This matter is in connection with the Vrede feasibility study criminal case. In June 2021, the NPA’s Asset Forfeiture Unit (AFU) provisionally obtained the restraint order from the Bloemfontein High Court seizing properties owned by the Gupta’s Islandsite Investments 180 company, including a Constantia house worth R21 million in Cape Town and their notorious Saxonwold home in Johannesburg, valued at R12 million. Other assets seized include the Sandton home belonging to alleged Gupta affiliate and former Transnet board member Iqbal Sharma, valued at over R12 million and previously featured on Top Billing. The matter will be heard in the Bloemfontein High Court this morning. It is expected the Guptas and Sharma will oppose the finalisation of the restraint order.

More details will be heard on Thursday regarding Islandsite Investments Director Ronica Ragavan’s 54-page affidavit in which she proclaims Atul and Rajesh Gupta’s innocence in the case. Islandsite Investments and Ragavan were recently added to the criminal case as suspects. The Guptas previously attempted to have Ragavan represent Islandsite Investments in proceedings pertaining to the restraint order, however, their application was denied by the Free State High Court President, Cagney Musi, in light of the company being placed under business rescue. Musi echoed the state’s sentiments that the assigned business rescue practitioners, Knoop and Kloppers, were the only ones who could represent Islandsite Investments in said proceedings and maintained there were provisions legally for said business rescue practitioners to call on the directors of the company to represent the business if need be.

The background of the case is that in 2011, the Free State Agriculture Department paid over almost R25 million to Nulane Investments, which was owned by former Transnet board member, Iqbal Sharma, for the Vrede feasibility study. Nulane – represented by Sharma’s brother-in-law Dinesh Patel – then negotiated and subcontracted the same feasibility study to forensic auditing firm, Deloitte, for R1,5 million. They went further and subcontracted the work already carried out by Deloitte to Gateway Limited and paid them R19 million. The state alleges the funds were thereafter laundered into varied accounts, including that of Islandsite Investments 180. It is for the money laundering that occurred that the Gupta family has now been linked to the case.

The state has, in the light of the money laundering allegations, approached Interpol to have them issue red notices for Atul and Rajesh Gupta, as well as their wives Chetali and Arti. Whilst red notices for the Gupta family are under consideration, the notices have been issued for their associates: former Nulane Investment Bank of Baroda account signatory Ankit Jain;  Director of Wone Management, Ravindra Nath; and the Directors of Pragat Investments, Ramesh Bhat and Jagdish Parekh.

The current accused in this matter are: the former Deputy Director-General (DDG) of the Department of Trade and Industry (DTI) and Transnet board member, Iqbal Sharma; the former Free State Agriculture Department Head, Peter Thabethe; current Deputy Director-General at the Department of Cooperative Governance and Traditional Affairs (Cogta), Sylvia Dlamini; Bloem Water Chief Executive Officer (CEO), Limakatso Moorosi; Sharma’s businessman brother-in-law, Dinesh Patel; and now Ragavan. They were all released out on bail of between R10 000 and R500 000 following their respective arrests.

UPDATE: The case was postponed to 16 March 2022 for trial but prior to that, parties need to submit founding affidavits and heads of arguments.

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