20 years for ‘remorseless’ R250m VAT fraudster

22 July 2016

Cape Town – The calculating manner in which Johannes van Staden committed R250m fraud, his lying in the witness box, and a lack of remorse led to him being sentenced to 20 years in jail on Friday.

“When considering the purposes of punishment… I have concluded that deterrence and retribution need emphasis,” said Western Cape High Court Judge Anton Veldhuizen.

Van Staden, 54, whose spectacles dangled over his black suit and tie, tried to keep his composure while clutching a balled tissue in his left fist.

Defence lawyer Carlo Viljoen was unsuccessful in persuading the court to have his client kept in the hospital section of Pollsmoor prison because of his health.

Veldhuizen believed his health issues were not very serious and were treatable with medication.

The court convicted Van Staden for conducting a multi-million rand fishing business as a front for submitting false VAT returns. The state described it as one of the largest fraud cases ever prosecuted in the high court.

The money was used to buy numerous luxury vehicles, two farms, game, an aeroplane and a flat for his daughter – all registered in a family trust. He also chartered a luxury jet to Mauritius for a family holiday.

He was found guilty on 35 of 184 counts related to defrauding the South African Revenue Service (Sars) of at least R250m between 2005 and 2008.

On Friday, the court passed two sentences of 20 years each, plus 2 years each for three counts. The sentences would run concurrently.

Van Staden, who has been married for 28 years, has four children and two grandchildren.

The court found nothing that warranted a lighter sentence. In fact, it mentioned a number of aggravating factors.

“In your case, the premeditation is particularly significant. I can hardly imagine a more serious case of fraud,” said Veldhuizen.

He said Van Staden persisted with his dishonest conduct despite warnings and ample opportunity to desist.

This was to maintain his lavish lifestyle.

“You appropriated money, which could have been used for the benefit of the general public and especially the less privileged members of society.”

The court found it disturbing that he lied in the witness box and tried to shift blame to an unknown and unnamed individual.

His lack of remorse was supported by the fact that he dissipated nearly R12m when he regained control of his assets, and before a restraint order was reinstated by the Supreme Court of Appeal.

“This is to this day unaccounted for and happened over a period of approximately 18 months.”

Veldhuizen thanked two witnesses from the SA Revenue Service for their impressive and helpful evidence.

This article first appeared on News24, see here.