Former Estate Controller and Attorney in Mthatha Released on Bail for Fraud and Corruption Charges

Mthatha, a city famously known for its judicial importance in South Africa, witnessed yet another significant legal altercation as former estate controller, Philasande Bongani Ntshantsha, 43, along with Mkhuseli Ndamase, 42, an attorney, and his namesake law firm faced the brunt of the law. The trio were granted bail by the Mthatha Specialised Commercial Crime Court on August 6, 2024, following their arrest by the Hawks' Mthatha Serious Commercial Crime Investigation team for their involvement in fraudulent activities.

The story unfolded after an accident victim, who had lodged a claim with the Road Accident Fund (RAF) through Polo Attorneys, died in 2022 before the claim was disbursed, leaving the funds in the attorney's trust account. The victim's mother, seeking to access the funds for the benefit of the deceased's children, was guided by the Master’s office to enlist an attorney to manage the estate.

On approaching Ndamase’s Attorneys on October 6, 2023, it became apparent that the legal firm failed to adhere to the mandatory procedures set out by the Master’s office, which led to an illegal collaboration between Ntshantsha and Ndamase. The pair produced a falsified, manually generated letter of Executorship, despite such documents typically being computer generated to ensure authenticity.

The discrepancies in the letter were uncovered during an audit by the Master’s office, prompting an official investigation by the Hawks. Their concerted efforts revealed a fraudulent deception: Ntshantsha, who had resigned from his position, forged the signature of the assistant Master and used the official date stamp to validate the document before handing it to Ndamase for a bribe of R4000.

As the plot thickened, the investigations exposed that Ndamase’s law firm had set up a bank account attempting to claim the deceased's RAF funds with the counterfeit letter of Executorship, an attempt which was ultimately thwarted and denied. This prevented the complainant from a near loss of over R1 million.

Following the arrest of the accused individuals, their court appearance was swift, and they were granted bail at R5000 each. The matter has since been adjourned and a trial date is expected to be set on October 10, 2024.

The case underlines the critical work of the Hawks in addressing corruption and fraud, particularly within the legal framework meant to safeguard citizens' rights and property. It also serves as a warning about the vulnerabilities of the estate administration process and the importance of vigilance and compliance with legal procedures.