Kimberley - Prosecution is still unable to determine the exact benefit that was derived through the awarding of government leases to the Trifecta group of companies as it does not have access to all the supporting financial documents.
The CEO of Trifecta Holdings (Pty) Ltd, Christo Scholtz, and former ANC provincial chairman John Block, who were found guilty of corruption and money laundering, appeared in the Northern Cape High Court on Wednesday during pre-sentencing procedures.
The Asset Forfeiture Unit (AFU) issued a draft order to seize R580 million of Scholtz’ assets while he is only prepared to agree to an amount of R12 million.
The State discovered that another seven leases, involving R374 million, were concluded with Trifecta during the same period under investigation. This did not form part of the trial.
The State alleges that these leases were entered into in a “similarly corrupt manner”, where government officials received gratifications.
The AFU stated that it had on Wednesday reached a settlement over the seizure of Block’s assets, where it intended to confiscate his fixed and immoveable assets amounting to R2.7 million.
Senior Advocate Hendrik van der Linde, legal representative for the AFU, pointed out that in the event that the accused were later acquitted, the court was still entitled to conduct similar inquiries.
“The golden thread is the Trifecta group that acted as a vessel for criminal activities.”
He added that properties belonging to Trifecta have since been sold to third parties on public auction.
“The benefits from these additional leases that were entered into, have not been accurately recorded.
“The accused were requested to provide the financial documents in February but no response was received. We do not have any documents dated after 2012. Forensic auditor, Trevor White, indicated that he was not in a position to subpoena these documents. He has an uneasy feeling because he has not been able to verify the appropriate benefit, due to the absence of financial documents.”
Van der Linde requested that the matter be referred for oral evidence to allow for accountants from the defence and State to exchange documents and crunch numbers.
“The benefits were accrued as a result of criminal activity, while the R374 million payments for the further leases is a substantial amount of money. If the experts do not arrive at an agreement, there are no guidelines as to how it will be dealt with by the court.”
Advocate Jaap Cilliers SC, legal representative for Scholtz, stated that while the State was not entitled to the financial documents, they would try and assist them.
“White has all the documents at our disposal. Our financial expert will meet with White and they will issue a joint statement on the conclusion of the determined amount.”
He later indicated that the police and curator had confiscated all their documents and that they had none in their possession.
“The State has all our South African Revenue Service documents and the insurance paid for the relevant properties. The figures are based on the hearsay evidence of White. It could delay proceedings for at least another two years to lead evidence and to allow witnesses to testify on the further seven-month leases that were not included in the current trial.
“It will not be in the interest of justice to extensively prolong the matter.”
He added that they only received a copy of the documents from the AFU on Tuesday, instead of April 8, as it had been served on Gary Botha Attorneys, who had since closed his offices as he was no longer practicing in Kimberley.
“If there is suspected criminal activity involving the additional leases, let it be prosecuted separately in a new trial.
“The two legal teams will work out a programme to ensure that the matter is expeditiously dealt with.”
Judge Mmathebe Phatsoane will deliver her ruling on the application on Thursday.
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