Insurance fraud accused granted bail

Durban - An Isipingo home affairs official accused of participating in an insurance fraud scam was granted bail of R2000 in the Durban Commercial Crime Court on Monday.

Bongeka Khanyile, 29, would appear in court again on February 8.

File photo. Credit: Independent Newspapers

Khanyile was the sixth person believed to be involved in a syndicate which cashed in on funeral policies, Colonel Vincent Mdunge said in a statement last week.

The syndicate allegedly used living people's identity documents to register them as deceased with home affairs.

One man's funeral policy, taken out with Momentum insurance company, was defrauded of R50 000.

Police arrested the first alleged syndicate member, Jackson Zungu, on December 12 in Pinetown.

John Mhlangu from Stanger, was arrested shortly after. Mhlangu allegedly passed on the victim's particulars to Zungu.

On December 13, Sibongiseni Thabethe and Mbongeni Majola were arrested in Durban.

Thabethe was arrested for a similar crime in October last year and released on bail.

On December 14, a fifth person, Patros Dlamini, was arrested.

Khanyile was arrested on Friday for allegedly stealing the relevant form from the department, then registering the living person's details so a death certificate could be obtained.

When all the relevant documents were ready, the claim was submitted and R50 000 was fraudulently obtained from the funeral policy.

The other suspects appeared in court previously. All but one was granted R1200 bail.

All were expected to appear with Khanyile on her next court appearance. - Sapa