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National Consumer Commission to ‘move fast’ in probing grocery pyramid scheme

The National Prosecuting Authority has confirmed that there have been criminal prosecutions in relation to the scheme.

Acting commissioner Thezi Mabuza said the High Court in Johannesburg has granted the asset forfeiture unit a preservation order to freeze bank accounts worth R18 million. Picture: Saps

JOHANNESBURG - The National Consumer Commission said it had to move fast in investigating a pyramid scheme that has swindled money from more than 230,000 vulnerable South Africans with the promise of giving them grocery packs.

The National Prosecuting Authority has confirmed that there have been criminal prosecutions in relation to the scheme.

Members were required to join for R180 and recruit five others in order to receive the pack of food.

If their recruits get others to join, the original member will receive commission together with the grocery packs.

Acting commissioner Thezi Mabuza said the High Court in Johannesburg had granted the Asset Forfeiture Unit a preservation order to freeze bank accounts worth R18 million.

“Between 24 May and 15 June, three luxury vehicles - a Hummer, an Audi TT Coupe and a Jaguar Coupe - were purchased. These vehicles were not registered as company assets but were registered in the names of one of the directors of Up Money.”

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