R37m Estina fraud case against Gupta associates postponed

Another case linked to the failed Estina Dairy project in the Free State is in court, with two suspects linked to the notorious Gupta family facing serious charges.

According to the Investigative Directorate (ID) spokesperson, Sindisiwe Seboka, two suspects were charged with fraud involving R37.7 million. She said the case against the Gupta associates, Kamal Vasram and Saliesh Indurjeeth, was postponed to 27 September 2022 for pre-trial proceedings at the Pretoria Magistrate’s Court.

The postponement in the matter was to allow the defence to request further particulars. 

According to Seboka, the pair also faces charges related to the contravention of the International Trade Administration Act and the contravention of the Exchange Control Act. Currently there are two separate cases linked to the failed Estina project in the Free State High Court.

The two cases include the Rekgonne Community Projects where it’s alleged that in June 2014, the Rekgonne Community Projects entered into an agreement with the Department of Agriculture to implement all projects on behalf of the department for a period of two years. 

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Hawks spokesperson, Katlego Mogale, previously confirmed to OFM News that between January 2012 and December 2016, the department is said to have paid over R244 million to Rekgonne Community Projects, as well as into some of the suspects’ bank accounts.

Another case includes a company of the Gupta lieutenant, Iqbal Sharma. It’s also alleged that in 2011, the Free State Agriculture Department paid almost R25 million to Nulane Investments, which was owned by former Transnet board member, Sharma, for the Vrede feasibility study. Nulane Investments – represented by Sharma’s brother-in-law Dinesh Patel – then negotiated and subcontracted the same feasibility study to forensic auditing firm, Deloitte, for R1.5 million.

They went further and subcontracted the work – already carried out by Deloitte – to Gateway Limited and paid them R19 million. The state alleges the funds were thereafter laundered into varied accounts, including that of Islandsite Investments. It is for the money laundering that allegedly occurred that the Gupta family has now been linked to the case.

This article was republished from OFM News with permission