Black dollar scam explained in Cape court | Fin24
 
  • New Currency

    Facebook's Libra crypto coin: 5 things we know, and 5 we don't.

  • World Bank Loan

    Eskom in race against time to complete coal line to Majuba power station.

  • Fin24’s newsletter

    Sign up to receive Fin24's top news in your inbox every morning.

Loading...

Black dollar scam explained in Cape court

Feb 26 2015 21:08

Cape Town - Victims of the black dollar scam believed that they had the magic to turn black pieces of paper into US dollars, a court in Cape Town heard on Thursday.

Police Warrant Officer Gert Botes told the Specialised Commercial Crime Court in Bellville that the scam involved small lock-up safes, stuffed with pieces of black paper cut to the size of the dollar.

He was under cross-examination by Legal Aid defence attorney Hayley Lawrence, at the trial of Captain Siyaza Patrick Siyale, aged 51, and colleague Wilfred Mentoor - both of whom have pleaded not guilty to charges of corruption, theft and defeating the ends of justice.

They appeared before magistrate Sabrina Sonnenberg, and Siyale alone is also charged with extortion (blackmail).

READ: Recycled ID crime spikes in SA

The charge sheet tells how a Congolese investor, David Kilato, duped Nicodemus Solly Moeng into giving him R300 000. At the time, Moeng was the president of the French South African Chamber of Commerce and Industries.

As security for his investment, Moeng was to receive a number of small safes filled with black pieces of paper, which would magically turn into dollars and double his investment.

Siyale, at the time, was investigating several black dollar scams and intercepted Moeng after Moeng had received two safes from a courier.

Siyale accused Moeng of involvement in the scam, but demanded money from Moeng in order not to arrest him.

Botes told the court that the safes gave victims the impression that they were valuable, and thus played a crucial role in the scam.

"Victims believed that once they were in possession of the safes, they had control over the contents and could change the black pieces of paper into dollars as security for their investments," he said.

"The legend was that genuine dollars that had to be stained black to avoid losing it."

Asked why Siyale, as a police captain investigating other scams, would want to blackmail Moeng, Botes said the scam provided Siyale with an opportunity, and it "all depended on how the victim responded".

The case continues on March 13.

solly moeng  |  scams
NEXT ON FIN24X

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
41 comments
Comments have been closed for this article.
 

Company Snapshot

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...
Loading...