MAN SENTENCED FOR FRAUD AND MONEY LAUNDERING

02 July 2025

MAN SENTENCED FOR FRAUD AND MONEY LAUNDERING

Molopo, North West – The Specialised Commercial Crimes Court sitting in Molopo has sentenced Patrick Segalo (52) to direct imprisonment following his conviction on seven counts of fraud and seven counts of money laundering. The court consolidated all counts for sentencing and imposed 10 years’ imprisonment for fraud, five of which are wholly suspended for five years, and an additional five years for money laundering. The sentences will run concurrently, resulting in an effective five years of direct imprisonment. Segalo was also declared unfit to possess a firearm.

The conviction arises from Segalo’s time as chairperson of Motswedi Financial Services Co-operative Limited, an entity established to serve the Motswedi community by managing pension withdrawals, issuing loans, and administering social grant payments. As one of the account signatories, Segalo had access to the co-operative’s finances. Investigations revealed that between 02 November 2020 and 19 October 2021, large sums of money were unlawfully transferred from the entity’s accounts to those of his then co-accused, Shoheb Shaick, who was convicted and sentenced in a separate matter last year. Shaick, in turn, moved the funds through Seleri Enterprise, a shell company used to launder money stolen from Motswedi Financial Services. More than R1 million was siphoned through this scheme.

Segalo pleaded guilty to all charges. In aggravation of sentence, Senior State Advocate Theo Moetaesi argued that Segalo directly benefited from the crimes, which were well-orchestrated and committed over an extended period. He highlighted the devastating impact on the Motswedi community, including the loss of trust in the co-operative and significant financial harm. Advocate Moetaesi urged the court to impose a sentence that would restore faith and serve as a warning to would-be offenders.

In delivering judgment, Magistrate Okaeng Mothibi noted that despite Segalo’s guilty plea, he failed to demonstrate genuine remorse and offered no explanation for his actions, particularly given the position of trust he held within the organisation.

Welcoming the sentence, Dr. Rachel Makhari, Director of Public Prosecutions in the North West, stated: “This sentence should send a strong message to those who abuse positions of trust for personal gain. The NPA remains unwavering in its commitment to fight commercial crimes and protect the interests of vulnerable communities.”

Issued by:

Sivenathi Gunya
Communications Officer – North West Division
National Prosecuting Authority

Email: sgunya@npa.gov.za

 Cell: 078 172 9367