This week our story took place in the Specialised Commercial Crime Court (SCCC) sitting in Augrabies. We have a lady, Elizabeth Smith. She worked for a company based in Augrabies, where she was assigned with payroll responsibilities.
Between February 2017 and July 2021, Elizabeth had been unlawfully manipulating the payroll system by reactivating dormant seasonal employees as workers who were reinstated. She would process salary payments in the names of the reinstated workers but she would divert the funds into her own bank account and bank accounts that belonged to her children. Elizabeth was convicted on 242 counts of fraud to the value of R896 506.95 and 242 counts of money laundering.
Her employer was an international company with a global footprint, who uncovered the irregularities in the payroll system. Due to the company’s operations across multiple jurisdictions it attracted international attention.
“The State submitted that such offences undermine corporate governance, erode employer confidence, and negatively impact the broader economy.”
Elizabeth Smith was sentenced to 6 years direct imprisonment on the fraud counts and 4 years’ imprisonment on the money laundering counts. Her sentences will run concurrently.
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Source: NPA