Clients visit a branch of VBS Mutual Bank on March 12, 2018 in Thohoyandou, South Africa. Picture: Gallo Images / Sowetan / Antonio Muchave
The trial against two former high-ranking officials of Collins Chabane Local Municipality implicated in the VBS Mutual Bank scandal has been postponed to next week.
Charlotte Ngobeni and Eddie Makamu were due to have their trial start on Thursday in the Palm Ridge Commercial Crimes Court, but the matter was delayed to allow the defence to get outstanding documents related to the case.
Ngobeni is a former municipal manager at the Limpopo-based municipality while Eddie Makamu was the chief financial officer.
During Thursday’s brief court proceedings, acting Judge Lesego Makolomakwe postponed the trial to next week Wednesday.
This after Judge Makolomakwe was told by State prosecutor Advocate Hein Van Der Merwe that the National Prosecuting Authority (NPA) was in the process of sending outstanding copies of the disclosure to Ngobeni’s newly appointed lawyer, Nandu Malumbete.
Ngobeni and Makamu face two counts each of contravention of the Municipal Financial Management Act, while Ngobeni faces four other counts of corruption.
The former municipal officials are accused of investing R120 million on 23 October 2017 into the now-defunct VBS Mutual Bank.
A 2018 forensic investigation report into the affairs of VBS Mutual Bank revealed large-scale looting and recommended that the bank’s former executives and government officials who invested in the institution should face criminal charges and be held liable in civil proceedings.
The report by Advocate Terry Motau, titled The Great Bank Heist, was commissioned by the South African Reserve Bank (Sarb).
At least 20 municipalities in Limpopo, North West, and Gauteng, lost nearly R1.6 billion, after illegally investing with the bank.
Compiled by Thapelo Lekabe
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