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Insurance 'crook' nailed

By unknown | Feb 19, 2008 | COMMENTS [ 0 ]

Canaan Mdletshe

Canaan Mdletshe

An employee in the human resources department at the embattled Mahatma Gandhi Memorial Hospital in Durban has been suspended for allegedly colluding with insurance brokers to attract clients.

Already, Liberty Life has refunded most of the victims of a bogus broker.

Mandy Denton, Liberty Life spokesman, said the 12 other victims would be refunded shortly.

This comes after 12 cases of fraud were opened when some hospital employees discovered that deductions had been made from their salaries as premiums for Liberty Life.

The employees claimed they had never entered into any contract with the company.

Most of them confirmed they had met brokers claiming to be from Liberty Life on two occasions, but insisted they had never signed any contract with the company.

They said they were in the dark as to how their personal details had reached the company.

Captain Thembeka Luthuli confirmed that police were investigating 12 cases of fraud linked to Liberty Life, committed between December last year and this month.

She said the deductions totalled R10000. "We suspect that the fraudsters somehow got hold of the victims' salary slips," said Luthuli, adding that arrests were imminent.

Liberty's Denton said last week that five independent brokers had used clients' personal information to submit unauthorised applications for policies.

She said the company had sent a forensic investigator to KwaZulu-Natal to help police with the investigations.

Meanwhile, allegations of corruption have also rocked the hospital following claims that job seekers paid senior staff to get employment at the institution.

It is claimed the amounts demanded differed according to the job being sought.

These allegedly ranged between R500 and R10000.

Provincial department of health spokesman Chris Maxon has confirmed that an investigation into the claims was underway.


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