Divorcee found guilty of concealing shares worth millions from husband

South African prosecutors are seeking a prison sentence for Gonasundree Naidoo, a woman convicted of fraud after concealing millions of rands worth of shares from a liquidator appointed to wind up her and her husband’s joint estate following their divorce. Naidoo, from Sandton, was found guilty of telling liquidator Prasothmen Naicker that she had shares with her previous employer, Robor, worth R2.1 million, while their actual value was double that amount. Naicker’s investigation revealed that the shares were valued at R4 million, and further inquiries showed that Naidoo had sold the shares, with the proceeds paid into her sister’s bank account. Naicker filed a fraud case against the 55-year-old Naidoo, who was subsequently convicted. Magistrate Emmanuel Magampa, in his judgment, stated that it was Naidoo’s responsibility to disclose the full amount from the sale of the shares so it could be counted as part of the estate. The accused sold the Robor shares in 2013, got paid R4,056,270 and when she was asked to provide details of the assets and liabilities in 2014 this amount was not disclosed, Magampa said. In my view, that was a calculated intention to conceal the correct amount received upon the sale of the shares and there is no legal justification for that. Magampa further explained that had Naicker relied on the information provided by Naidoo, he would have only considered the lower figure of R2.1 million, leading to prejudice for the estate and her ex-husband, Suthanthiran Naidoo. Although the estate is still to be divided, Magampa emphasized the potential prejudice that could have occurred if the true value of the shares had not been discovered. At a sentencing hearing, the probation officer recommended correctional supervision for Naidoo. However, prosecutor Adv Bongani Chauke argued that the state is pushing for a custodial sentence, citing the Criminal Law Amendment Act, which mandates a minimum sentence of 15 years for fraud cases involving amounts over R500,000. The matter has been postponed until May, with Chauke set to call witnesses, including the ex-husband, to testify in aggravation of the sentence. During the trial, Naidoo testified about her troubled marriage to Suthanthiran, explaining that he had pressured her to resign from her job and sell the shares. She claimed he threatened to expose her extramarital affair and forced her into resigning to protect her integrity. After their separation, Naidoo said she arranged for the proceeds of the shares to be paid into her sisters bank account. Magampa noted that Naidoos testimony about her marriage conflicts with the legal position that the shares were part of the joint estate, and any proceeds from their sale should be included in the estate.The post Divorcee found guilty of concealing shares worth millions from husband appeared first on Linda Ikeji Blog.