Trade unions criticise lenient sentence for businessman involved in Transnet fraud
Unions criticise Transnet fraud sentence
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Trade unions have criticised the five-year effective sentence handed down to businessman Yakub Ahmed Suleman Bhikhu for defrauding Transnet of R66 million, saying the punishment does not reflect the severity of the crime or the damage caused to workers and the economy.
The Federation of Unions of South Africa (FEDUSA) said it “fully supports and endorses” the position of its affiliate, the United National Transport Union (UNTU), which earlier raised concerns over the sentence.
“Like UNTU, FEDUSA is deeply concerned that the effective five-year sentence, following a conviction in one of South Africa’s most egregious State Capture-related scandals, does not reflect the gravity of the crime nor the long-term damage inflicted on workers, the economy, and the integrity of public institutions,” the federation said in a statement.
Bhikhu and his company, Homix (Pty) Ltd, were convicted by the Pretoria Regional Court on 81 counts, including fraud, forgery, uttering, money laundering, and contravening the Tax Administration Act. The offences were committed between 2012 and 2015 and caused a loss of about R66 million to Transnet.
Bhikhu pleaded guilty and was sentenced to 10 years in prison, with five years suspended, effectively serving five years behind bars. He was also ordered to repay R300,000 to Transnet, while Homix received a suspended fine of R500,000.
However, FEDUSA said the sentence “sends the wrong message” and risks emboldening other looters.
“It undermines confidence in our democratic institutions, particularly the National Prosecuting Authority and the judiciary, whose mandate is to protect the public interest and ensure accountability at all levels of society,” the federation said.
Bhikhu was implicated in evidence led before the State Capture Commission. He evaded arrest for six years before being apprehended at the border while trying to enter Botswana. He has been in custody since.
The NPA’s Investigating Directorate Against Corruption (IDAC) said it welcomed the conviction and sentencing, adding that it was the result of collaboration among law enforcement partners.
But FEDUSA insisted that “until the full weight of the law is brought to bear on those who defraud the state, economic justice will remain elusive”.