VBS bank’s ex-finance boss Phillip Truter pleads guilty to looting of funds

Former VBS Mutual Bank CFO Phillip Truter has pleaded guilty to all six counts charges in connection to looting of funds at the bank.

Truter appeared in the Johannesburg Specialised Commercial Crimes Court, sitting at the Palm Ridge magistrate’s court on Wednesday.
He is the eighth suspect to appear in connection with looting of funds from the bank.

He is facing two counts of fraud, and a count each of money laundering, corruption, racketeering and failure to submit a tax return.

His first appearance was in July when he made it known that he intends pleading guilty to the charges he was facing.

On Wednesday, the prosecution requested a separation of trials in respect of Truter and the application was granted by the court.

Truter pleaded guilty to all six counts and reached an agreement with the state.

He admitted that he claimed the financial statements of the bank for the year ending March 2017 were accurate whereas, he knew the financial statements were false.

Prosecutor Hein van der Merwe read from the agreement saying “the accused does not have any excuse in law for his actions,”

Truter also admitted to receiving gratification of R5m from former VBS chairperson Tshifhiwa Calvin Matodzi.

His former co-accused include Matodzi, former VBS CEO Andile Ramavhunga, former treasurer Phophi Mukhodobwane, and former non-executive board members Enerst Nesane and Paul Magula.

Former CFO of the SA Police Service, Phalaphala Avhashoni Ramikosi, and former KPMG engagement partner, Sipho Malaba, were also arrested.

Their trial will continue on Thursday.