A 46-year-old Eastern Cape businessman accused of defrauding the South African Revenue Services (Sars) of R2.7million made his first appearance in court this week.
Mpumelelo Equest Mdanda and his two companies M.T and A.O Trading Pty Ltd were charged by the Gqeberha-based Serious Commercial Crime Investigation (SCCI) of the Hawks, jointly with the National Prosecuting Authority (NPA) Serious Tax Unit (STU) on Monday, on allegations of contravention of section 235 of the Tax Administration Act.
Hawks spokesperson Captain Yolisa Mgolodela said it is alleged that during the period between 2019 and 2021, Mdanda as the director of M.T and A.O Trading Pty Ltd knowingly and intentionally submitted false Value Added Tax (VAT) calculations that resulted in undue VAT refunds.
“During the auditing process Sars picked up the red flags and lodged a complaint with the Hawks.
“Investigations revealed that Sars was actually prejudiced cash of more than R2.7 million and nearly prejudiced more than R4.6 million.”
Mdanda made his first court appearance in the Gqeberha New Law Magistrate’s Court on the same day of his arrest.
The Hawks said he was released on a warning and ordered to appear in court on August 1, 2024 for legal representation.
In a recent case, a Northern Cape medical doctor was found guilty of failing to declare his personal income tax to the Sars over a seven year period.
Fabian Royston Tun, 55, was convicted in the Kimberley Commercial Crimes Court in June 2024.
Sars was prejudiced of R17 million. Sentencing is expected later this month.
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