Five companies, 85 missing returns and a conviction for Maseko
PALM RIDGE — Former Telkom chief executive Sipho Maseko has been convicted in his representative capacity as a director of five companies that failed to submit tax returns, with an admission-of-guilt fine of R85,000 paid on behalf of the businesses.
Maseko appeared in the Palm Ridge Magistrates’ Court on Friday facing 85 counts under section 234(2)(d) of the Tax Administration Act. The charges concerned outstanding Pay-As-You-Earn, value-added tax and corporate income tax returns accumulated over several years.
The five companies were One Fountain Properties, One Fountain Industries, One Fountain Capital, Afrifund Advisory Services and Afrifund Investments. National Prosecuting Authority spokesperson Magaboke Mohlatlole confirmed that the conviction related to Maseko’s role representing these entities.
According to the prosecution’s account, Maseko and Sonwabo Mtshazo were directors of the companies during the period of non-submission. State advocate Athenkosi Mancoba argued that missing returns prevented the South African Revenue Service from effectively administering tax and collecting revenue. The reports reviewed did not establish a separate court outcome for Mtshazo.
The companies have since submitted all outstanding returns, allowing SARS to assess them. The reported R85,000 payment was an admission-of-guilt fine; the available accounts did not disclose the amount of tax, if any, payable following those assessments.
The case falls under Project Honey Badger, an initiative involving the NPA, SARS and the Hawks that targets failures to meet statutory tax obligations. Investigations followed the opening of a case in September 2025.
The reported offences concerned the failure to file company returns. The available reporting did not describe a conviction for tax fraud or identify Telkom as one of the affected entities. No response from Maseko or his legal representatives was included in the reports reviewed.
The NPA welcomed the outcome, saying it reinforced taxpayers’ obligation to submit returns as required by law. Although the companies have now completed the outstanding filings, that subsequent compliance did not prevent the matter from resulting in a conviction and fine.
Anyone with additional information can contact the press desk at press@townpress.co.za or drop a tip on our annonymous platform https://tips.townpress.co.za/