A former acting judge, who hit Western Cape Deputy Judge President Jeanette Traverso with a golf cart, is again in hot water because of his antics behind the wheel - this time for drunk driving.

Leila Samodien

Justice Writer

A FORMER acting judge, who hit Western Cape Deputy Judge President Jeanette Traverso with a golf cart, is again in hot water because of his antics behind the wheel – this time for drunk driving.

Advocate Robert McDougall, SC, appeared in the Wynberg Magistrate’s Court yesterday after his blood alcohol level was found to be four times higher than the legal limit.

It was his first appearance.

This comes more than a year after the authorities pulled him over in a Mercedes- Benz on Ladies Mile in Bergvliet on January 31, 2011.

McDougall, who was not acting on the Bench at the time, was charged with drunk driving at the Diep River police station.

However, he could alternatively face charges of either reckless and negligent driving, driving with excessive amounts of alcohol in his blood or inconsiderate driving.

He was caught with an alcohol concentration level of 0.20g per 100ml of blood.

The legal limit is 0.05g per 100ml of blood.

McDougall, dressed in a blue blazer and tie, appeared calm and confident as he left the magistrate’s court yesterday morning following a postponement of the matter to March 16 for a plea bargain.

Speaking to the Cape Times about his court appearance, McDougall said the matter had taken so long to come before court because it had taken months to process his blood sample.

“It’s been such a long time since it happened. I can understand why people would be

interested in the Traverso matter.

“It was a freak accident, but not this,” he said, adding that “it was not certain that he would take a plea bargain”.

He also indicated that he would still act on the Bench if asked.

McDougall, 66, made headlines a few months ago when he accidentally struck Traverso with a golf cart during a game at the Royal Cape Golf Club in September.

Traverso was severely injured and was put in a medically induced coma in the intensive care unit at Vincent Pallotti Hospital.

She broke a number of bones, including her pelvis and shoulder, and also suffered a punctured lung.

The two were playing a round of golf on a Sunday morning with Judge Willem Louw when the accident took place. Judge Louw was not injured.

Speaking to the media a week after the incident, McDougall said he and Traverso had played golf together for many years without incident.

He said the two judges had been walking directly in front of him with about a metre between them.

He explained that he had tried to move the cart forward slightly but said that when he had tried to stop he “pressed the accelerator instead of the brakes by mistake” and had hit Traverso.

McDougall, a senior advocate at the Cape Bar who has previously acted on the Bench, was an acting judge when the incident took place.

At the time he said there was “no animosity” towards him at the high court, and that a number of colleagues had called him to lend their support.

While Traverso – who has been serving as deputy judge president since 2011 and is the first woman acting judge president in the country – is still recovering and has not yet returned to court to resume her duties, she is understood to occasionally visit the high court.

leila.samodien@inl.co.za

Circumstances surrounding five murders and a suspicious suicide in the city can all be linked to the underworld network operating in nightclubs and the drug trade, a probe by the Cape Times has found.

Caryn Dolley

CIRCUMSTANCES surrounding a number of murders and a suspicious suicide and shooting in the city can all be linked to the underworld network operating in nightclubs and the drug trade, a probe by the Cape Times has found.

The deaths include those of a city official and gang leaders as well as that of a child of four years old.

During a series of interviews with various underworld figures, the Cape Times has been told the string of murders and the suicide of a city councillor are all linked to a group of criminals who feared losing control of illegal operations and who therefore ordered hits, in some cases making the planned killings look like random crimes or acts.

The murders and suicide – including four incidents previously not connected to underworld dealings – took place around Cape Town over a six-year period.

The allegations have surfaced while the focus is on the city’s notorious nightclub bouncer industry, which was quickly dominated by a new company, Specialised Protection Services (SPS), after underworld businessman Cyril Beeka’s murder last year.

About two weeks ago, SPS was effectively crippled when managers and employers were arrested for not being registered with the Private Security Industry Regulatory Authority.

The sources, who fear being murdered and have therefore declined to be named, have linked the following incidents:

l April 5, 2006: Gavin Myburgh, an Americans gang leader, was gunned down while sitting in a bakkie with a friend outside Access Park in Kenilworth. Seven men were later arrested.

Sources have told the Cape Times that Myburgh, linked to underworld businessmen, was gaining too much control in criminal operations, especially drug peddling, and was therefore “taken out”.

l May 21, 2007: Yuri “the Russian” Ulianitski was gunned down while driving in Milnerton. His daughter, Yulia, 4, was also killed in the attack. His best friend, Igor Russol, currently in custody and accused of extortion, previously told the Cape Times that Ulianitski’s control over underworld dealings in the city centre, including nightclubs, resulted in his murder.

