Three suspects have been arrested by the Serious Commercial Crimes Investigation (SCCI) unit in Johannesburg for their alleged involvement in a R4.4 million fraud and money laundering scheme linked to a fraudulent death benefit claim.
The arrests pertain to a case that was registered at Hillbrow police station in June 2023. The accused are Marwan Aly Mohamed, 44, Mohamed Ahmed Zakaria Badr Mohamed, 45, and Percival Clement Wekeyo, 46. They allegedly colluded to fraudulently claim a death benefit of R4.4 million from Liberty Life Insurance, posing as a syndicate.
Lieutenant-Colonel Lloyd Ramovha, from the Hawks, said the alleged fraudulent activity was brought to the attention of the South African Insurance Crime Bureau (IBC) by Hollard Insurance, which suffered an actual loss of R4.4 million and faced a potential loss of R15 million.
"The case traces back to 16 January 2023, when Hollard Insurance requested IBC to verify the death claim of Mr Wagdi Youseff Zaki. It was reported that the claim had been submitted on 18 June 2021 for the apparent death of Mr Zaki on 9 April 2021.
"Upon investigation, it was found that Liberty Life had processed a death benefit payout for Mr Zaki in the amount of R4.4 million, which was then distributed to various bank accounts," said Ramovha.
"The diligent efforts of the SCCI led to the arrest of the trio on Tuesday. They appeared at the Palm Ridge Specialised Commercial Crimes Court on the same day, where they were granted bail of R15 000 each."
The case was adjourned to May 15 for further investigations.
The Provincial Head of the Hawks' in Gauteng, Major General Ebrahim Kadwa, commended the team for the progress in this case.
"The SCCI i is leading the ongoing investigation to ensure all aspects of the case are thoroughly addressed. We remain committed to combating fraud and safeguarding the financial integrity of our institutions," said Kadwa.