Mlangeni and Daguma were arrested on 5 June this year at their respective homes when warrants for their arrest were executed. The three were accused of colluding with a physiotherapist, Dr Jones Mothemola Modau, by siphoning the compensation fund and channelling the money into Modaus account and a friends driving school account. The company, previously known as Bosasa and now named African Global Holdings, was one of the most prominent subjects of the Zondo Commission a judicial inquiry into government and other high-level corruption during the 2008-2019 presidency of Jacob Zuma, who is on trial on separate corruption allegations. This post explores six common types of employee fraud: Credit card fraud Expense report fraud Payroll fraud Bribery Data theft Accounting fraud Here's how each may affect your business, and how to respond. Should an individual be declined to receive the grant, they have an opportunity to lodge an appeal. hbbd``b`SA* zHX@L? Podcast series: click here to find them all. In 2020 the Fund embarked on the follow the money project was close to R 900 million was recovered. "The complainant reported that she got information that her 26-year-old employee has photos of her documents [ID, bank card and an actual photo] on her (the . The commissioner appeared to believe that the employee had made an error by completing the form. BREAKING NEWS LIVE | More arrests in Thabo Bester escape case. A convenient time and BY Ivan Israelstam, Chief Executive of Labour Law Management Consulting. They are scheduled to be sentenced on 17 May 2022. More AP Africa news: https://apnews.com/hub/africa. THE LABOUR COURT OF SOUTH AFRICA, JOHANNESBURG JUDGMENT Reportable CASE NO: JR158/17 . Media enquiries:Makhosonke ButheleziCell:071 491 7236, Copyright 2023 Government of South Africa. 295 0 obj <> endobj He may be contacted on (011) 888-7944 or 0828522973 or on e-mail address: [emailprotected]. Mr Ngcobo was charged with dishonesty and/or falsification of overtime claims. You can cancel anytime and if you cancel within 14 days you won't be billed. This time can be equated to the golden hour, a period immediately following the commission of an offence when evidence is abundant and readily available to investigators, she said. READ |Man found guilty on 280 counts of fraud after card cloning crime spree across Western Cape. A 49-year-old general security manager has been arrested after he allegedly committed fraud to the value of R2.1 million in Potchefstroom in the North West, the Hawks said. 2023 (3.0.23103.7) 24.com. Some of the 15 counts of fraud include corruption, theft and money laundering. A newsletter dedicated to the best conversations and comments on News24. <>/Font<>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/MediaBox[ 0 0 612 792] /Contents 4 0 R/Group<>/Tabs/S/StructParents 0>> Not Reportable . Unforeseen circumstances that lead to a loss of income can be devastating for many people. Kindly take notice of our disclaimer policy published at the bottom of the home page of this website. fraud or misrepresentation or non-disclosure of material facts, his decision is unappealable. Below, Hinxman shared some insights into key questions you might have as an employer when taking action against employees suspected or alleged of having committed fraud. Tshwane: Heres your updated load shedding schedule for Tuesday, Daily devotion: Your bible verse and prayer for 2 May 2023, South Africa: Todays latest news and headlines, Tuesday, 2 May 2023, Load shedding on TUESDAY: Heres the UPDATED schedule, KwaZulu-Natal Weather: THUNDERSHOWERS and clouds TODAY, Gauteng Weather: Cool but mostly sunny day expected. It was then revealed she had compromising information about the woman and her family, he added. Offences and penalties. WhatsApp 060 011 021 1. Copyright Blue Sky Publications Ltd. All Rights Reserved. It might be argued that this was a type of fraud in the sense that he would have gained from it by dishonestly avoiding having to do the work necessary to complete the sample check. Nothing in any of Labour Guides websites is to be considered as rendering legal or professional advice. 1. Thereafter you will be billed R75 per month. It is a type of dishonesty that is normally committed in such a way that its very existence is concealed. The commissioner considered the evidence and held that the employer failed to prove that Mr Ngcobo had acted dishonestly and/or deliberately falsified his claims. He has also claimed he survived an attempt on his life when his coffee was laced with cyanide. The temptation is to dismiss every employee, who may have possibly been involved. Andre de Ruyter has spoken of corruption linked to the government and others at the utility and said Wednesday that unnamed sources who provided him with information feared for their lives. "The suspect allegedly received undue payments of approximately R2.1 million over a period of twelve months," she said. I hope the latest conviction and arrests send a strong message to other would-be fraudsters that the long arm of the law will always catch up with you. These are distinctly different reasons, and each has a distinctly different procedure to achieve a legally compliant dismissal. All JSE data delayed by at least 15 minutes. $~w'Rm@`HG3%9F1Lr1LzT[f$;6gBX4LRI@ The employee "self-dismissal" was found to be both procedurally and substantively unfair. Something went wrong, please try again later. Working together with law enforcement agencies, we will follow every lead pointing towards suspected fraud. Did You Know There Are Different Types Of Entrepreneurs? Where possible, people should use employment agencies to source helpers. There have been many judgments, over the years (both in South Africa and abroad), which have developed the policy and principles applied in such matters. The man was arrested in the early hours of Wednesday by the serious corruption investigation unit and was expected to appear in the Potchefstroom Magistrates Court to face charges of fraud and money laundering. On review, the Labour Court upheld the decision of the commissioner. In South Africa, sentencing is considered the primary prerogative of trial courts, which enjoy wide discretion to determine the type and severity of a sentence on a case-by-case basis. by Corn van Zyl 02-05-2023 05:30 18. 