File
The Hawks’ Serious Corruption Investigation team have arrested the three outstanding suspects allegedly linked to a PE syndicate accused of defrauding several insurance companies.
Hawks spokesperson, Philani Nkwalase, said the 57-year-old broker, who he said was linked to three of the four insurance companies, along with her daughter (38) and a former police reservist (42) were arrested in Port Elizabeth and Welkom on Saturday.
He said their arrests followed the court appearance of their five alleged accomplices at the Port Elizabeth Magistrates Court on Friday on multiple charges of fraud, theft, and defeating the ends of justice.
The insurance companies suffered a combined loss exceeding R280 000.00.
The alleged fraudulent activities were uncovered by the forensic audit investigator assigned by one of the prominent insurance companies.
Lieutenant Colonel Nkwalase says the investigator became suspicious when he could not find the grave of an alleged deceased person.
He says the "deceased" person was a former police reservist, who was still alive.
A case of fraud was reported to the Hawks for further investigation which uncovered more fraudulent claims where the syndicate members alternated as beneficiaries and deceased persons.
“The trio is expected to have their first court appearance on Monday and are expected to again appear along with five others in the same court on Tuesday,” Nkwalase said.
He said the Hawks investigation revealed that the broker allegedly masterminded the insurance fraud after signing-up seven insurance policies with different companies between March 2014 and February 2015.
When the waiting period had elapsed, the beneficiaries on those policies allegedly tendered fraudulent death claims ranging from R10 000 to R50 000.
Nkwalase said the doctor, who was allegedly part of the syndicate since passed away after a short illness.
