Eastern Cape doctor fined R500 000 for defrauding SARS R1. 8 million in tax invasion
Kurunalingam Chetty, a 54-year-old medical doctor from East London, was sentenced by the East London Regional Court for contravening the Tax Administration Act and ordered to pay R500,000 for defrauding SARS R1.8 million.
Chetty, who was sentenced on Tuesday, was ordered to pay a R500,000 fine and handed a 10-year prison sentence, wholly suspended for five years, on the condition that he is not convicted of fraud, theft, or tax evasion during that period.
If he fails to pay the fine, he will serve five years in prison.
Eastern Cape Hawks spokesperson Warrant Officer Ndiphiwe Mhlakuvana said Chetty's sentencing followed his arrest in 2023 by the collaboration efforts of the East London Hawks Serious Commercial Crime Investigation, South African Revenue Services (SARS) and National Prosecuting Authority (NPA).
'During the period between 2015 and 2018, Chetty intentionally and unlawfully under-disclosed his income to SARS.'
'SARS picked up discrepancies and thus lodged a complaint with the Hawks for an investigation.'
Mhlakuvana said investigations confirmed that SARS was actually prejudiced cash of more than R1.8 million.
Chetty was arrested in 2023, appeared in court on the same day of his arrest, where he was granted R10 000 bail.
He made numerous court appearances until his sentencing by the East London Regional Court on 13 May 13, 2025.
Mhlakuvana said in addition to the suspended sentence, the court ordered him to pay R500,000.
'Moreover, Chetty was further sentenced to pay a fine of R500,000 and in default of payment, he would undergo five years imprisonment.'
He was also ordered to immediately pay R50 000, of which the remaining R450 000 was deferred over the period of 18 months in instalments of R25 000.
simon.majadibodu@iol.co.za
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