Media Statement
Directorate for Priority Crime Investigation (HAWKS)
 

EASTERN CAPE- Simthembile Smith (29) and his company EZA Service and Suppliers appeared in Specialised Commercial Court for sentencing yesterday following his arrest in 30 January 2020 respectively for two different cases relating to fraud and money laundering.

Simthembile Smith (29) and Baxolile Ngoloyi (35) were arrested by the Hawks Serious Corruption Crime Investigation for fraud and corruption in January 2020.

During December 2017 and June 2018, it was reported that Ngoloyi a systems controller at the Buffalo City Metropolitan Municipality’s (BCM) Health Department manipulated the department’s system by executing fraudulent payments to Smith's company even though the company never rendered any services for the department.

Approximately R120 000 was paid out to the company while the department managed to stop a payment of R140 000 before it could be made as the latter suspected malpractice. BCM reported the alleged crime to the Hawks in June 2018.  Upon their first appearance, Ngoloyi and Smith were each granted R500 bail by the Specialised Commercial Crime court.

The department reported the crime to the Hawks during November 2018 and the latter swiftly commenced with its investigation. The amount involved was approximately R250 000,00.

The company, Eza Services and Suppliers was sentenced for three counts of Money Laundering and fined R10 000.00 suspended for five years on condition that accused is not found guilty of similar offense. Simthembile Smith was sentenced for three counts of Money Laundering and sentenced to five years imprisonment wholly suspended for five years on condition accused is not convicted of similar offense.

The case was remanded by the Specialised Commercial Crime court in Port Elizabeth for sentencing of Ngoloyi on 08 December 2020.
 

Ends

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