Businessman handed 9-year jail term for defrauding SARS
KING William’s Town businessman Mbulelo Sabisa was sentenced to nine years in prison by the Specialised Commercial Crimes Court in Port Elizabeth last week.
Sabisa was found guilty of fraud and contravention of the Income Tax Act and the VAT Act.
Between November 1 2006 and January 31 2007, Sabisa submitted false income tax returns to the South African Revenue Service (SARS) in East London amounting to R500 000.
Last week the court sentenced him to an effective nine-year term in jail for fraud and theft.
According to the charge sheet, Sabisa used his company, Southern Ambition 1104cc, to defraud SARS.
Southern Ambition was accused number one while Sabisa was accused number two in the case before the Commercial Crimes Court in Port Elizabeth.
The charge sheet stated that Sabisa “unlawfully, falsely and with the intention to defraud” presented information that was not true.
“The accused by means of the said misrepresentation induced SARS to accept that the input VAT amounts mentioned were the actual input of VAT amounts incurred by accused one,” read the charge sheet.
The charge sheet stated that the accused knew when they submitted the returns that Southern Ambition had not traded and should have declared a nil return since it did not incur any VAT liability and was not entitled to any refunds from SARS.
In the 2006 financial year, SARS paid out R298 320.03 and the following year R204 367.15 which the accused unlawfully and intentionally stole.
Eastern Cape Hawks spokeswoman, Captain Anelisa Feni, said Sabisa was initially arrested in 2012 by the Serious Commercial Crime unit of the Hawks.