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A 53-year-old man was convicted of fraud amounting to R4.4 million in the Specialised Commercial Crimes Court in Gqeberha on Friday.
Gregory Ferguson, a co-director of Cob Creek Estate, defrauded his two co-directors over seven years from 2005-2011.
The company, duly registered, was established to develop a residential Golf Estate, wine farm and restaurant in Kabeljous in Jeffreys Bay.
A spokesperson for the Hawks Warrant Officer Ndiphiwe Mhlakuvana says Ferguson was the only signatory on the company's bank account.
He says Ferguson, without the knowledge of his co-directors, persuaded investors to invest in the development of the Estate, which never materialised.
Mhlakuvana says as a result, Ferguson used the money for his personal gain.
He says the investigation revealed that investors were prejudiced to an amount of over R4.4 million
When auditors picked up some discrepancies, the matter was referred to the Hawks which led to Ferguson's arrest in December 2016.
Ferguson will be sentenced on the 31st of January next year.
