Assets worth R59 million seized from alleged ponzi scheme orchestrators

The assets belonging to a group of alleged Ponzi scheme masterminds were attached following an order granted by the Gauteng High Court.

Johan De Clerk, Kelvin Cholwich and TJ Schoeman were charged with various forms of fraud for business dealings conducted between 2012 and 2016.

They are believed to have defrauded members of their scheme of roughly R100 million over those four years.

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A fourth man was also part of the alleged mastermind group, but Robert Paul Weimar died in 2017 before the commencement of the trial.

Game farms, vehicles and more confiscated

National Director of Public Prosecutions (NDPP), aided by the Hawks and the South African Reserve Bank, secured the attachment of R59 million worth of assets belonging to the group.

The assets were scattered around the country and ranged from vehicles to holiday home, and even a game farm.

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Those allegedly defrauded began to lay complaints in 2015, prompting investigations from law enforcement.

The accused were found to be conducting “the business of a bank” contrary to the relevant provisions of the Banks Act using a company called FinCapital.

Ponzi scheme modis operandi

The accused advertised ‘licence partnerships’ which promised passive income and investment opportunities with large returns, all of which were effectively laundered.

“In the NDPP’s court papers, it is alleged that the accused benefited and the respondents and/or individuals linked to them consequently received affected gifts derived from the Ponzi scheme,” stated Gauteng NPA spokesperson Phindi Mjonondwane.  

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The NPA’s Asset Forfeiture Unit (AFU) affected the order and the assets will be in the custody of a curator pending the outcome of the trial.

“Head of the Hawks in Gauteng, Major-General Ebrahim Kadwa, similarly commended the excellent collaboration between all three state agencies, particularly highlighting the excellent work culminating in the restraint order,” Mjonondwana concluded.