Former minister of mineral resources Mosebenzi Zwane, Ugeshni Govender and Ronica Ragavan appeared in the Bloemfontein Magistrate’s Court in the R37.7m Estina Vrede Dairy Farm Project corruption case. Picture: Supplied/NPA ID
Joburg – The multimillion-rand tax fraud trial against two alleged Gupta brothers' associates had to abandon during its last day of proceedings earlier today after the Pretoria Magistrate’s Court was plunged into darkness due to load shedding.
As the R37.7 million tax fraud trial against Kamal Vasram and Saliesh Indurjeeth about the failed Free State Estina project was due to proceed with the last State witness for the current sitting, proceedings were brought to an abrupt halt after the court building experienced load shedding.
The duo face charges of fraud, contravention of Section 54(1)(A) of the International Trade Administration Act, and contravention of Regulation 22 of the Exchange Control Act, arising from a joint investigation by the SA Revenue Service and the Investigating Directorate into the failed Estina project.
The case surrounds goods imported from India for a 'new' pasteurisation plant, which were invoiced to Estina by Gateway, an alleged Gupta front company in the United Arab Emirates.
The National Prosecuting Authority (NPA) alleged Estina submitted customs clearance documents in support of a VAT refund claim for more than R37.7 million for the plant, which upon further scrutiny was suspected to be excessively high.
The pair allegedly declared to the SA Revenue Service that the goods imported were new and valued at R37 718 634.00, whereas the goods were actually second-hand and valued at far less.
Vasram and Indurjeeth are two of several people arrested in connection with the Free State Department of Agriculture’s project in 2012, meant to benefit emerging farmers and other identified beneficiaries in the area.
Allegations later surfaced that it was being used to siphon cash, with high-profile government officials and the Gupta family implicated.
The case resumed on Monday following proceedings in March and was due to sit for three days before the courts were to stand the matter down for the next available court period.
Since the matter began, the state has called four witnesses to date and was expected to hear the testimony of an engineer who was commissioned by the pair to certify the imported goods.
However, due to the lack of electricity, the court decided to postpone the matter until the end of November for another three days.
The trial will take place from November 20 to 22.
The Star
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