State Theatre Fraud Unveiled: Employees Accused of Bypassing Supply Chain Rules, Diverting R24 Million to Relatives

A former South African State Theatre employee, aged 41, and four accomplices (aged 37, 38, 44, and 59) have been apprehended following a probe by the Hawks into a reported fraud involving R24 million. IOL reports that the charges encompass money laundering, fraud, and theft. The alleged malpractice occurred at the South African State Theatre and was initially reported on November 4, 2018.

The accusations suggest that two State Theatre employees diverted funds for personal gain, circumventing supply chain processes. According to Colonel Katlego Mogale, spokesperson for the Hawks, the suspects employed the letterheads of existing companies to generate invoices without the companies’ knowledge. They altered the banking details to those of their relatives, misappropriating the total amount of R24 million.

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The four arrested suspects will appear on Wednesday before the Pretoria Specialised Commercial Crimes Court. They will face fraud, theft, and money laundering charges.

The case highlights a similar incident that occurred last week. A Gauteng woman, Hildegard Antoinette Steenkamp, was sentenced to an effective 50 years behind bars for stealing over R500 million from her employer. Working as an accountant at Medtronic, a multinational medical equipment supplier in Midrand, Steenkamp duplicated payments by transferring money directly into her late husband’s bank account. The Hawks revealed that she siphoned over R500 million since 2017. Steenkamp’s extravagant expenditures included R65 million at a casino and international holidays worth R30 million, including frequent trips to Dubai. The arrest in December 2017 followed a three-month investigation by the Hawks.

Also read:

Gauteng Accountant Hildegard Steenkamp Sentenced to 50 Years for R500 Million Theft

Picture: Pexels / Sora Shimazaki

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