Nelson Mandela Bay fruit and veg dealer convicted of R1.2m tax fraud
A Nelson Mandela Bay businessman was fined R100,000 and must repay R1.2m to the SA Revenue Service (Sars) after being convicted of tax fraud on Tuesday.
Goolam Musa, 71, appeared in the Gqeberha commercial crimes court, where he was convicted and sentenced on 12 counts of tax fraud, in the form of fraudulent VAT claims between August 2012 and July 2016.
Musa, through his fruit and vegetable business Al-Barakah CC, claimed to have done business with Kwik-Pack Packaging Distributors, as well as Ampoly Plastic CC, incurring expenses that entitled his company to tax refunds.
However, these transactions never took place.
Hawks spokesperson Captain Yolisa Mgolodela said the Serious Commercial Crimes Investigation Unit was approached by Sars after Al-Barakah CC was randomly selected for a special audit and fraudulent activities were suspected.
“The investigation culminated in the arrest of Goolam and his son, Rashaad.
“Their entity was also charged on July 29 2020.
“They consequently appeared in the Gqeberha specialised commercial crime court and were released on a warning.
“The court convicted Musa and the entity, while Rashaad was acquitted,” Mgolodela said.
The company was fined R200,000, suspended for five years.
Musa was sentenced to a fine of R100 000, or three years in prison.
He was also sentenced to five years in prison, suspended for five years.
Musa will have 58 months to repay Sars.
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