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Doctor sentenced for R17m undeclared tax; lawyer faces R39m escrow account fraud charge

Doctor sentenced for R17m undeclared tax; lawyer faces R39m escrow account fraud charge
The Kimberley physician and the 81-year-old Gauteng lawyer appeared in two specialised commercial crimes courts.

Dr Fabian Royston Tun (55), who advertises himself as “the pain doctor”, was convicted and sentenced this week in the Kimberley Specialised Commercial Crimes Court on eight counts of failure to submit personal income tax returns and 42 counts of failure to submit value-added tax (VAT) returns from August 2016 to June 2023.

The State alleged that from 2015 to 2022, Tun received an income amounting to more than R17-million.

He was arrested in a joint operation by the SA Revenue Service, the Directorate for Priority Crime Investigation and the National Prosecuting Authority’s Taxation and Financial Crimes Unit, led by advocates Martin Molokwane and Tebogo Moheta.

Tun pleaded guilty to all charges and was sentenced to two years’ imprisonment suspended for five years and a fine of R10,000 or four months per count, of which R5,000 or two months per count was also suspended for five years.

He has since submitted all his outstanding income and VAT returns.

Fraud


A former director of Fluxmans Attorneys, Solomon Slom (81), appeared in the Palm Ridge Specialised Commercial Crimes Court on Monday on charges of fraud involving R39-million. 

Between 2019 and 2024, Slom, who was a representative of Fluxmans in an escrow agreement, allegedly withdrew funds from the escrow account without authorisation in 145 transactions and used these for personal benefit.

The escrow agreement was part of a subscription agreement between four parties, including Fluxmans Incorporated, with Slom representing Fluxmans. The funds were meant to be held in Fluxmans’ escrow account until the agreement’s terms were fulfilled.

Slom is accused of defrauding the firm by submitting fictitious requisition forms. The alleged scam was uncovered by Fluxmans after it was alerted by one of the parties in the escrow agreement.

A bank statement revealed a shortfall of R39-million. Slom made an unsuccessful attempt to take his own life after the fraud was uncovered.

He was released on bail of R50,000 and is scheduled to reappear in court on 12 September. DM