No arrests were made.

l April 25, 2009: Glen Kleinsmith, 38, the chairman of the city’s substance abuse enforcement task team, nicknamed the Drugbusters, was found dead in his Bellville home. He allegedly committed suicide by strangling himself by using the cord of a cellphone charger tied to a cupboard handle.

At the time of his death, Kleinsmith had been probing various drug syndicates and operations, and the Cape Times was told he had been at a nightclub hours before he was found dead. Kleinsmith’s laptop had also been taken from his Bellville office.

A few days ago, mayco member for safety and security JP Smith said he did not believe Kleinsmith committed suicide, and felt his death could be linked to drug probes. “I understand police were never able to get enough evidence to charge anyone… There’s no way he could’ve ended his life.”

However, last week, police spokesman Frederick van Wyk said: “No foul play was suspected in connection with this suicide. The case is closed.”

l August 3, 2009: Rashaad “Charra” Abrahams, who owned popular nightclub @mospheer, was shot dead by a guard from a private security company when he and an accomplice apparently broke into a Tamboerskloof home.

His accomplice fled and last week Van Wyk confirmed this person had never been tracked down. A number of underworld sources told the Cape Times that Abrahams was lured to the home and set-up as other criminals wanted to run his clubs and take over illegal operations he was in charge of.

l March 21, 2011: Beeka was assassinated while being driven by Serbian fugitive Dobrosav Gavric in Bellville South.

Last month during Gavric’s bail application in the Cape Town Magistrate’s Court, the investigating officer, Paul Hendrikse, said Jerome Booysen, whom he identified as the leader of the Sexy Boys gang, was a suspect in Beeka’s murder. But arrests are yet to be made.

l February 7, 2012: Bruno Bronn, the owner of popular gay nightclub Bronx, was found murdered in his Green Point home.

His hands had been bound and there were marks on his neck.

Four arrests were made a few days later. Accused number one in the case is John Frederick Coetzee, 36, a former bouncer at Bronx and who was previously in a relationship with Bronn.

caryn.dolley@inl.co.za

The ANC used the debate on Premier Helen Zille's State of the Province Address to tear into the DA and its policies as members of both parties accused each other of racism.

THE ANC used the debate on Premier Helen Zille's State of the Province address to tear into the DA and its policies as members of both parties accused each other of racism.

Attacking the theme of Zille's opening address, ANC caucus leader Lynne Brown said that "Better Together" was contrary to the actions of the DA in government.

In her speech last week Zille highlighted her government's achievements and future plans including:

l The establishment of an Economic Development Partnership on April 1.

l Plans to have each household in Khayelitsha and Mitchells Plain connected to broadband internet by 2014.

l Rigorously embracing an oversight role for the police through the Western Cape Community Safety Bill.

But Brown cited the closure of the Provincial Development Council, Zille's twitter spats with singer Simphiwe Dana, and the police's attitude towards protesters in Hangberg, Makhaza and Rondebosch Common as a true portrayal of the DA's attitude to the lesser privileged.

And instead of transforming the province's historic inequalities, Brown accused Zille and her government of maintaining the status quo.

"Access to power and the economy should still only be left in the hands of big, white business, at the exclusion of blacks and coloured people," said Brown.

The DA government had stated that it would focus on creating jobs in established businesses.

In his response Health MEC Theuns Botha, the Leader of Government Business, said the DA had inherited "a fragmented, divided government" when it took over from the ANC in 2009.

"Now we see a slow integration of programmes resulting in less fragmentation, improved service delivery and less duplication and triplication of financial and human resources. The transversal management system proves - we are indeed Better Together," said Botha.

Using the example of Limpopo, Botha said financial mismanagement was only uncovered due to internal strife within the party and that there were more dysfunctional departments in other provinces.

Responding to comments and asides from the opposition benches, Botha said that despite the Western Cape being "a horrible" place, according to members of the ANC many people still came to live in the province.

This prompted the DA's Bokkie Geyer to heckle Brown, calling her "racist".

Brown responded: "Stop calling me racist. We fought racism during apartheid and we'll continue to fight it (in the present day)".

The ANC benches responded with howls of derision as Botha claimed the DA government did not deploy its "cadres" into government or practise patronage.

DA member of the National Council of Provinces Michael de Villiers caused a chuckle when he claimed the ANC was being ridden by "Satan like a wildhorse" due to corruption in provinces governed by the party. Public Works and Transport MEC Robin Carlisle said the "racist" policies meant that his young daughter could not become a doctor, join the diplomatic corps or join Woolworths as a cashier due to race quotas.

Later he accused the previous ANC government of looting the province's assets, saying: "They stole everything that couldn't be bolted down."

