AFU OBTAINS ORDER FOR RETURN TO VICTIM OF R1.7 MILLION STOLEN IN ONLINE SCAM
The NPA’s Asset Forfeiture Unit (AFU) in KuGompo City has successfully obtained a forfeiture order in the High Court of South Africa, Eastern Cape Division, sitting in Makhanda, declaring an amount of R1.7 million held in a Standard Bank account in the name of Mandisa Ntauzana (Pty) Ltd to be forfeited to the State, and payable to the victim of the causal unlawful activities. This follows a preservation of property order granted by the Court on 22 January 2026 in terms of section 38 of the Prevention of Organised Crime Act 121 of 1998.
The Court further ordered that the forfeited funds, together with any accrued interest, be reimbursed to the victim, who was the sole beneficiary of the pension benefit targeted in an online fraud scheme.
The forfeiture order emanates from a sophisticated online scam involving the unlawful diversion of pension funds belonging to the victim. On 14 January 2025, an employee at Dold and Stone Attorneys in Port Alfred was following up with the Consolidated Retirement Fund (CRF) regarding outstanding pension payments after discrepancies were identified in the beneficiary’s records and bank account.
On 18 February 2025, the CRF advised that a portion of the pension benefit had already been paid to the victim on 16 January 2025, while the remaining portion had allegedly been paid directly to the victim on 19 December 2024. Further verification revealed that payment instructions had been received via an email purporting to originate from the victim, directing that the funds be transferred into a Standard Bank late estate account.
Subsequent investigations established that the instruction was fraudulent. A proof of payment in the amount of R1.7 million was issued, and the funds were transferred into the account. It was later confirmed that the email address and banking details used did not belong to the victim. A fraudulent profile was also created at Nedbank in his name, reflecting a balance of R2.6 million.
A criminal case was subsequently opened. Despite the processing of the pension benefit, the victim did not receive any of the funds, notwithstanding that he was the sole legitimate beneficiary of the pension fund.
The Financial Intelligence Centre (FIC) conducted a parallel investigation and successfully traced the funds transferred on 16 January 2026 into the preserved account. Considering the suspicious nature of the transaction, the FIC placed a temporary freeze on the funds pending the outcome of preservation proceedings, which ultimately culminated in the granting of the preservation order.
The Acting Director of Public Prosecutions for the Eastern Cape Division, Adv. Samkelo Mtwana commended the outcome and the successful forfeiture order.
The NPA commends the coordinated efforts of all role-players, including the South African Police Service, the Financial Intelligence Centre, banking institutions, and the Asset Forfeiture Unit, whose collaboration ensured the tracing, preservation, and forfeiture of the proceeds of unlawful activities.
This outcome reinforces the commitment of law enforcement agencies to ensure that cyber-enabled financial crimes are effectively disrupted, perpetrators are deprived of the proceeds of crime, and victims are duly protected and reimbursed.
Issued by:
Luxolo Tyali
NPA Regional Spokesperson – Eastern Cape Division