Gupta lawyer Van der Merwe implicated in fraud, corruption case

Gupta family attorney Gert van der Merwe is reportedly a state witness seeking indemnity in a R16-million fraud and corruption trial involving a former Limpopo MEC and businessman, EWN reported on Tuesday.

According to the report, Van der Merwe is said to have sought indemnity from prosecution in terms of Section 204 of the Criminal Procedure Act after he was arrested in 2014. In an affidavit, he reportedly revealed how he laundered money through his attorney’s trust account between then Limpopo health MEC Miriam Segabutla and businessman Johnny Lucas.

Segabutla is accused of taking kickbacks from the businessman to secure tenders in 2010.

Van der Merwe appeared in the Pretoria Specialised Commercial Crimes Court with several co-accused before being released on bail of R25 000.

The National Prosecuting Authority (NPA) later withdrew the charges against him on condition that he made a full disclosure of his involvement in the alleged crimes, for which he may be granted indemnity and avoid facing trial.

“In a section 204 affidavit, Van der Merwe describes how a businessman paid tens of thousands of rands into his attorney’s trust account. He then used those funds to settle the personal debt of Segabutla, transactions which formed the basis of money-laundering charges.

“Among these debts were payments to the South African Revenue Services (Sars) and the MEC’s daughter’s school fees at an upmarket Pretoria school,” the report stated.

In one instance, Van der Merwe apparently stated in his affidavit that a bag containing R100 000 in cash was dropped off at his offices and he personally delivered it to Segabutla at Sheraton Hotel.

He has denied any involvement in money laundering with his current clients, the Guptas, and their investment holding company, Oakbay. The NPA said Van der Merwe had not yet testified in the case.

Media attack

In a statement released by Van der Merwe on Monday morning, he denied that he “knowingly‚ intentionally or actively participated in any criminal activities”.

He hit back at the media as well, particularly the EWN article, saying he was portrayed in the report as “begging for forgiveness following admissions of fraud and money laundering”.

Van der Merwe said due to his representation of the Gupta family, the local media clearly “portrays perceptions as reality, and society is force-fed with what the media presents as fact in support of now well-established political agenda (sic)”.

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