The Gauteng Department of Education lost nearly R3.8 million in a payroll fraud scheme involving fake employees, orchestrated by former employees and an external accomplice.
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Two former employees of the Gauteng Department of Education and an external accomplice are set to be sentenced this week for their roles in a ghost employee scheme that defrauded the department of approximately R3.8 million.
The trio – a man and woman who were employed by the department, and a man who is the brother of one of the accused – will appear at the Johannesburg Commercial Crimes Court sitting at the Palm Ridge Magistrate’s Court on October 1 and 2, 2025.
They were found guilty on May 23, 2025, on multiple counts of fraud, forgery, and theft, following an investigation that began nearly a decade ago.
According to departmental spokesperson Steve Mabona, the case stems from a 2016 internal risk investigation into fraudulent salary payments linked to ghost employees in the Human Resources Unit at the Gauteng West District Office.
“A criminal case was opened in 2016, which ultimately led to the arrest of the two former employees and their external accomplice,” said Mabona.
The internal investigation revealed that seven employees were involved, who were later dismissed for their involvement in the matter.
Mabona said five additional staff members were dismissed following disciplinary hearings.
“These dismissals were later challenged at the Public Service Sectoral Bargaining Council. However, the Department successfully defended its actions in both the Labour Court and the Labour Appeal Court, with the ruling upheld in January 2025,” Mabona said.
Gauteng Education MEC Matome Chiloane welcomed the outcome, describing it as a victory for integrity and accountability in the public sector.
“This case demonstrates our commitment to protecting public funds and upholding integrity,” said Chiloane.
“We initiated the investigation, took decisive disciplinary action, and ensured that justice was served. It must serve as a warning to anyone who considers engaging in criminal activity in our sector.”
The Department said it has since reinforced its internal controls and risk management systems to prevent and detect unethical behaviour, and is committed to promoting a culture of accountability across all its offices and schools.
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