The trial of two accused related to VBS is set to start. Photo: VBS Mutual Bank/ web

Trial of VBS Mutual Bank accused starts tomorrow

The trial of two accused relating to VBS Mutual Bank is set to start tomorrow. This relates to an investment of R 120 million scandal


The trial of two accused related to VBS is set to start. Photo: VBS Mutual Bank/ web

The trial of two accused related to VBS Mutual Bank is set to start tomorrow, Thursday, 3 November.


The two accused in the VBS scandal Tsakani Charlotte Ngobeni, a former Municipal manager at Collins Chabane Municipality  and Eadie Makamu a former  Chief Financial Officer also at Collins Chabane Municipality will start at the High Court sitting in Palm Ridge Magistrates Court, Regional Court 1, according to the National Prosecuting Authority.


“The two are facing charges of two counts of contravention of the financial Management act collectively.”

Lumka Mahanjana, NPA spokesperson

She says Ngobeni further faces 4 counts of corruption.

The charges relate to an investment of R 120  million made to VBS bank.

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According to Wikipedia, VBS Mutual Bank was a South African mutual bank. In 2018 it was declared insolvent and bankrupt and placed under curatorship, with South African citizens and taxpayers defrauded out of roughly R2 billion. It was formed as Venda Building Society in 1982 and became a mutual bank in 1992.

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According to the bank’s website, VBS Mutual Bank was placed into final liquidation by the North Gauteng High Court on 13 November 2018 and Mr Anoosh Rooplal was appointed as liquidator by the Master of the High Court.

As per the Insolvency Act 24 of 1936, as amended, the liquidator’s primary role is to trace and recover the assets of the Bank to the benefit of all of the Bank’s known creditors.

In the ongoing probe into the looting of this bank, at least six people were previously arrested in connection with the scandal.

According to IOL, Nkhensani Ndengeza,45, Mabaso Nazo, 39, Rotshidzwa Khazamula, 37, Vuyelwa Matshangaza, 38, Mangaliso Matshangaza, 37, and Lazarus Matshangaza, 43, are some municipal officials and a businessman who appeared before the Orkney Magistrate’s Court in May this year.

Each was granted R5000 bail upon appearing in court.

This is a developing story.