Carlisle said instead of supporting the poor, the ANC government had built the Gautrain for the rich, along with other projects for those already rich.

quinton.mtyala@inl.co.za

]]> 1.1239970 Wed, 22 Feb 2012 11:01:52 +0200 http://www.iol.co.za/cape-road-safety-director-testifies-1.1239951

The case of taxi driver Jacob Humphreys, convicted of killing 10 children, was postponed in the Western Cape High Court yesterday.

Jenna Etheridge

Sapa

The case of taxi driver Jacob Humphreys, convicted of killing 10 children, was postponed in the Western Cape High Court yesterday.

Judge Robert Henney said the case was being postponed for closing arguments today.

In the meantime, he would deliberate on arguments that had been given in aggravation and mitigation of sentence.

Yesterday the State called provincial road safety programme director David Frost to the stand.

He told the court that deaths in minibus taxi accidents in the Western Cape had increased by more than 2 percent since 2005.

Taxis accounted for 10 percent of casualties in 2005 compared to 12.48 percent in 2010/2011. He said the taxi industry had evolved to suit the needs of drivers and fleet owners rather than passengers.

The safety of commuters was secondary to the amount collected in fares by driving fast. There had also been an increase in damage to provincial level crossing booms, with almost one incident every working day of the year.

“This is clearly indicative of the disregard for the booms when they are down,” he said. “There is a vast disparity of the weight and momentum of a train compared to a motor vehicle. It’s like a fight between a heavyweight and a lightweight.”

While taking children to school on August 25, 2010, Humphreys overtook a row of cars at the Buttskop level crossing in Blackheath, ignored safety signals and drove over the tracks. A train hit the taxi and 10 of the children were killed. Four others were seriously injured. Frost said safety had not been improved at Buttskop level crossing since the accident. Judge Henney said it was shocking that instances of damage to booms of this crossing had increased in the last year. “What are you guys doing wrong? Why hasn’t it stopped? What are you people doing to curb this?” he asked.

Frost testified that 64 instances of damage had been reported for 2011 compared with 43 in 2010. Judge Henney said it appeared that policing at the spot was not up to standard.

“Would this have occurred if there was effective policing? You can have all these nice plans in place, but 64 incidents happened.”

Frost said everything possible was being done to curb road accidents.Cross-examining Frost, defence lawyer Johann Engelbrecht asked him what he meant by the term minibus taxis in his pre-sentencing report. Frost explained that he was referring to minibuses that transported people between destinations at a cost.

“You do realise that Jacob Humphreys did not operate a minibus taxi service,” Engelbrecht said. He said Humphreys offered a special service of transporting children to school, rather than strangers to various pick-up and drop-off points. “A distinction must be made between minibus taxis and these service providers... Some parts of your report deal exclusively with minibus taxis and minibuses.”

Engelbrecht criticised Frost’s inclusion of crash examples at level crossings in the Democratic Republic of Congo (DRC) and Taiwan.

“There might be totally different circumstances in DRC than in South Africa,” he said.

Judge Henney said Engelbrecht was being unfair as Frost was just trying to make a point that level crossings were dangerous.

“The point is that when you approach a level crossing with passengers you don’t take chances.”

Humphreys, dressed in a blue shirt, silver-grey tie and khaki pants, listened attentively during proceedings. He seemed in good spirits, greeting family as he entered the courtroom.

Family and friends of Humphreys’s victims filled all the benches.

They wore shirts with pictures of their children as well as paraphernalia highlighting railway safety.

As Humphreys exited the court, they all pushed signs silently to his face with the words: “10 lives, 10 life sentences, no parole”.

Cape Town is scoring economic gains from international gay travellers, who constitute up to 12 percent of the city's tourists, says a report.

Staff Writer

CAPE Town is scoring economic gains from international gay travellers, who constitute up to 12 percent of the city’s tourists, says a report.

The city is loved by the Lesbians, Gays, Bisexual and Transgender (LGBT) travellers from Europe and the US for its matchless beauty, diverse lifestyle, colourful people and large local gay population.

The report was published last month by the UN World Tourism Organisation (UNWTO) in partnership with the International Gay and Lesbian Travel Association. The report cautioned against making assumptions about this market, as sexuality is not necessarily an indicator of socio-economic status or leisure choices.

South African events such as Gay Pride, the Pink Loeries Mardi Gras, the Out in Africa Film Festival, Mother City Queer Project and Mr Gay South Africa are further reasons for LGBT travellers to choose SA as their destination, said the report.

“Although difficult to accurately measure the impact of gay tourism, sources in the USA attribute 5 percent of tourism spend to the LGBT market. In Cape Town, this is thought to be 10-12 percent of all tourists,” said Cape Town Tourism’s public relations manager, Skye Grove, in a statement yesterday.

