AFU secures R2.2m property linked to FDG Group fraud scheme
The Asset Forfeiture Unit (AFU) of the National Prosecuting Authority (NPA) has obtained a preservation order to freeze a R2.2 million property in Hartbeespoort, North West, linked to the fraudulent operations of the Forever Diamonds and Gold (FDG) group of companies.
This after the Pretoria High Court granted the order to prevent the sale or transfer of the house, on Friday.
The house is owned by Johannes Jakobus Badenhorst, also known as Hannes Badenhorst, and his wife, Christelle Badenhorst.
According to AFU investigations, the funds used to purchase the house came from Tarioco (Pty) Ltd, a company under the FDG group founded by Louis Liebenberg.
The FDG group allegedly lured investors into a fraudulent joint venture, promising high returns from non-existent diamond sales.
Authorities have labeled the scheme a classic Ponzi operation, where incoming investors' money was used to pay existing investors instead of being used for actual diamond trade. The fraudsters allegedly used investor funds to acquire properties and mines for personal gain.
"The AFU intends to apply for a final forfeiture order, after which the property will be auctioned, and the proceeds will be deposited into the Criminal Assets Recovery Account", said National Prosecuting Authority spokesperson Lumka Mahanjana
"This move is part of a broader effort to recover assets obtained through fraudulent means,” she said. AFU Pretoria Head, Advocate Martin Mafojane, welcomed the court’s decision, stating: "The AFU remains committed to confiscating proceeds of crime and ensuring that fraudsters do not benefit from their illegal activities."
Meanwhile, the criminal case against Liebenberg and nine others is ongoing. The accused are set to appear in the Bronkhorstspruit Magistrate’s Court on July 8, 2025.
The AFU has reaffirmed its commitment to dismantling financial crime networks and protecting the public from fraudulent schemes.
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