Land Bank staffers arrested

2010-06-13 20:52

Johannesburg - Four Land Bank staffers are expected to appear in the Polokwane Magistrate's Court in July on charges of defrauding the institution, the Sunday Times reported.

An arrest warrant was issued for a fifth suspect still at large, the National Prosecuting Authority told the publication.

The four, including former employee Theo Behrens, appeared in the Polokwane Magistrates Court on eight counts of fraud, theft and money laundering, and were released on bail. The case was postponed to July 21 when a trial date would be set.

They are accused of defrauding the bank's micro-finance product, Mafisa, an empowerment scheme that offers low interest rate loans to black workers or entrepreneurs who want to be farmers.

Mafisa was piloted in Limpopo, but halted after irregular loans of over R18m were disbursed.