Durban businessman Thoshan Panday was denied bail on Monday following his arrest on tax fraud allegations.
The 52-year-old was arrested on September 5,2024 and made a bid for bail on Monday in the Durban Magistrate’s Court.
He is facing 27 counts of fraud, alternatively contraventions of tax legislation which outlines false returns in respect of VAT and Annual Income Tax.
According to the Investigating Directorate Against Corruption (IDAC) the South African Revenue Services was allegedly prejudiced R7,3million.
IDAC spokesperson Henry Mamothame said the matter was adjourned to September 25, 2024, for an indictment to be served.
Mamothame said Panday was denied bail due to the fact he was a flight risk.
“Relying upon an affidavit of the investigating officer, the prosecutor argued that Panday was a flight risk.
“In respect of a pending matter in the High Court where he faces charges of racketeering, fraud and corruption, Panday had been granted bail subject to stringent conditions, including that he surrender his passport to the investigating officer.
“Panday, however, contravened his bail conditions by misrepresenting to the High Court in 2022 that he required his passport to enable him to travel to several destinations in Europe in December 2022 returning in January 2023.”
Mamothame said unbeknown to the State, Panday travelled to the United States of America (USA) in the face of the High Court order permitting him to travel to Europe only.
“The State alleged that upon entering the USA, Panday presented a passport which he had previously stated under oath in court proceedings had been lost, and which he had reported as lost to the Department of Home Affairs.
“Upon his departure from the USA, Panday presented a further passport which upon his return to South Africa, he claimed was also lost.”
Mamothame said the prosecution argued that it was not in the interest of justice to grant Panday bail as he was proven not to be a credible person, and thus constituted a flight risk.
“The prosecution also drew attention to evidence that Panday had previously interfered with State witnesses, had tried to bribe an investigating officer and was proven to have the financial means to live a luxurious lifestyle even after his assets were restrained by the Asset Forfeiture Unit.”
IDAC said the Magistrate agreed with the submissions of the prosecutor and dismissed Panday’s application to be released on bail.
In a separate matter Panday is among nine accused currently appearing in the Durban High Court on fraud and corruption charges pertaining to the 2010 Soccer World Cup.
The state alleges that he was effectively in control of several entities which had received payments from the South African Police Services (SAPS) amounting to approximately R47 million, owing to a corrupt relationship formed with members of the Supply Chain Management Division of the SAPS.
The accused include his wife, mother and former provincial commissioner, Lieutenant General Mmamonye Ngobeni.
IOL News