26 in the dock over pension fraud

JOHANNESBURG – Twenty-six businessmen, together with the country’s biggest pension fund administrator, are due to appear in court on Monday on charges of siphoning off up to R800 million from various pension funds.

The case relates to the alleged illegal removal of surplus money from nine pension funds. So serious is the trial – one of the biggest in the history of white-collar crime in South Africa – that the former director of prosecutions, Jan d’Oliveira, has been brought out of retirement to prosecute the case.The final tally of how much was siphoned off would be known when Tony Mostert, the curator of the affected pension funds, completed his investigation, Financial Services Board (FSB) spokesperson Russel Michaels said.The amount involved could be between R200 million and R800 million.Summonses to appear in court were served on Alexander Forbes and some of its senior executives on February 9, according to a February 10 article by Personal Finance, Business Report’s sister publication.Alexander Forbes administered the Lifecare Pension Fund, which the prosecution alleges was used to park the money siphoned off from pension fund surpluses.Jurgen Boyd, the head of collective investments at the FSB, said the charge sheet would only be available on Monday.Thirteen of the 26 businessmen have already appeared in court on a string of charges, including money laundering, theft, fraud and conspiracy to commit fraud and theft.They are out on bail.Business ReportSo serious is the trial – one of the biggest in the history of white-collar crime in South Africa – that the former director of prosecutions, Jan d’Oliveira, has been brought out of retirement to prosecute the case.The final tally of how much was siphoned off would be known when Tony Mostert, the curator of the affected pension funds, completed his investigation, Financial Services Board (FSB) spokesperson Russel Michaels said.The amount involved could be between R200 million and R800 million.Summonses to appear in court were served on Alexander Forbes and some of its senior executives on February 9, according to a February 10 article by Personal Finance, Business Report’s sister publication.Alexander Forbes administered the Lifecare Pension Fund, which the prosecution alleges was used to park the money siphoned off from pension fund surpluses.Jurgen Boyd, the head of collective investments at the FSB, said the charge sheet would only be available on Monday.Thirteen of the 26 businessmen have already appeared in court on a string of charges, including money laundering, theft, fraud and conspiracy to commit fraud and theft.They are out on bail.Business Report