Petro SA fraudster fails to pay fine

Published Sep 10, 2014

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Cape Town - The Bellville Commercial Crimes Court on Wednesday instructed an employee of state-owned company Petro SA to appear in court or face an eight-year jail term after she failed to repay money she stole from the company.

Last year, Alice Mlambo-Mgudlwa, 30, was sentenced to eight years in prison, suspended for five years on condition that she repay R207,400 she stole from Petro SA in full by the end of that month.

She failed to do so, and an application for the suspended jail sentence to be put into operation was scheduled for Wednesday, in the Bellville Specialised Commercial Crime Court.

However, Mlambo-Mgudlwa failed to appear.

Defence lawyer Leon van der Merwe said she was in hospital and was unable to attend the proceedings.

At the request of prosecutor Denzyl Combrink, a warrant was issued for her arrest, but Magistrate Sabrina Sonnenberg ordered that it be executed only if she again fails to appear in court on November 10.

In December, Mlambo-Mgudlwa pleaded guilty to eight counts of fraud and 11 of money laundering in plea bargain proceedings.

She was placed under house arrest for two years, and was ordered to do community service in the form of cleaning and maintenance at the Table View police station.

Mlambo-Mgudlwa, who has a BCom Marketing degree, was a graduate intern at Petro SA, and defrauded the company over a period of four months.

According to the charge sheet, Petro SA runs a corporate social investment programme (CSIP) that makes donations and sponsorships to needy and disadvantaged schools.

Mlambo-Mgudlwa started a fraudulent scheme with Lungisa Mtsha, the principal at Phumelela Day Care Centre in King Williams Town, Eastern Cape.

Mtsha's role was to encourage schools and day care centres in King William's Town to apply for Petro SA sponsorships.

Mtsha had to then falsely inform the schools and centres that there had been overpayments, which had to be repaid.

The repayments were then channelled into Mlambo-Mgudlwa's bank account, with some going to Mtsha as a reward for her part.

According to the charge sheet, the head of the CSIP had the authority to approve donations of up to R500 000.

Sapa

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