sections 4,5 and 6 of the Prevention of Organised Crime Act, Act 121 of 1998, during the period of the suspended sentence.
The Hawks said that Palmer’s matter was also further referred to PCSI and AFU, which submitted an application for a confiscation order in terms of Section 18 of the Prevention of Organised Crime Act, Act 121 of 1998 (POCA). Palmer’s inquiry was postponed to June 10, 2023.
The Star