Whistleblower helps Hawks bust pension scam operatives
In a dramatic operation, the Hawks have arrested two foreign nationals accused of running a complex scam targeting women public servants in Mpumalanga.
The suspects, a 38-year-old Ugandan and a 45-year-old Zambian, allegedly tricked victims by promising to double their pension funds.
Some were even convinced to resign from their jobs and cash out their pensions to take part in the scam.
The investigation began after a whistleblower, a local landlord, became suspicious of his tenants’ strange behaviour.
The tenants were insisting on obtaining “special chemicals” for a dubious scheme to double money.
What started as a simple complaint to security services quickly grew into a full investigation, with the Hawks’ Serious Commercial Crime and Serious Organised Crime divisions getting involved.
Hawks spokesperson Warrant Officer Thandi Tshabalala explained how the scam was uncovered.
“Information was received by the Hawks from the security company in the early hours of Friday, 08 November 2024, regarding two foreign nationals suspected to be con artists,” she said.
The suspects had allegedly convinced a local landlord in Mbombela to invest his inheritance, promising to multiply his money.
The investigation revealed that the suspects had been targeting women in government jobs, convincing them to resign and cash out their pensions to invest in the scam, with false promises of increasing their money.
The suspects managed to persuade several people to hand over their savings, using staged demonstrations and false reassurances.
Tshabalala commended the whistleblower for acting quickly, stating, “Without the whistleblower, this might have gone on longer with more victims.”
During a raid, the Hawks seized stacks of fake money notes, bottles of chemicals that were supposedly used to “clean” the money, and a steel safe.
The suspects now face charges of fraud, violating the Tax Administration Act, and breaching the South African Reserve Bank Act.
They are due to appear in the Nelspruit Magistrates’ Court on Monday.
Hawks provincial head, Major General Gerber, issued a strong warning, saying, “There is no chemical or process in the world that can double your money.”
South Africa has seen a worrying increase in scams aimed at people cashing in their pension funds and investing in dubious schemes.
Many public servants, particularly women nearing retirement, have been lured into false “get-rich-quick” promises, only to lose everything.
Scammers often target individuals looking for financial security after retirement, offering false guarantees of multiplying their funds.
Both the Financial Sector Conduct Authority (FSCA) and the South African Reserve Bank (SARB) have warned against such scams.
Unfortunately, by the time victims realise they’ve been duped, the money is often gone and nearly impossible to recover.
This recent case underscores the need for South Africans to stay alert and report any suspicious financial offers to the authorities.
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