FBI thwarts Mashaba’s ‘escape’
Investigating officer Scotch Tabane says the fraudster, subject of a R34 million SIU probe, is also suspected of arson and attempted murder
The Federal Bureau of Investigation allegedly foiled an attempt by Howard Mashaba, the fraudster facing a R34 million Special Investigating Unit (SIU) inquiry into national lottery corruption, to escape to the US.
Mashaba, who has three criminal records including a September 2008 fraud conviction, had his visa to the US revoked in 2020 for not disclosing his convictions when initially applying for it.
The details about his halted overseas trip are contained in evidence forming part of the state’s documents in Mashaba’s sentencing hearing following his 18 March conviction in the Johannesburg specialised commercial crimes court for failing, again, to disclose his criminal records during a May 2019 bail application in a separate matter.
This case involves how he allegedly defrauded Absa Bank to get a home loan. Mashaba’s sentencing hearing on the May 2019 charge begins on Friday. The National Prosecuting Authority (NPA) wants Mashaba’s bail revoked and him incarcerated after it failed to arrest him following another criminal conviction — this time a July 2019 Joburg high court contempt of court conviction for breaching orders to pay Mercedesbenz South Africa around R22 million for 11 buses Mashaba bought for his Limpopo transport business.
The high court sentenced Mashaba to 30 days in jail beginning July 2019. But the state neither arrested him in October 2019 when he appeared in the Johannesburg commercial crimes court for failing to disclose his previous convictions in May 2019, nor did it oppose bail in the matter.
NPA spokesperson Phindi Mjonondwane told the Mail & Guardian that Mashaba allegedly duped the prosecuting authority by sending it a “false” leave to appeal application so he could stay his arrest on the July 2019 conviction.
Part of his October 2019 bail conditions was that he should hand his passport over to investigators. In an explanatory affidavit compiled for the state’s request for Mashaba’s incarceration, investigating officer Scotch Tabane called him “a fugitive”, adding Mashaba tried to go to the US without informing the state, which still doesn’t have his passport.
“The accused failed to inform the court that he had been convicted and sentenced by a civil court [in July 2019] and failed to hand himself over to the department of correctional services to serve the [30-day] sentence imposed on him, making him a fugitive from justice,” Tabane’s affidavit stated.
Sources close to the state’s case against Mashaba said investigators received a tip-off that he was planning to travel to the US in 2020 and was granted a visa to that country.
“But investigators contacted the FBI through the working relationship the [NPA’S] Investigating Directorate has with the FBI to alert them of his previous convictions. The FBI ensured that his visa was revoked,” said an insider who asked to remain anonymous.
This was supported by Tabane’s affidavit, which stated that Mashaba allegedly defied all bail conditions imposed in October 2019, including a requirement to report to the Atteridgeville police station in
Tshwane twice a week. “At some point, [Mashaba] applied for the relaxation of the condition relating to his passport because he wanted to fly to the US. It bears mentioning that even though he had been to the US a few times, his previous convictions resulted in him being refused a visa,” the affidavit said.
Tabane added that Mashaba never respected his bail conditions and had “violated the conditions relating to his place of residence”.
“The house situated at the [Atteridgeville] address mentioned in the [charge sheet] has been sold on auction and ownership, therefore, has been transferred,” he wrote, adding that Mashaba’s listed address changed without him informing investigators, which is another bail condition violation.
Tabane said the court must consider “honesty as the main factor for someone applying for an extension of bail and also that Mashaba is a
‘The accused failed to inform the court that he had been convicted and sentenced by a civil court in 2019’
fugitive from justice as he has been convicted of an offence relating to contempt of court”.
“When the accused was released on bail on 14 October 2019, the court was not made aware that the accused had been convicted of contempt of court. If the accused had any respect for the court, he would not have been convicted for contempt and would have told the judge of his conviction,” the officer stated.
He added that Mashaba was a suspect in a slew of violent crimes in his home province of Limpopo, including two cases of arson in the district of Giyani involving hitmen on the alleged payroll of the fraudster.
“He is also a suspect in a case of attempted murder and [questioning] into whether Tsakani Gwavulani Baloyi, Strike Manganyi, Solly Masuluke and Risimati Dan Mathebula were his hitmen or part of [his] alleged 500 employees, [which] is still under investigation by the police,” Tabane added.
On Friday, detailed questions were sent to Mashaba through his legal representatives, NPM Attorneys, whose director Ntsako Phyllis Mbhiza confirmed in a letter of demand to the M&G dated 16 March that she acted on behalf of the convicted fraudster.
Mbhiza did not respond to the emailed questions or answer text messages and phone calls requesting comments from her.
An M&G investigation revealed that Mashaba faced an SIU inquiry into corruption involving R34 million in National Lotteries Commission (NLC) funds.
The investigation shows how Mashaba’s elderly parents have become economically ostracised after their son used their names to open businesses which got into trouble over unpaid debts and a string of purportedly fraudulent acts.
Mashaba allegedly received money from the commission to organise music festivals but instead funnelled the funds to dozens of relatives, friends and firms linked to him, including a bus company.
The inquiry followed a 2020 proclamation by President Cyril Ramaphosa that a probe would be instituted into “allegations of corruption and maladministration in the affairs of NLC … and to recover any financial losses suffered by the state”.
In her 16 March letter to the M&G where she demanded R20 million payment for alleged defamation, Mbhiza denied that her client was a criminal. “Our client is a philanthropist, [and] a prominent and wellestablished businessman; a responsible citizen, a breadwinner, and an active reputable member of his community,” the lawyer wrote.