Johannesburg– Tax Justice SA (TJSA) has applauded Sasfin Bank’s recent announcement that it has taken legal action against 11 former employees accused of participating in a large-scale money laundering operation connected to South Africa’s illicit cigarette trade. The organization is now urging the National Prosecuting Authority (NPA) to ensure swift justice for these suspects and to bring charges against the alleged criminal masterminds behind the illicit operation.
The scandal was exposed earlier this year in an Al Jazeera documentary titled “Gold Mafia,” which revealed Sasfin Bank’s alleged involvement in a money laundering scheme for the Gold Leaf Tobacco Corporation (GLTC). GLTC, headquartered in Johannesburg and led by Zimbabwean businessman Simon Rudland, has come under scrutiny for its purported role in the illicit cigarette trade.
The documentary, relying on thousands of previously undisclosed documents and testimonies from key underworld figures, implicated Sasfin Bank in facilitating money laundering for the profits derived from the sale of illegal cigarettes. In the investigation’s conclusion, Al Jazeera investigators stated, “Gold Leaf’s Sasfin account is Simon Rudland’s laundromat for the profits from the illicit cigarette sales.”
The revelations in “Gold Mafia” have exposed the extent to which organized crime has infiltrated critical sectors of South Africa’s economy, resulting in the illicit siphoning of billions of rand to offshore havens. This rampant criminal activity not only drains the country’s economy but also deprives the government of much-needed revenue that could be used to improve the lives of law-abiding citizens.
Tax Justice SA has called upon the National Prosecuting Authority to ensure that the former Sasfin employees named in the charges face a prompt and fair trial. Additionally, the organization is urging the NPA to vigorously pursue and prosecute the criminal kingpins responsible for orchestrating this vast money laundering operation through corruption and intimidation tactics.
Key evidence in the Gold Mafia investigation was provided by Dawood Khan, the brother and former accomplice of Mohamed Khan, known as ‘Mo Dollars,’ who was identified by Al Jazeera as Simon Rudland’s chief money launderer. Dawood Khan, now in witness protection, revealed, “Gold Leaf Tobacco was opened specifically for the intention of money laundering and nothing else.” He further disclosed, “We were actually the executive management team of the Sasfin forex processing department… Mohamed was the CEO of that company – without them knowing. 99% of all GLTC payments were money-laundering, fraudulent transactions.”
The unfolding scandal has shaken South Africa’s financial and legal systems, shedding light on the urgent need for comprehensive efforts to combat money laundering and illicit financial activities. As the legal proceedings against the 11 former Sasfin employees progress, the nation will be closely watching to ensure that justice is served, and those responsible for this large-scale money laundering operation are held accountable for their actions.