0 She was shot multiple times inside her car soon after dropping her daughter off at school and her story has become a rallying call. Comments will be closed 24 hours after the article is published. Go to: www.labourlawadvice.co.za. Then he goes explain what employers need to be able to prove to sustain a case, when there is a dismissal dispute lodged at the CCMA. %PDF-1.5 % PODCAST | Consexual with Dr Eve: Weak erections and dissatisfaction, how to treat erectile PODCAST | Consexual with Dr Eve: Is sexting cheating? Security breaches took a heavy toll on the industry, whose losses to online payment fraud were estimated at 20 billion U.S. dollars that year. a) thereof. Rabkin-Naicker J also observed that the Mr Ngcobos claims were approved by his line manager who had also recorded on email that she and Mr Ngcobo had learned a lesson from their mishaps. They face charges of theft and fraud in the awarding of PPE contracts. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Two employees who were dismissed by G4S have been arrested in connection with the Thabo Bester escape case. Thokozani Percy Skosana, 42, was a former employee of the Department of Labour and worked in the Unemployment Insurance Fund (UIF) sector. Mlangeni and Daguma were arrested on 5 June this year at their respective homes when warrants for their arrest were executed. Employers need to understand that legally, where they wish to infer that an employee committed fraud, they must at least be able to prove that the false act could not have been carried out in error. The Unemployment Insurance Fund in South Africa ensures that workers can access short term financial relief if they require it, by asking employers to contribute towards the Fund. hXmo6+pw@.uvAD# However, it is most unclear how an employee could logically complete an entire check confirmation form by mistake. Last year Ramaphosa was booed at a May Day rally - unions say things have only got worse, Net closing in: Two more arrested in connection with Thabo Bester escape, Critical changes made to SASSA payment dates for the month of May, Prof Dan Kgwadi, NWU's 'transformation driver', dies, Costa Titch: Ultra SA, emergency medical company deny claims of negligence in treating rapper, Here is what the ANCs elections strategy workshop in May will entail, After 4 years and R100m to fix broken municipalities, a lot of plans are in place, says Cogta, Child sex abuse ring: Police have already identified some of Ackerman's clients, Municipality allows sewage spill to flow through township for six months. As such, many businesses may have put in place a number of measures to detect and prevent fraud from being committed against them by an outsider, she said. Credit card fraud Giving business expense cards to employees is a great way to build trust and empower your staff with their responsibilities. The death of Babita Deokaran, an employee of the health department in Gauteng province, already underlined the dangers for whistleblowers in South Africa. If you've got your eye on a promotion or are looking to better your skills set for the job market, undergoing training in a specific field or a specific skill can be helpful for your career in the long run, and will look good on your CV. are often trusted more than are junior employees. Thokozani Percy Skosana, 42, was a former employee of the . <> However, joint efforts by the UIFs investigators, law enforcement agencies at the Fusion Centre such as the HAWKS, National Prosecuting Authority (NPA), and the Financial Intelligence Centre (FIC) led to the couples successful arrest and conviction. '|+ldZ*?}vOIZ8R*ti )zqnW!+a)rH,7`p7lP&s`.IQyT0[Oh[Ww4[:[/Rz~ LJtA &HOH=~U0VM> [~>H) aoVUUI3U?>|UEcUmDV. Who needs to preside over these proceedings? A third person has been detained by the Directorate for Priority Crimes Investigation (Hawks) in connection with alleged fraud of R1-million perpetrated by an employee at the Standard Bank branch in Harrismith in the Free State. The legal procedures that an employer is required to follow in implementing dismissals for misconduct, retrenchments and poor work performance are all different. It's that time of the year, applications season. The Directorate for Priority Crime Investigation (Hawks) pursued the case after it was reported. At the CCMA, Mr Ngcobo challenged the substantive fairness of his dismissal. Our offices are for administrative purposes only, no visitors will be accepted without an appointment. No matter the size of a business, fraud can have a significant impact on its reputation, operations and revenue, says Lucinda Hinxman, lead consultant of Employment & Labour at law firm CMS South Africa. In December 2012, Mr Ngcobo was assigned to work on a project with the Head of Basic Haematology Research Group and he was expected to work overtime. (1) Any officer of Statistics South Africa who, in the course of his or her employment in terms of this Act. The Hawks have arrested two people in connection with R14m PPE tender fraud at the National Health Laboratory Services (NHLS). Employers tend to charge employees who have received