Burial firm accused of fraud
2001-08-06 07:53
King William's Town - Fraud cases have been opened against Durban-based Boreca Burials Scheme after it failed to bury at least three bodies in King William's Town, police said on Sunday.
The scheme had in July closed its operations in the Eastern Cape.
Captain Thozama Solani said three counts of fraud had been open although the police believed there were hundreds of victims of the scheme.
Boreca Burial Scheme marketing manager Hopewell Ntuli said
embezzlement of funds by staff had led to the closure of the
Eastern Cape office.
Ntuli said employees were now forwarding client's premiums to the head-office.
"We are aware of the problems and the money we are owing, but we will sort it out," Ntuli said. He said the offices would be re-opened soon and new people employed.
Boreca Burial Scheme's former regional manager Lungile Momoza, who resigned in July 16 after allegedly not being paid for three months, said since March the scheme had failed to bury 12 bodies.
"There were eight in March, two in June and one in July, all only in the King William's Town area," Momoza said.
Body kept in parlour because of 'arrears'
The body of Noma-Indai Goje, 89, who died last Tuesday is being kept in a local funeral parlour after Boreca said she was in arrears on a policy.
The deceased's granddaughter Nongetheni Mlenze said Goje, who joined the scheme in June last year, was up to-date with her
premiums. She was supposed to have been buried last weekend.
This was confirmed by Momoza.
He said the offices of Boreca were closed last month on instruction from head office. However, clients were still to pay, and their deposit slips faxed to Durban.
"Almost all our clients are eligible and are pensioners," he said.
Momoza said Boreca was established here last year and had about 2 060 clients.
Ngoma Funeral Parlour general manager Sam Badi in Whittleseas said the scheme has owed them R15 000 since December.
A group of more than 100 pensioners flocked to the offices of the South African Civics Organisation (Sanco) on Wednesday, seeking advice after Boreca was closed.
Sanco sub-regional secretary Vuyo Nkonzo, as well as Captain Solani and Ngoma Funeral Parlour owner Vuyile Ngoma, appealed to people to be more cautious.
- SAPA