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Small investors ‘taken for Eskom ride’

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(Gianluigi Guercia, AFP)
(Gianluigi Guercia, AFP)

One of Eskom’s black empowerment schemes is under investigation after at least 800 investors were allegedly swindled out of their hard-earned money.

G-Hold, through its subsidiary Qhakaza ­Africa Metering Products Systems, is now ­under investigation by the Hawks.

The company was given a contract to ­supply electricity vouchers for prepaid ­meters in townships and rural areas across the country.

Hawks spokesperson Brigadier Hangwani Mulaudzi confirmed the investigation, saying the matter would be handed over to the National Prosecuting Authority for a decision once the probe was completed.

READ: Eskom questions Exxaro’s reduced BEE shareholding

The investigation follows a criminal complaint laid by one of the directors of G-Hold, Khaya Balintulo, after his fellow directors ­allegedly failed to allocate shares to more than 800 shareholders who had invested in the empowerment scheme.

Documents City Press obtained reveal that members of the public, including ­pensioners and spaza shop owners, ­invested R13 500 each to become electricity vendors and shareholders in the scheme to sell ­electricity.

In an affidavit contained in the police docket, Balintulo alleges that he was kicked out of the company by his fellow directors, after he raised concerns about why shares had not been not allocated to the ­investors.

Balintulo states in his affidavit that his partners “took money from these vendors as payment for the shares, and had undertaken to issue them with shares.

However, none of these vendors has been ­issued any shares” in the two ­companies.

He successfully sued his fellow directors in May last year in the High Court in Pretoria.

Battle for the control of the multimillion-rand company since 2011 has also seen ­directors hiring bodyguards in fear of attacks instigated by their business partners.

One of the alleged investment victims, ­Lizo January, also submitted an affidavit to police, alleging that he had been duped into buying shares – which came with a complimentary machine used for the sale of electricity.

“Having made the payment, I expected a share certificate [stating] my [ownership] of shares,” he said. But this was not forthcoming.

January said when he complained to Eskom, he was contacted by Qhakaza ­employees and told that investors would be given R2 700 in electricity vouchers and final payment regarding the share programme.

“I then deposited the money back into the company account as I didn’t receive evaluation or meeting minutes indicating the decision to buy me out.

I [...] would like the police to assist me in resolving this fraud committed against me and others,” January’s statement reads.

G-Hold’s lawyer, Mariëtte Ploeger, ­declined to answer any questions, saying “attorneys are certainly not at liberty to ­answer each enquiry received from the press”.

“What is of concern is thoughtless and false statements made in the email.

“A fair assumption would be that a disgruntled Mr Balintulo is exploiting you and your institution to his benefit,” she said in reference to the disgruntled investors.

“Disputes between the parties have been ongoing for years,” she said.

Asked for comment, G-Hold’s director, Themba Xoyiya, declined to provide any ­further information.

Ploeger said Balintulo had provided City Press with “selected information” and a “skewed view”, and she threatened to sue the newspaper.

“Note that we deem the matter as closed,” Ploeger said.

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