Former CFO Arrested for R167,000 Fraud at Lekwa Teemane Municipality

Written by
Sinenhlanhla Masilela
Digital Journalist, IOL

A 45-year-old former Chief Financial Officer (CFO) from Lekwa Teemane Local Municipality in Christiana, North West, has been arrested by the Directorate for Priority Crime Investigation (Hawks) for allegedly committing fraud and violating the Municipal Finance Management Act.

The arrest, made on Monday in Heidelberg, follows an investigation into the unlawful procurement of motor vehicle rental services for the mayor between April and May 2022.

According to Hawks provincial spokesperson Lieutenant Colonel Tinyiko Mathebula, the suspect procured the services without following proper supply chain management processes or obtaining the necessary approvals from the municipal manager. The fraudulent activity resulted in a loss of over R167,000 to the municipality.

The suspect is scheduled to appear in the Christiana Magistrates’ Court on Tuesday, facing charges related to fraud and contravention of the Municipal Finance Management Act.

In a related matter, last week, the Asset Forfeiture Unit (AFU) obtained a confiscation order against a 67-year-old businesswoman, Sarathamoney Devi Sigamoney, for fraud and theft related to the South African Social Security Agency (SASSA). Sigamoney was convicted after defrauding SASSA and continuing to claim grants while serving as a director of a company awarded a tender worth R88 million by the South African Police Service (SAPS).

Sigamoney’s actions led to her receiving R123,000 in grant money from July 2017 to July 2022. Despite being charged, she continued to receive the funds for an additional 16 months.

The court ordered Sigamoney to repay R138,593, along with interest, and provide proof of payment. She is scheduled to be sentenced on January 14, 2025.