Hawks swoop in on VBS-linked mastermind after multibillion-rand bank fraud

The Directorate for Priority Crimes Investigation (the Hawks) are rounding up several top VBS bank insiders, with some of them already in custody.

National Director of Public Prosecution advocate Shamila Batohi, along with the national head of the Hawks, Lieutenant-general Godfrey Lebeya is expected to brief the media on the progress of cases handled by the Hawks at 12.30pm.

The huge fraud caused outrage across the country, after it was revealed how easily money was being looted from the bank and used to finance the extravagant lifestyles of the beneficiaries of the fraud.

Those being arrested include board members and the chief KPMG auditor for the bank, according to News24.

They are expected to appear in court this week.

UPDATE: WATCH: Shamila Batohi gives update on VBS investigation after kingpin’s arrest

Among those expected to be arrested is former VBS and Vele Investments chairperson Tshifhiwa Matodzi, the alleged kingpin of the theft of depositor’s funds from the bank.

Of the R2 billion that was taken, Vele allegedly received R936 million, which was used to purchase several other companies.

Matodzi himself, forensic investigations found, received R325 million.

Most of the funds stolen represent investments made by numerous local and district municipalities from around the country.

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