Alleged fraudsters' case postponed

Wednesday, October 5, 2011

Pretoria - The case against three men accused of defrauding the Department of Labour's Compensation Fund for millions of rands was postponed yesterday at the Pretoria Specialised Crime Court, to 19 October.

The postponement was to allow one of the accused an opportunity for disclosure.

The defendants are on a R3 000 extended bail. They are facing 22 counts of fraud of more than R3.8 million and 28 counts of money laundering amounting to more than R860 000.

The alleged fraudsters stand accused of defrauding the Fund by changing the personal details of claimants and using intricate processes to channel payments to assumed accounts.

Two of the accused are former employees of the Compensation Fund and a medical practitioner (physiotherapist).

Last month, one of the accused fired his lawyer on the eve of the start of the trial when he was supposed to plead. The lawyer was seconded to him by the Legal Aid Board and has since been provided with a replacement following another request to the Board.

The three accused were expected to plead on August 17. However, the trial was delayed after the accused cited a number of excuses and the case was postponed.

The Compensation Fund is a business unit of the Department of Labour. It covers for compensation of workers injured on duty or diseases sustained or contracted by employees during the course of occupation.

The Fund also makes provision for cover against death resulting from injuries and diseases sustained on duty.