Another arrest in KZN labour dept. fraud case

A second KwaZulu-Natal labour department official has been arrested in connection with fraud, police said on Tuesday.

  

The 34-year-old official would appear in the Durban Commercial Crimes Court on Wednesday, Colonel Vincent Mdunge said.

 

Earlier, Mdunge said a labour department inspector and a teacher were expected to appear in the court on Tuesday on fraud charges.

 

"In the early hours of this morning [Tuesday] we arrested two suspects, aged 33 and 37, in Sunnyside and Adams Mission for fraud," he said.

  

 "It is alleged that the inspector from the department of labour asked the teacher to recruit people who were not employed at that time so that she would fraudulently apply for UIF on their behalf.

 

" A fictitious company was created and those people were listed as the company's employees.

                          

Investigations revealed that R70,000 had been paid out to them so far, Mdunge said.

 

-Sapa