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The Bloemfontein Regional Court has cracked the whip on a businessman and his company for reportedly defrauding the South African Revenue Services (Sars) of R6.6 million. The court imposed hefty sentences, fines, and imprisonment against the director, Teboho Robin Moloi (52), and his company, RNT Management Services, on 17 May.
The sentencing was a result of an investigation by the Free State Hawks’ Serious Commercial Crimes unit. WO Fikiswa Matoti, provincial spokesperson for the Hawks, said the court has ordered Moloi and his company to repay Sars an amount of R2,8 million and R3,7 million, respectively.
“They were found guilty on six counts of fraud and contravention of Section 235 (1) (a) of the Tax Administration Act 28 of 2011. The court sentenced RNT Management Services on five counts of fraud to a fine of R1 million, which is suspended for five years on condition that the accused is not convicted of fraud and contravention of the Tax Administration Act committed during the period of suspension. On the sixth count, the same company was sentenced to another fine of R1 million wholly suspended for five years on condition that the company is not convicted of fraud and contravention of the Tax Administration Act during the period of suspension,” said Matoti.
She said the Hawks probed the matter after the revenue services discovered discrepancies through its internal investigation against Moloi and his company for possible tax offences.
“Further investigation by the Hawks resulted in the arrest of Moloi on 15 November 2021. The investigation revealed that Moloi defrauded Sars by under declaring his company tax returns for the tax periods from 2014 to 2018. As a result, Sars was prejudiced and suffered a loss of about R6, 6 million,” said Matoti.
She said Moloi was sentenced on five counts of fraud to five years’ imprisonment, which is wholly suspended for five years on condition that he is not convicted of fraud and contravention of the Tax Administration Act committed during the period of suspension.
“On the sixth count, Moloi was sentenced to 36 months of correctional supervision,” said Matoti.
