Courts

Former Eskom employee and supplier jailed for 20 years for fraud

A former Eskom employee and supplier has been sentenced to 20 years in jail on fraud and corruption charges.

The pair were found guilty of 53 counts of fraud and theft that cost Eskom R35 million at the Palm Ridge Commercial Crimes Court on Tuesday.

Former Eskom Financial Controller Mosai Barnard Moraka and service provider Victor Vilosi Tshabalala, will have to forfeit their respective properties to the state.

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The properties were placed under a preservation order in November 2021 and will now be sold, the proceeds of which will be paid to directly to Eskom.

The pair were immediately taken into custody on Tuesday have begun serving their sentence.

“This is another welcome milestone in Eskom’s efforts to weed out corruption within its ranks,” said Eskom’s Group Chief Executive André de Ruyter.

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“While the sums involved in this particular case are relatively modest, the conviction and sentencing of these criminals should send a strong message to all Eskom employees that corrupt elements have no place in the organisation.

“This is only one of the many cases of corruption that Eskom is pursuing involving staff,” warned de Ruyter.

Moraka and Tshabalala were arrested in October 2019, following an investigation initiated by Eskom’s Audit and Forensics department.

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“What is most pleasing about this judgment is that the taxpayers will recover some of the stolen funds through the sale of the ill-gotten property belonging to the convicts,” said De Ruyter:

In handing down the sentence, Magistrate Emmanuel Magampa said Moraka and Tshabalala were motivated by greed, and that he had no choice but to impose the guaranteed 20 years imprisonment for the convictions. 

“As an Eskom employee, Moraka was in a position of trust, which placed in him the duty not only to be vigilant and diligent in dealing with Eskom’s resources but also to be very protective and to jealously safeguard against theft,” said Magampa.

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Magampa said the crime of fraud at state-owned companies drains the country’s resources through the billions in cash bailouts that the government must keep advancing to stricken parastatals.

Moraka and Tshabalala had fleeced just under R35 million from Eskom in a corruption scam that occurred between January 2016 and September 2018.

The pair had created fictitious invoices and payment for services not rendered to Meagra Transportation, a company owned by Tshabalala.

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Moraka was convicted for fraudulently creating 53 invoices and then paying Meagra Transportation.

The proceeds of the crime were squandered on expensive overseas travel – including holiday trips to places like Disneyland in the United States and Paris in France, and the acquisition of luxury motor vehicles and other properties.

Compiled by Narissa Subramoney

NOW READ: R745m Kusile corruption case: Former Eskom executives due in court

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By Citizen Reporter
Read more on these topics: corruptionEskomfraud