KZN teacher arrested for fraud

By Drum Digital
22 February 2013

A teacher was arrested in Newcastle for fraudulently claiming a life cover policy worth R6 million, KwaZulu-Natal police said on Friday.

Captain Thulani Zwane said the 44-year-old man was arrested while he was busy with his duties at a school in Madadeni township on Thursday.

Four other people were arrested on February 2 in connection with the case, including an employee at a funeral parlour and a local taxi owner.

"After the arrest of the four suspects the owner of the funeral parlour was found dead with gunshot wounds in Besters near Ladysmith," Zwane said.

He said police were still investigating the murder of the funeral owner and no arrests had yet been made.

"At this stage it is not clear if the murder was related to the funeral policy scam," Zwane said.

Police had been investigating a fraudulent claim worth R6 million which was lodged. R3 million was paid out in October.

"The claims were made against an insured life of Themba Nene from Mazizini area in Bergville. Police investigations revealed that Nene had actually died in 2011 not in October 2012 as stated in the claim forms," Zwane said.

The Nene family used the Mthumeni funeral service for the burial of their son and was told by the funeral parlour owner that they could not register his death at the home affairs department because his ID was missing.

The parlour owner then allegedly used Themba's ID to take out life cover for him when he was already dead, without his family's knowledge.

"In January an employee from the funeral parlour visited the Nene family and brought with him an amount of R15,000 and the ID book, saying that it had been misplaced but now it has been found.

"He further told them that the money was compensation for misplacing the ID," Zwane said.

A funeral parlour employee and another man were the claimants of the policy payout. They received R3 million.

-Sapa

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