This follows the revelation that director of Gupta-owned Islandsite Investments 180, Ronica Ragavan, has been added to the list of accused in the case and a warrant for her arrest has been greenlit by the Bloemfontein Regional Court on Tuesday.

The warrant in question has however been held over to 8 October 2021 due to Ragavan falling ill, which is when all the accused return to the court house.

The DA in the province, led by Roy Jankielsohn, welcomes the recent developments, but lament the lack of political accountability despite a report by the Public Protector, Busisiwe Mkhwebane, that calls for political heads in the province to be investigated criminally.

The DA reveals that they have submitted affidavits to the Directorate for Priority for Crime Investigation a.k.a the Hawks, calling for the investigation of embattled former Free State Premier and suspended ANC Secretary General, Ace Magashule; former MECs Elsabe Rockman and Mosebenzi Zwane; as well as current MEC Mamiki Qabathe.

The background of the case is that in 2011, the Free State Agriculture Department paid over almost R 25 million to Nulane Investments, which was owned by former Transnet board member, Iqbal Sharma for the Vrede feasibility study.

Nulane – represented by Sharma’s brother-in-law Dinesh Patel – then negotiated and subcontracted the same feasibility study out to forensic auditing firm, Deloitte, for R 1,5 million. They went further and subcontracted the work already carried out by Deloitte to Gateway Limited and paid them R 19 million. The state alleges the funds were thereafter laundered into varied accounts including that of Islandsite Investments 180. It is for the money laundering that occurred that the Gupta family has now been linked to the case.

The state has in light of the money laundering allegations approached Interpol to have them issue red notices for Atul and Rajesh Gupta as well as their wives Chetali and Arti. Whilst red notices for the Gupta family are under consideration, the notices have been issued  for their associates: former Nulane Investment Bank of Baroda account signatory Ankit Jain;  Director of Wone Management, Ravindra Nath; the Directors of Pragat Investments, Ramesh Bhat and Jagdish Parekh.

Tuesday’s court proceedings came amidst an article by the Daily Maverick on Ragavan’s most recently submitted 54-page affidavit, in which she proclaims Atul and Rajesh Gupta’s innocence in the case. The affidavit pertains to a draft restraint order granted to the National Prosecuting Authority’s Investigating Directorate in June 2021 seizing the assets of the Gupta family in addition to other accused.

The Guptas previously attempted to have Ragavan represent Islandsite in proceedings pertaining to the restraint order, however their application was denied by the Free State High Court President, Cagney Musi, in light of the company being placed under business rescue. Musi echoed the state’s sentiments that the assigned business rescue practitioners, Knoop and Kloppers, were the only ones who could represent Islandsite in said proceedings and maintained there were provisions legally for said business rescue pracitioners to call on the directors of the company to represent the business if need be. 

The other accused in this matter are: the former Deputy Director-General (DDG) of the Department of Trade and Industry (DTI) and Transnet board member, Iqbal Sharma; the former Free State Agriculture Department Head, Peter Thabethe; current Deputy Director-General at the Department of Cooperative Governance and Traditional Affairs (Cogta), Sylvia Dlamini; Bloem Water Chief Executive Officer (CEO), Limakatso Moorosi; and Sharma’s businessman brother-in-law, Dinesh Patel. They were all released out on bail of between R10 000 and R500 000 following their respective arrests.

OFM News