financial gain from misconduct with dishonesty or fraud even in cases where the benefit can be attributed to human error or negligence. Many universities in South Africa are now taking applications for the 2024 academic year, here's a list of them and how you can apply. Although benefiting from a misconduct financially aggravates the misconduct, it does not always result in a finding of dishonesty or fraud. Knowing when they will receive their money is critical for beneficiaries of the grant as it will inform them how to manage their funds. LISTEN | Thinking the unthinkable: What if Siya Kolisi cant make the World Cup? Buying a home: Are deposits still needed? Millions of unemployed individuals benefit from the Social Relief of Distress grant every month. The Global Initiative Against Transnational Organised Crime counted a total of 1,971 assassination cases in South Africa between 2000 and 2021, with whistleblowers accounting for many of the . Police . The ombud investigated more than 2,880 banking fraud related cases last year, an increase of 7.5% from 2020. 335 0 obj <>stream Employees have access to highly experienced and skilled trade union officials to represent them at CCMA. Are you an IEB learner looking to improve your matric results or unable to sit for the exams? . We will not tolerate the siphoning of workers benefits by unscrupulous individuals. 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But, they all contribute to the economy and create jobs. The project is expected to resume in April 2022 upon the appointment of audit firms and it is anticipated that additional recoveries will be made, and more arrests will take place as fraudulent claims are uncovered. This week, Ivan Israelstam explains the legally distinct reasons for dismissal: for misconduct, for poor work performance, and for operational requirements. TheSouthAfrican.com is all about South Africa and the stories that affect South Africans, wherever they are in the world. It was established that he had not, in fact, conducted that check and that he should not have completed the form. endstream endobj startxref Ex-Apple employee owes $19 million for elaborate fraud scheme . A government health department employee who warned of illegal dealings worth nearly $50 million was shot 12 times in the driveway of her home. uzs^Ksl:ggo]]H}e]=&3s{u:>S}G:?1>$A2zz?0zBan'7. ", Levels of public confidence in our law enforcement capabilities, not to mention the political will to hold criminals and the corrupt accountable, have dropped to an all-time low, Corruption Watch executive director Karam Singh said. In the case of CEPPWAWU obo Limba vs Consol Glass (2009, 5 BALR 431) the employee was dismissed for fraud after he completed a form, wherein he claimed to have conducted a sample check. To prove fraud, the employer must be able to prove misrepresentation, unlawfulness, actual or potential prejudice and intention. Millions of unemployed individuals rely on the governments social support grant, and this monthly financial support is associated with positive effects on poverty and inequality. Without any assurance for my safety from our government, combined with the fact that none of the parties I implicated have been prosecuted, it is unlikely that I can return. Through this company, he registered ghost employees so that he could claim UIF benefits on their behalf, when in fact it was going into his pocket. Williams testified before the Zondo Commission implicating about 39 parties in corrupt activities at the countrys tax authority, the South African Revenue Service. A US judge ordered a South African executive to pay more than $3.4 billion in restitution and fines for a fraud scheme involving Bitcoin the highest-ever civil monetary penalty in any US . How To Apply To Rewrite IEB Matric Papers, Beware Of Retrenchments For Poor Performance, How To Check The Status Of Your NSFAS Application, Here's The Sassa Grant Payment Schedule For 2023/2024, 2024 Applications Are Now Open At These Universities, April Sassa Grant Payments Continue Today, often have easier access to bigger amounts of money, can cause great damage to customer relations, can be in a better position to cover up irregularities. However, it can often be the case that businesses are not as prepared to deal with cases of fraud that have been committed from within the company and lack clear and fully implemented processes in place. A new wave of fraud is targeting bank customers and the number of people falling victim . With a continuing remote work environment, instances of misconduct have become much more exposed, as the checks and balances businesses have put in place to ensure that working from home is safe and secure, have brought increased oversight into business and employee operations, Hinxman said. is guilty of an offence and liable on conviction to a fine not exceeding R10 000, or such higher amount as is determined from time to time by the Minister of Justice as contemplated in section 1 (1) (a) of . To date, there have been four convictions of individuals who have defrauded the UIF of Covid-19 TERS funds, and more are expected as 15 cases have been referred to the SIU for further investigation. "The supervisors allegedly recruited about 56 ghost employees who were paid approximately R5 000 per month. By Ivan Israelstam, Chief Executive of Labour Law Management Consulting. The CFTC charged South Africa-based Cornelius Johannes Steynberg with fraud in June 2022, alleging the "controlling person" at MTI accepted 29,421 BTC (valued at more than $1.7 billion at the time . "Failure to do so could result in huge losses and even endanger their lives or that of their families.". An employer must be prepared to