Couple and relative accused in alleged R27 million COVID-19 TERS fraud granted bail totalling R603 000 after appearing in the Middelburg Magistrate’s Court.
Image: File
A married couple and a relative accused in a multi-million-rand COVID-19 Temporary Employer-Employee Relief Scheme (TERS) fraud case have been granted bail totaling R603 000 after appearing in the Middelburg Magistrate’s Court on Monday, May 18, 2026.
Fumu Mkalira Msiska, 48, a Malawian-born permanent South African resident, and his wife, Gladness Msiska Mkhonto, 48, were each granted bail of R300 000. Their co-accused, 39-year-old Bongani Zoran Mkhonto, was granted bail of R3 000.
The trio face charges linked to an alleged R26.9 million fraud scheme involving more than 700 ghost employees and former workers under the COVID-19 TERS programme, which was administered by the Unemployment Insurance Fund (UIF) to support workers and businesses during the pandemic.
The Directorate for Priority Crime Investigation (Hawks) spokesperson Lieutenant Colonel Magonseni Nkosi said the accused handed themselves over to the Serious Corruption Investigation unit in Nelspruit on Sunday, May 17, 2026, following what authorities described as a lengthy joint investigation involving the Hawks, the Special Investigating Unit (SIU), the UIF, and the National Prosecuting Authority’s Asset Forfeiture Unit (AFU).
Investigators allege that the company A and F Consulting unlawfully benefited from the TERS scheme by claiming funds for more than 700 fictitious employees, receiving approximately R26 943 793.19 in 2020.
“It is further alleged that the funds were subsequently transferred from A and F Consulting to Khulani Quality Contribution, a company linked to Msiska’s wife,” said Nkosi.
“The brother-in-law allegedly acted as a runner by sourcing identification particulars used to facilitate fraudulent claims involving ghost employees and former workers of the company.”
Authorities have also moved to secure assets linked to the alleged fraud. The AFU reportedly obtained orders to freeze bank accounts and seize five vehicles, while three properties in Pretoria, Middelburg and White River have been preserved, alongside household goods and office equipment.
The case has been postponed to July 2, 2026, for further investigation.
Mpumalanga Hawks Provincial Head, Major General Nico Gerber, said the matter remains under close scrutiny.
“Working together as various law enforcement agencies will assist in ensuring justice is served for those affected by the ghost employee scheme,” said Major General Gerber.
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