PHILLIP NKOSI, Pretoria | Thursday
FIVE Pretoria businessmen accused of selling more than 340 dud computers to Mpumalanga schools in a R3,7m scam allegedly used their loot to buy plush mansions in the capital and at Plettenberg Bay.
The five men, all linked to Keystone Information Systems, are also believed to have sold an additional 400 defective or pirated computers to Mpumalanga’s health department.
The department’s information technology head, Craig Williams, has been suspended and faces possible fraud charges.
Keystone’s offices in Brooklyn, Pretoria, were meanwhile raided by police last week and 347 computers were confiscated.
No one was arrested, but police confirm the company allegedly disguised cheap low-powered computers as more expensive Xylo machines manufactured by Siltek.
“They also appear to have loaded the computers with illegally pirated Microsoft software programmes, for which the government paid the full price,” said policemen Senior Superintendent Martin Aylward.
“All I can say at this stage is that the men will be arrested soon and charged with fraud, counterfeiting and the violation of international copyright,” he said.
Mpumalanga officials blew the whistle on the alleged scam when their computers refused to work properly.
“It appears Keystone bought defective computers very cheaply, relabeled them and then tried to pass them off as Xylo Computers,” said Aylward.
Siltek and international software giant Microsoft representatives accompanied police on their raid, and said they were instituting civil action against Keystone’s directors.
Police are meanwhile examining all computers supplied to government by Keystone, including shipments to the national labour department in Pretoria, to ensure that no additional fraud occurred. – African Eye News Service