Two directors of the Gupta-linked Estina dairy project appeared in court on Tuesday on charges of fraud and violating exchange controls after a joint investigation by the SA Revenue Service (Sars) and the National Prosecuting Authority’s Investigating Directorate (ID).
Kamal Vasram and Saliesh Indurjeeth were arrested on Monday and granted bail after appearing in the Pretoria Regional Court, where the case was postponed to February 11.
Their arrest came after the two authorities studied various documents including an invoice of almost R38m in support of a VAT refund claim for a pasteurisation plant that was suspected to be excessively high.
“The suspected overpriced pasteurising plant, which was imported from India, was rather invoiced to Estina by Gateway Ltd in the United Arab Emirates,” said Sindisiwe Seboka, a spokesperson for the ID.
“Evidence that is already in the public domain suggests that Gateway was used and controlled by the Guptas as a conduit to launder money and to extract funds from SA,” she said.
“The state further alleges that the overstated or inflated value was intentionally and unlawfully used by Estina and its sole director to launder funds from SA, to the prejudice of the tax paying public in general,” Seboka said.
ID head advocate Hermione Cronje and Sars commissioner Edward Kieswetter said in a joint statement they were “satisfied with the inroads made into this state capture investigation”.
The arrests and court appearance comes as the Zondo commission is scheduled to publish the second part of its report into state capture during the administration of former president Jacob Zuma later on Tuesday.
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