One of two Port Elizabeth investment firm directors who are alleged to have duped investors out of more than 17 million rand says their business operated well within the law.
The 31-year-old Michael Rathbone and his partner, 29-year-old Leon Lewitton, appeared in the Port Elizabeth Magistrates Court, where a lengthy bail application kicked-off on Wednesday.
The couple, who both took the stand, was represented by prominent defence attorney, Terry Price.
During court proceedings, it was revealed that the duo, had under their Helping Hands Investment firm allegedly spent investors money on various personal expenses.
Advocate, Tjaart Van Zyl for the State, read into the record that some of these included paying their salaries, purchasing several luxury items and gambling sprees.
Both party's, however, declined to comment on any of the alleged claims.
Rathbone and his husband Lewitton were arrested by the Hawks in November for illegally operating an investment company known as Helping Hand Investment (PTY) LTD between June 2016 and July 2019.
The pair face a total of 193 charges which include fraud and theft.
According to the Hawks the two allegedly recruited investors within Port Elizabeth and surrounding areas and promised a 15% to 45% return per annum.
According to the company is not an authorised Financial Service Provider and there were no records of any application from the company to be registered as such.
The state will be opposing bail as it is a Schedule 5 offence.
The bail hearing is set to continue on Friday.
