The alleged mastermind, the notorious diamond dealer Louis Liebenberg, lured investors with promises of huge profits that never materialised.
A major operation led by the Northern Cape Hawks’ Serious Organised Crime Investigation unit has led to the arrest of nine suspects. The latest arrest was made on Wednesday morning, bringing the total to nine.
The suspects were apprehended in the Gauteng and North West provinces following a sting operation that began on Tuesday and concluded on Wednesday.
The group is accused of running a scam involving unpolished diamonds and fraud.
The alleged mastermind, the notorious diamond dealer Louis Liebenberg, advertised diamonds on social media, luring investors with promises of huge profits that never materialised.
Hawks swoop on Louis Liebenberg and wife at country club
Liebenberg and his wife, Dezzi, were arrested by the Hawks on Tuesday at the Benoni Country Club’s Tonino restaurant.
According to private investigator Mike Bolhuis, many arrests will still follow.
“Several institutions are involved, including the South African Revenue Service [Sars]. Members of the South African Police Service [Saps], the Hawks, other specialist services and many more institutions are going after them.”
R4 billion fraud scandal: Hawks close in as arrests loom
Since 2019, the scam has defrauded investors of more than R4 billion.
Investigations are ongoing, and further arrests are expected, Hawks spokesperson Colonel Philani Nkwalase said in a statement.
The suspects are due to appear in the Bronkhorstspruit Magistrate’s Court on Thursday, 24 October 2024, facing charges of fraud, money laundering, theft, and racketeering.
Acting provincial head of the Hawks, Major General John Matroos, praised the investigation and prosecution teams for dismantling the syndicate, stating that the law will eventually catch up with those who break it, no matter how long it takes.
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