Sars obtains court order to freeze millions in assets from ex-employees

Johnstone Makhubu, the incoming (and acting) commissioner of the South African Revenue Service (Sars), has issued a stern warning that corruption within the institution will not be tolerated, as the taxman closes in on wrongdoers.

The warning comes after Sars secured a preservation order against the assets of two of its former officials suspected of malfeasance.

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The revenue service says that, in addition to meeting the statutory threshold prescribed in the Tax Administration Act for granting a preservation order, it also presented prima facie evidence before the court of non-compliance with relevant tax laws by the pair.

This includes alleged corruption, money laundering, conducting unauthorised work outside Sars, a breach of Sars’s secrecy provisions, and misuse of state property.

One of the implicated employees resigned in 2024, and the other in 2025.

The Gauteng Division of the High Court in Pretoria has granted the preservation of their assets, preventing their dissipation while tax assessments are being finalised.

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The preservation order places under curatorship three immovable properties, estimated to be worth several million rand in total, six vehicles, and multiple bank and investment accounts held across major financial institutions.

Apart from the assets identified by the taxman, the curator has been authorised by the court to investigate and locate any further assets that may be concealed.

“Corruption by Sars employees, whether former or present, is the worst form of betrayal.

“It undermines public trust, damages the integrity of our systems, and strikes at the heart of the state’s ability to serve its people,” says Makhubu, who was recently announced as Edward Kieswetter’s successor.

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“We are acting early, securing assets, and following the money. Where corruption intersects with tax and customs systems, Sars will intervene swiftly and lawfully. No one is above the law, especially those entrusted to enforce it,” he adds.

Sars has not ruled out further civil, administrative, and criminal processes as investigations continue.

Listen to Kieswetter speaking to Jimmy Moyaha on SAfm Market Update about Sars’s record revenue collection (or read the transcript here): 

You can also listen to this podcast on iono.fm here.

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