The Hawks arrested two suspects in the Free State this morning for their alleged involvement in the R244m fraud that was revealed during the investigation into the controversial Estina dairy project in this province.
Col. Hawks spokeswoman Katlego Mogale said in a statement that the director of Superior Quality Trading, also known as Rekgonne Community Projects, and a former financial head of the Department of Agriculture and Rural Development, is in the Free State arrested in connection with the alleged fraud.
Criminal charges were earlier filed against Rekgonne Community Projects after it entered into an agreement with the Department of Agriculture and Rural Development in the Free State in June 2014 to implement all projects on behalf of the department for a two-year period.
According to Mogale, the department paid over R244 million to Rekgonne Community Projects between January 2012 and December 2016.
“Irregularities were found during the investigation of the Estina case during the analysis of a certain bank account. It is alleged that large sums of money were deposited into the bank account belonging to the former CFO of the Department of Agriculture and Rural Development, ”Mogale explained.
According to Mogale, the former chief financial officer allegedly received more than R260 000 of this money.
The suspects, 55 and 49 years old, respectively, are expected to appear in Bloemfontein Regional Court on Friday on charges of fraud and money laundering.
