Bushiri fraud case: Co-accused ‘paid off R8m loan while behind bars’

Willah Mudolo, one of Shepherd Bushiri’s co-accused, managed to repay a R8.2 million loan – taken out against the property that he intends to use as security if granted bail – while being held in custody.

Mudolo appeared in the Pretoria Magistrate’s Court on Monday for the continuation of his bail application, with the State opposing it. Mudolo, his wife Zethu, self-proclaimed prophet Bushiri and his wife Mary, and Landiwe Ntlokwana face multiple charges of fraud, theft, and money laundering in relation to an investment scam that allegedly defrauded investors to the tune of R102 million.

Bushiri and his wife have since fled the country, returning to their homeland of Malawi after being granted bail by the Pretoria Magistrate’s Court in November.

Mudolo, who is a Zambian national, is the only accused still in custody after his wife and Ntlokwana were successful in their bail applications which were heard at the same time as the Bushiris’ application.

ALSO READ: Co-accused in Bushiri fraud case conspired to bribe court officials, cop tells court

Mudolo previously told the court that the bond on his property in South Africa had been paid off and that he intended on pledging the premises as security for his bail.

Loan

However, one of the chief investigators in the case who took the stand on Monday opposing the bail application told the court that Mudolo had an outstanding loan of R8 248 404.88 which was taken out against the property.

The outstanding balance was paid in full while Mudolo, who was arrested on 17 October, was incarcerated in Kgosi Mampuru prison.

“This indicates to me that accused number 1 [Mudolo] has access to vast amounts of funds even while incarcerated and therefore remains a major flight risk,” the investigating officer told the court.

In an affidavit, the company which granted Mudolo the loan confirmed that the outstanding amount had been paid and also listed the dates when payments were made by a company, of which Mudolo is a director.

After his arrest, large amounts including a payment of R2 million were made, according to the affidavit.

Flight risk

The investigating officer also detailed evidence that Mudolo on three different occasions, shortly before his arrest, had visited OR Tambo International Airport. These trips to the airport were conducted on 13, 16 and 17 October after Mudolo was made aware that he was being investigated.

ALSO READ: Major bad news: Malawi signs Bushiri’s extradition papers

According to the investigating officer, Mudolo’s passport was scanned for a flight to Dubai. He then called Mudolo’s attorneys who called Mudolo to tell him not to board the flight.

On 16 October, Mudolo’s passport was scanned again for another flight to Dubai.

The Hawks then went to arrest Mudolo, but he had left the airport without boarding the flight, the court heard. A day later, his passport was scanned for a third time, but he was arrested before he could board. His wife was arrested at their home in Sandhurst on the same day.

CCTV footage was also handed in as evidence which captured Mudolo at the airport on the days that his passport had been scanned.

Passports

The investigating officer also testified that Mudolo had more than one passport, one of which had the wrong date of birth registered. This passport was allegedly used to register businesses, open bank accounts, and used to get married to his wife, who is a South African.

He had also used this passport to travel extensively as recently as 2018, the court heard. It was placed on record that this passport, and at least one other, was still in the possession of Mudolo.

The court also heard that Mudolo has property and a bank account with funds in the United Kingdom which further bolstered the State’s stance that he was a major flight risk.

The court was told Mudolo and his wife are accused of playing a crucial role in the alleged investment scam and that they can still be prosecuted successfully even without the Bushiris being present in court.

This was in reply to the defence who said it was unknown how long the extradition process would take and if it would even be successful, therefore prejudicing Mudolo, who will be in custody until the conclusion of the trial if not granted bail.

It has also been alleged that Mudolo had access to cellphones while in custody, and that one of the phones was used to communicate with an unknown person who spoke about having contacts that could facilitate a bribe in court. The bail application has been postponed to Tuesday, where the defence will cross-examine the investigating officer.

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