The state’s corruption case against businessman Vimpie Manthata suffered a blow after the Palm Ridge Magistrate’s Court acquitted him and his co-accused in a R19m tax fraud case that had formed a central pillar of the broader ‘blue lights’ procurement scandal.

The Star reports the verdict – delivered by Magistrate Phindi Keswa – saw Manthata, his company, Instrumentation for Traffic Law Enforcement, and bookkeeper, Judy Rose, cleared of all charges related to alleged violations of the Tax Administration Act during the 2018 and 2019 tax years.

Legal experts claim the state’s inability to prove its case beyond a reasonable doubt will now put additional pressure on the corruption trial, which has already faced years of delays, procedural blunders and accusations of political motivation.

‘The prosecution could not distinguish between clerical mistakes and criminal conduct,’ Magistrate Keswa ruled.   ‘Assumptions and administrative discrepancies cannot be used to build a case without clear evidence of intent.’

The SARS prosecution had alleged that Manthata’s company manipulated its tax returns to avoid paying nearly R19m in VAT and other obligations.

But defence attorney Pierre du Toit successfully argued that there was no evidence of fraud, deception or intent to mislead SARS.

Last week, the same court postponed the blue lights trial yet again – this time to October – after severe criticism of the state’s inability to produce a coherent charge sheet more than seven years after the case was first opened.

Magistrate Ashika Ramalal lambasted the prosecution’s handling of the case, saying the delays and repeated administrative errors were unacceptable.

She warned that no further postponements would be tolerated.

Full report in The Star