TV Producer, playwright in hot water for alleged tax evasion

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Renowned television producer, businessman and playwright Dumakude Mayivuke Ndlovu has been granted R100 000 bail for alleged tax evasion.

Ndlovu together with two of his co-accused, Rodney Mutsharini, and Maxwell Mloyi, appeared before the Palm Ridge Specialised Commercial Crime Court on 18 charges of tax fraud.

The charges against Ndlovu, Mutsharini, a registered tax practitioner and Mloyi, who is an un-registered tax practitioner are relating to Ndlovu’s personal and company income tax valued at approximately R26 million.

The trio was arrested on Monday, and formally charged for their alleged offences, Investigating Directorate Against Crime (IDAC) of the NPA spokesperson, Henry Mamothame, confirmed.

Mamothame stated that their arrest and court appearance are as a result of a strengthened collaboration between the South African Revenue Service (SARS) and the Investigating Directorate Against Crime (IDAC) of the NPA.

He added; “The partnership uncovered an alleged collusion between the three in misrepresenting the personal tax affairs of Ndlovu and that of his company.

“The collaborative investigations between the two entities discovered that a company which formed part of the investigations, Bain and Company, was contracted by SARS to render services.

“This company allegedly sub-contracted Ambrobite (Pty) Ltd, now known as Kanoboya Consulting (Pty) Ltd, owned by Ndlovu, to render strategic and project management services between the period November 2013 to September 2016.

“This was however misrepresented by Ndlovu and his tax practitioner, Maxwell Mloyi, when submitting tax returns to SARS,” he explained.

Mamothame said Mloyi together with Ndlovu declared to SARS that the company was dormant and that it never traded during the tax period 2013 to 2017, resulting in a financial loss to SARS.

“In relation to his personal income tax, it was discovered that he together with Rodney Mutsharini misrepresented his personal income tax return for the period 2016 to 2019.

“Furthermore, they submitted his personal income tax return for the year 2020 and 2022, but neglecting to make a submission for the year 2021, which resulted in another financial loss to SARS.

“The total financial loss to SARS due to these alleged offences is estimated at approximately R26 million,” he remarked.

Mamothame said Mutsharini and Mloyi made a brief appearance on the day of their arrest and their matter was postponed to Tuesday, October 1 for formal bail application.

Whilst, Ndlovu made his first court appearance today [Tuesday] and made a formal bail application. The court granted Ndlovu R100 000 bail while Mutsharini and Mloyi were granted R50 000 bail each.

“The court ordered Mloyi and Mutsharini to surrender their travel documents, report to their nearest police stations every Monday and should they wish to travel outside the borders of the country they should make an application with the court.

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Meanwhile, Ndlovu was ordered to report to a police at Sandton police station every Monday or Wednesday, notify the clerk of the court of his KwaZulu-Natal change of address and should submit an application to the court should he desire to travel outside the borders of South Africa. 

The matter was postponed to Monday, November 11 for further investigations.