[South Africa] Ex-Telkom Group CEO convicted and fined over tax failures of multiple companies

In South Africa, the Palm Ridge Magistrates’ Court has convicted former Telkom Group CEO Sipho Maseko over failures at five companies, News24 reports.

Mr Maseko was convicted in his representative capacity as a director of the five companies which failed to submit tax returns to the South African Revenue Service (SARS). They are: One Fountain Properties, One Fountain Industries, One Fountain Capital, Afrifund Advisory Services, and Afrifund Investments.

The court case was reportedly the result of an investigation by Project Honey Badger, an initiative led by the National Prosecuting Authority (NPA), SARS and the Directorate for Priority Crime Investigation (DPCI). It aimed to improve tax compliance by prosecuting individuals and entities that fail to meet their statutory tax obligations.

The investigation into Mr Maseka’s entities began after a case was opened in September 2025. Authorities say it was not a joint investigation, and no tip-off was received.

Mr Maseko appeared in the Palm Ridge Magistrates’ Court facing 85 counts of contravening the Tax Administration Act 28 of 2011, with charges relating to the failure to submit PAYE, VAT, and Corporate Income Tax (CIT) returns.

The State reportedly contended that Mr Maseko and Sonwabo Mtshazo were directors of the five companies and failed to submit 85 tax returns over several years. State Advocate Athenkosi Mancoba said the failure to submit tax returns hampers SARS in fulfilling its mandate to administer tax effectively and collect revenue.

The entities subsequently submitted all outstanding returns, enabling SARS to assess them. An admission-of-guilt fine of R85 000 was paid on their behalf.

Source: Newsday

In South Africa, the Palm Ridge Magistrates’ Court has convicted former Telkom Group CEO Sipho Maseko over failures at five companies, News24 reports.

Mr Maseko was convicted in his representative capacity as a director of the five companies which failed to submit tax returns to the South African Revenue Service (SARS). They are: One Fountain Properties, One Fountain Industries, One Fountain Capital, Afrifund Advisory Services, and Afrifund Investments.

The court case was reportedly the result of an investigation by Project Honey Badger, an initiative led by the National Prosecuting Authority (NPA), SARS and the Directorate for Priority Crime Investigation (DPCI). It aimed to improve tax compliance by prosecuting individuals and entities that fail to meet their statutory tax obligations.

The investigation into Mr Maseka’s entities began after a case was opened in September 2025. Authorities say it was not a joint investigation, and no tip-off was received.

Mr Maseko appeared in the Palm Ridge Magistrates’ Court facing 85 counts of contravening the Tax Administration Act 28 of 2011, with charges relating to the failure to submit PAYE, VAT, and Corporate Income Tax (CIT) returns.

The State reportedly contended that Mr Maseko and Sonwabo Mtshazo were directors of the five companies and failed to submit 85 tax returns over several years. State Advocate Athenkosi Mancoba said the failure to submit tax returns hampers SARS in fulfilling its mandate to administer tax effectively and collect revenue.

The entities subsequently submitted all outstanding returns, enabling SARS to assess them. An admission-of-guilt fine of R85 000 was paid on their behalf.

Source: Newsday