By Roland Routh
WINDHOEK – Three former residents of the diamond mining town Oranjemund yesterday pleaded not guilty to 513 charges against them involving fraud of N$11.4 million. They appeared in the Windhoek High Court.
Appearing before Judge Alfred Siboleka the accused Charles van Rensburg, 42, Melanie van Niekerk, 43, and her husband Jeremia van Niekerk said they deny all the charges preferred against them and put the onus of proof on the State.
It is alleged the three ran an illegal pyramid scheme at Oranjemund during February 2004 to August 2006 in which they “stole” over N$11 million through dubious means.
Van Rensburg through his lawyer Johan van Vuuren did make some formal admissions.
He admitted that he was a 50 percent shareholder in West Coast Financial Aid from February 2004 until August 2006.
He further admitted that Jeremia van Niekerk was the other 50 percent shareholder and that Melanie van Niekerk was the principal agent of the business.
He also admitted receiving various cash sums from several people that he paid into the account of the business operated from the residence of the Van Niekerks at Oranjemund.
The Van Niekerk couple through their lawyer, Christie Mostert, in almost identical plea explanations denied all the charges and put the onus of proof on the State.
They however admitted they were involved in West Coast Financial Aid, Jeremia by his shareholding and Melanie by being the principal agent of the business.
The further admitted the business was run from their residence at E43 13th Avenue in Oranjemund.
Both did not divulge the basis of their defence and said that it would become apparent during the course of the trial.
Deputy Prosecutor General Ingrid Husselmann who is prosecuting with the assistance of Advocate Jackson Kauutondokwa did not read the numerous counts into the record by mutual consent with the defence teams, to save time.
Counts 1 to 256 relate to fraud with a first alternative of theft and a second alternative of theft under false pretences and counts 257 to 512 relate to contravention of the Banking Institutions Act – Prohibition on Conducting of Banking Business by Unauthorised Persons, while count 513 is contravention of the Close Corporations Act – Reckless or Fraudulent Carrying on of Business or Corporation.
The State alleges the three enticed members of the public to invest in a cash loan business.
This misrepresentation led to numerous people, especially pensioners who wanted to increase their retirement money, to invest large sums of money in the business on the promise they would receive interest on the invested amount ranging between 7 percent and 15 percent per month, the State charges.
According to the summary of substantial facts in the indictment the interest was to be accrued from the 30 percent interest that was going to charged on the amounts of money loaned out by the micro-lending business.
“When the accused so made these misrepresentations they well knew that they were not allowed to receive cash deposits from the public because they were not a banking institution,” the indictment reads.
It concluded saying the accused were not entitled to deal with the amount of N$11.4 million in the way they did and they enriched themselves at the expense of the persons who “invested” money with them.
The case continues with several of the victims to testify.