×

We've got news for you.

Register on SowetanLIVE at no cost to receive newsletters, read exclusive articles & more.
Register now

Businessman convicted of submitting false VAT return claims to spend first night in jail

Cape Town businessman Johan van Staden who defrauded the SA Revenue Services of more than R250-million in fictitious VAT return claims will spend his first night in jail following his conviction on Monday.

The Cape Town High Court found Van Staden guilty of fraud‚ racketeering‚ money laundering and reckless trading. Van Staden and five others faced 192 charges for making false tax refunds to SARS‚ worth R280-million‚ between 2005 and 2008 and received just over R250-million.

 But only Van Staden was convicted. The court slated him for living large‚ syphoning the money into his family trust and even branded him a liar.

 “[Van Staden] professed that he knew very little of the financial side of the companies‚” said Judge Anton Veldhuizen.

“This is not true. He was well aware of every payment the company received from SARS. In all the transactions the hand of [Van Staden] is evident. The part he plays runs like a golden thread through all of them.”

The six have been on trial since March last year‚ two others were discharged earlier. The state called about 40 witnesses to bolster its case.

 According to the prosecution‚ Van Staden spent the money one two farms‚ numerous vehicles including luxury cars‚ game and an aeroplane which were registered in his family trust.

 Van Staden also chartered a luxury jet for a holiday in Mauritius with his family and took some of his employees to watch the 2007 Rugby World Cup in France. He ran a multi-million rand fishing company‚ Indo-Atlantic Group‚ as a front to submit false VAT returns.

Van Staden will apply for bail on Tuesday pending the sentencing procedures. His counsel Carlo Viljoen said he had expected the judgment to run for more than a day and needed time to prepare for the bail application.

Meanwhile‚ the Asset Forfeiture launched a confiscation inquiry to determine how much Van Staden benefited from the crime. Viljoen indicated that he will oppose the application.

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.