A 39-year-old man is expected to appear in the East London Regional Court on Wednesday following his arrest earlier this month for allegedly defrauding the Road accident Fund (RAF).
Lindile Ralane made his first appearance in court last week and is currently out on bail of R500.
A spokesperson for the Hawks Captain Yolisa Mgolodela said it is alleged that in December of 2017, Ralane reported a case of reckless and negligent driving where he claimed to be the victim of the accident as a pedestrian.
She said he subsequently submitted a claim to RAF for compensation.
Captain Mgolodela said it was then that RAF officials discovered that a similar accident occurred in Komani where the same details were recorded, but with no pedestrian involved.
This was just before the compensation of R7 million was to be paid out.
The Hawks launched an investigation that led to Ralane's arrest on the 19th of August.