A 69-year-old businesswoman from Gauteng, Sarathamoney Devi Sigamoney, has been sentenced to 10 years in prison for defrauding the South African Social Security Agency (SASSA) while her company raked in millions from state contracts.
Sigamoney was convicted on five serious charges, including fraud, perjury, and theft, following a court case at the Pretoria North Regional Court on Tuesday. The charges stem from her deceitful receipt of pension payouts from SASSA while being employed as the sole director of a profitable business.
The Fraudulent Scheme
The court heard that in April 2017, Sigamoney applied for an old age grant from SASSA, falsely declaring in her supporting affidavit that she had not worked for the past 20 years. Based on her claim, SASSA approved her application, and she began receiving monthly payments. Between July 2017 and July 2022, she unlawfully received approximately R123,000 in grant money.
However, the truth was far different. Sigamoney had been running a highly successful company, KJP Traders Pty, which had been awarded millions in tenders from the South African Police Service (SAPS) to supply office furniture. In fact, the company had cashed in around R88 million from SAPS contracts, with the last payment made in 2022.
A Strong Message to Fraudsters
Magistrate Pieter Nel, in his sentencing remarks, emphasized the importance of sending a clear message about the severity of such fraudulent actions. Sigamoney had continued to receive the grant money even after charges were brought against her, collecting the illegal payments for an additional 16 months.
As part of the legal process, the Asset Forfeiture Unit had already obtained a confiscation order, mandating Sigamoney to repay R138,593, plus interest, to SASSA.
Appeal Pending
Despite her conviction, Sigamoney was granted leave to appeal the sentence. The court has postponed the appeal matter to March 12, 2025, for further arguments, leaving the possibility of an extended legal battle.
Sigamoney’s case serves as a stark reminder of the serious consequences for individuals who attempt to exploit government systems while running profitable businesses, especially when public funds are involved.
