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The Hawks’ Serious Commercial Crime Investigation unit has arrested a man accused of fleecing investors of more than R23 million in an alleged fraudulent investment scheme in the Western Cape.

42-year-old Jaco Botha appeared in the Riversdale Magistrate’s Court on Monday after he was arrested for an alleged fraudulent investment scheme.

Hawks spokesperson Captain Lloyd Ramova said it was alleged that Botha roped multiple people into investing money with his company Steadfast (Pty) Ltd, promising them high-interest returns over time. But that never materialised.

This allegedly took place between April and July 2023, with a case involving Edenpark Police Station registered in October 2023, per The Citizen.

Captain Ramovha said a warrant of arrest was duly authorised, and Botha was traced and arrested in Riversdale on Monday. He subsequently appeared in court on the same day.

Image: Hawks

The Hawks’ investigations revealed that the suspect’s company was never registered at the Financial Sector Conduct Authority (FSCA) as a financial institution, licensed to conduct investment, nor was it authorised to take deposits from the public.

This is a breach of the Banks Act and the Financial Advisory and Intermediary Services Act (FAIS).

After Botha’s court appearance, his case was transferred to the Palm Ridge Court in Ekurhuleni, Gauteng, for a bail hearing on Monday, 2 September 2024.

The Hawks have been cracking down hard on financial criminals lately.

In May, a 60-year-old man named Graig Roy Warriner was sentenced to 25 years in prison by the Johannesburg Specialised Commercial Crimes Court in Palm Ridge. He was in charge of BHI Holdings (Trust), where he made all the trading and investment decisions, but it turned out to be a Ponzi scheme.

Warriner is accused of convincing individuals to invest capital worth over R74 million into stocks on the Johannesburg Stock Exchange (JSE) and JSE Money Market/Cash between December 2020 and October 2023, with a promise of generating profits.

“The accused, over a period, persisted in misleading the investors as to the situation relating to their investments and the returns on such investments, resulting in an increased actual loss suffered by the investors,” according to National Prosecuting Authority (NPA) regional spokesperson Phindi Mjonondwane.

Jirre, okes don’t stop hey.

[source:citizen]