look beyond the conduct and consider the explanation provided by the employee during the investigation or at the disciplinary enquiry. This material may not be published, broadcast, rewritten or redistributed. In this matter, an employee was charged with misconduct for being absent for four or more days without a valid reason, noted law firm Webber Wentzel. Journalism strengthens democracy. His son, Thomas Murray, who worked with his father, was declared dead at the scene. Riebeek-Kasteel pupils get swimming lessons in NSRI shipping WATCH | 10 000 Rwandan women help fight against malaria, and can earn a wage doing it, Predict the winners of two FA cup semi-final ties and you could WIN with Edgars, Energy access will be a key discussion point at Enlit Africa, Flexibility, technology and not wasting a crisis: Tips for future-proofing business. Thereafter you will be billed R75 per month. Legal officials, public supporters, and his associates demanded . Financial Implications For Employers Who Lose Unfair Discrimination Matters, How To Register Your Company For UIF & CF Using BizPortal. Choose from our range of newsletters to get the news you want delivered straight to your inbox. READ |Foreign nationals nabbed by Hawks and FBI for romance scam face extradition to the US. The latest conviction is against the backdrop of a recent court appearance of two suspects at the Pretoria Specialised Commercial Crimes Court after they received R2,7 million from the UIF, but allegedly failed to use the money in line with the Memorandum of Understanding (MOU) signed with the UIF. Charged with more than 80 counts of fraud They were consequently. During arbitration, he admitted to claiming overtime for time spent outside the workplace during his lunch hour however he explained that his actions were not dishonest and intentional and had apologised for the transgressions. Address: Riverbank House, 1 Putney Bridge Approach, London, SW6 4TJ. The Court additionally ordered him to pay the spent money back to the department. "Fraud" is a criminal charge and has criminal elements to prove. Copyright Blue Sky Publications Ltd. All Rights Reserved. The Hawks investigation revealed that Daguma utilised some of the money to buy a Nissan NP200 (bakkie), which he sold for R120 000 on 9 June. Reaction involves taking seriously all reports or hints of irregularities, swift action and, above all, building a cast iron case against the accused. It is the lowest form of unethical behavior to ask a citizen to risk their life for our country and then not offer them protection when they face retaliation.. %%EOF 2023 (3.0.23103.7) 24.com. PRECCA also imposes a statutory reporting obligation in instances where suspicion exists . In fact, the Global Economic Crime and Fraud Survey showed that 41% of economic crimes in South Africa were committed by employees, compared to only 36% by external fraudsters and 21% a collusion between the two. The liability of an employer, however, under circumstances where an employee commits an intentional wrong entirely for his or her own purpose, is a very different kettle of fish. Simply put, the arbitrator found the employee's dismissal unfair once he was dismissed for a misconduct which he was never charged for. The court, in executing this mandate, has developed broad sentencing principles known as the "triad of Zinn". What's your take on the South African nationals trapped in conflict-ridden Sudan? Carlson said he had no doubt there was fraud in the 2020 election, but said Trump and his lawyers had so discredited their case - and media figures like himself - "that it's infuriating . Rapid response in these situations can help employers avoid the possibility of losing out on valuable information or destruction of key evidence as a result of inappropriate handling of processes or inadvertently tipping off a suspect.. In order to prove fraud the employer must show that the accused employee was the one who committed the act and that he/she did so for gain. In either instance, a capable chairperson will be able to recognise that an employer is not a legal representative and can identify the true misconduct of the employee.. "Her passport details, banking information and daily routine, among others, were already given away," Mpumalanga Community Safety, Security and Liaison MEC Vusi Shongwe added. Celebrating World Book Day with trees and TikTok. This week Ivan Israelstam gives examples of fair discrimination. By submitting your email address to us, you agree to receive our newsletters and course updates. They were found guilty on 487 counts of VAT fraud and alternative charges such . On review the Labour Court (LC) dismissed the employer's application to set aside the award. The survey went on to say that South African organisations reported that senior and middle management commit 77% of all internal fraud and that the profile of the typical fraudster is; Male Aged between 31 and 40, Has worked for his employer for more than 10 years Has acquired a university degree. The annual International Fraud Awareness Week last November highlighted an increasing problem that organisations around the world are . Mogale said it reportedly happened between 2019 and 2020. However, labour law expertise is required to ensure that the dismissal is both procedurally and substantively fair. This means that those frauds, for which employees have been caught are likely to be only the tip of the iceberg. To prove fraud, the. This helps to safeguard the integrity of the investigation, any evidence, as well as any potential witnesses, said Hinxman. We also thank the public for being vigilant about the abuse of Covid-19 TERS funds by blowing the whistle to us; said Maruping.