Facilities management company Bosasa paid about 80 people monthly bribes with cash obtained through a money-laundering scheme‚ the commission of inquiry investigating state capture heard on Friday.

The commission‚ headed by deputy chief justice Raymond Zondo‚ was told that Bosasa would use elaborate means to secure cash for bribes. This comes a day after the commission heard that all contracts the company had with the state were tainted by fraud and corruption.

Former Bosasa chief operating officer Angelo Agrizzi testified that Bosasa would get cash from Jumbo Liquor‚ which would write out fraudulent invoices for alcohol.

"Jumbo Liquor would do an invoice to Bosasa for alcohol. The alcohol was not purchased and was never delivered‚" Agrizzi said.

He said an agent who arranged the cash would usually take a 5%-7.5% commission.

"The invoice would be put through as operational expense and expensed so it becomes tax deductable‚" Agrizzi said.

He said besides money-laundering‚ the scheme was part of efforts to evade the taxman.

In another example of illegal means used to get cash for bribes‚ the commission heard that Bosasa would cash cheques from a Metropolitan Funeral fund for its employees.

Agrizzi said this would amount to R300‚000 some months.

The commission heard that Bosasa would secure cash for illegal means by issuing cash cheques and cashing them in at banks.

The company also used fake invoices created from companies on the brink of liquidation‚ or start-up companies‚ to get cash through (its books).

Agrizzi said he had personal knowledge of these illegal transactions.

The hearing continues.

- TMG Digital.