Zimbabwean accountant’s assets seized over US$981 000 fraud in South Africa

SOUTH AFRICA – Zimbabwean accountant Edward Mwanandimai has had his estate sequestered by the courts in South Africa, after he reportedly siphoned over R17 million (US$981 000) from the accounts of a non-profit organisation to settle his own debts.

Mwanandimai, who worked for the Education and Training Unit (ETU) between July 2014 and May 2020, was reportedly the mastermind of a fraud scheme that drained millions of rands intended for the South African Revenue Service (SARS), suppliers and employee benefits.

During the commission of his alleged crime, Mwanandimai reportedly transferred funds to his personal account and companies linked to him, while falsifying documents and interfering with company payrolls.

According to court documents, the accountant had reportedly executed 384 such transactions by April 2020.

In September 2020, he acknowledged the use of funds from ETU and confirmed that the amount owed corresponds to the outstanding balance specified in the signed acknowledgment of debt.

“The debtor (Mwanandimai) is truly and lawfully indebted and legally bound to the creditor (ETU) in the amount of six million seven hundred and ninety-seven thousand seven hundred and fifteen rand and sixty cents (R6 797 715.60),” reads the acknowledgment of debt.

In the acknowledgment of debt, he admitted that he stole several millions of rand from ETU and that the total amount stolen was in excess of the capital debt. He did repay certain amounts of the money which he stole.

In August this year, Acting Judge Sanet van Aswegen agreed to the sequestration of Mwanandimai’s estate as he said the disgraced accountant had not managed to disclose his estate with sufficient transparency.

“In my considered opinion, the interests of justice are best served by the court exercising its discretion to grant a final sequestration order.

“The issuance of such an order would benefit all the creditors by invoking the pertinent provisions of the Insolvency Act, thereby facilitating an investigation of the estate for their advantage,” the acting judge declared at the time.