[imagesource: NPA/Hawks]

Kelvin Cholwich, Theunis Johannes Schoeman and Johan de Clerk have been nabbed for their 10 years of white-collar crime.

The trio of grifters were charged with various forms of fraud over business dealings they conducted between 2012 and 2016. They are believed to have defrauded members of their elaborate Ponzi scheme of roughly R100 million over those four years.

On Tuesday, the National Director of Public Prosecutions (NDPP), aided by the Hawks and the South African Reserve Bank, secured the attachment of R59 million worth of assets belonging to the group following an order granted by the Gauteng High Court, per The Citizen.

The NDPP applied for a restraint order against assets located in various parts of the country, including Mpumalanga, Eastern Cape, Gauteng, and North West, consisting of vehicles, holiday homes, and even game farms, among other things.

“The assets mainly belong to the three accused in a Ponzi scheme matter, their associates and other individuals who appear to have benefited from the scheme,” said a joint statement issued by the National Prosecuting Authority (NPA) and the Hawks.

A fourth man was also part of the alleged mastermind group, but Robert Paul Weimar died in 2017 before the commencement of the trial.

The assets estimated at over R59 million were attached today following a restrained order by the High Court of South Africa: Gauteng Division, Johannesburg. pic.twitter.com/iKOQIbxyfZ

— NPASouthAfrica (@NPA_Prosecutes) May 28, 2024

Those who claim to have been defrauded by these scammers began to lay complaints in 2015, prompting investigations from law enforcement.

The accused were found to be conducting “the business of a bank” contrary to the relevant provisions of the Banks Act using a company called FinCapital. Their charges in the Johannesburg specialised commercial crimes court accordingly ranged from fraud to contraventions of the Banks Act.

“The accused would, through television, newspapers and other means, approach members of the public (described as “licence partners” once they joined and invested) and inform them about passive income and/or investment opportunities in the entities linked to the Ponzi scheme.”

They allegedly enticed investors by offering them high and unrealistic monthly income/returns of between 25% and 45% on their investments. More than R100 million was lost by members of the public who were allegedly persuaded to invest in the scheme.

The three accused, Kelvin Cholwich, Theunis Johannes Schoeman and Johan De Clerk, are currently facing various charges in the Johannesburg Specialised Commercial Crimes Court, ranging from fraud to contraventions of the Banks Act. pic.twitter.com/unmswi3wo6

— NPASouthAfrica (@NPA_Prosecutes) May 28, 2024

“In the NDPP’s court papers, it is alleged that the accused benefited and the respondents and/or individuals linked to them consequently received affected gifts derived from the Ponzi scheme,” stated Gauteng NPA spokesperson Phindi Mjonondwane.

The NPA’s Asset Forfeiture Unit (AFU) affected the order and the assets will be in the custody of a curator pending the outcome of the criminal case.

[source:citizen]