“The gay travel market is generally more recession-proof than others, and Cape Town already has a high appeal and strong positioning in this market.”

She said Cape Town Tourism has strong links with gay travel associations such as the International Gay and Lesbian Travel Association (IGLTA) and promotes gay tourism as one of several niche tourism fields through its various national and international marketing initiatives.

Cape Town Tourism has strong links with gay travel associations and promotes gay tourism through national and international marketing initiatives.

Progressive attitudes in countries such as SA, Argentina, India, Spain, Mexico and South Korea have attracted the LGBT market in droves.

The wedding market was a big driver for this sector which appeared to have bucked the recession trend and brought higher than average spend to their holiday destinations. The introduction of same-sex marriage laws have led to many gay couples travelling with children and spending in the family market.

Destination marketing associations which were successful in attracting the LGBT market were working proactively at gay-targeted expos and fairs, but were also aligned with equal rights organisations that promoted tolerance.

The UK’s Guardian recognised Cape Town as “One of the Ten Most Popular Gay Destinations in the World”, said Cape Town Tourism.

A Cape judge has lambasted the testimony of a criminologist - testifying on behalf of convicted murderer Jacob Humphreys - saying she based her findings on a rejected version of events.

Leila Samodien

Justice Writer

A CAPE judge has lambasted the testimony of a criminologist – testifying on behalf of convicted murderer Jacob Humphreys – saying she based her findings on a rejected version of events.

Claire Wolff, who compiled a report for Humphreys’s mitigation of sentence, said it was not a typical murder and she did not believe he should be “sacrificed” when being sentenced.

But Western Cape High Court Judge Robert Henney tore into her testimony, saying she had based the findings of her report on Humphreys’s version of events, which he had discounted in his judgment. Humphreys claims he can’t remember the fatal Blackheath crash, in which 10 schoolchildren were killed while he was behind the wheel.

He was driving a taxi full of children to school in August, 2010 when he overtook a row of cars waiting at the Buttskop railway crossing and ignored a lowered boom.

The taxi was hit by an oncoming train.

Judge Henney found him guilty of 10 counts of murder and four of attempted murder in December.

During sentencing proceedings yesterday, Wolff said she was uncertain what Humphreys’s motivation was for taking the risk because he could not remember what had happened. He had also not changed his version about the memory loss.

Wolff, however, believed Humphreys was “genuinely remorseful” for his crime.

But Judge Henney questioned Humphreys’s remorse since he was sticking to the version that he could not remember the crash.

He said in his judgment that he had rejected Humphreys’s claims as “selective and convenient”, and nothing but “a desperate attempt by someone who has realised he has done something terrible and does not want to take responsibility for it”.

“He’s in denial; that is the difficulty and now he persists with his version,” said Judge Henney.

The judge also questioned why Wolff was now asking the court to consider her report when it was based on Humphreys’s viewpoints which the court had discounted. “I’ve been sentencing for years … The whole truth never comes out, in my experience, until years later,” he said.

Judge Henney further accused Wolff of failing to take into account his judgment.

“When you do a (pre-sentencing) report next time, have regard for the findings of the court,” he said.

Under cross-examination by State advocate Susan Galloway, it emerged that Wolff had previously compiled only one other pre-sentencing report. This was her first time testifying in court as to her findings.

Wolff found that most people in Humphreys’s community felt he was contributive and that he was remorseful for his crime; however, Galloway probed why most of the people she interviewed were relatives or friends of Humphreys.

In addition, Wolff had interviewed families of the victims without disclosing that she was compiling the report on Humphreys’s behalf. She said this was “not a deliberate action”.

Wolff – who graduated with an honours degree in criminology and psychology from the University of Pretoria last year – is in private practice.

In her report, she recommended that Humphreys be given a five-year suspended sentence with certain conditions, such as paying the counselling costs of the crash victims’ families.

Galloway questioned what kind of message would be sent out to other drivers were Humphreys to be given a suspended sentence.

The defence closed its case and the State is to present evidence in aggravation of sentence today.

leila.samodien@inl.co.za

The City of Cape Town is probing allegations that the Midway Two Group, linked to President Jacob Zuma's brother Michael, used black economic empowerment fronting in winning tenders worth more than R100 million

Babalo Ndenze

Metro Writer

THE City of Cape Town is probing allegations that the Midway Two Group, linked to President Jacob Zuma’s brother Michael, used black economic empowerment fronting in winning tenders worth more than R100 million.

The company is alleged to have also used an unwitting domestic worker in the BEE fronting.

Yesterday Cape Town deputy mayor and mayoral committee member for finance Ian Neilson confirmed the city would investigate the company in the light of the most recent allegations.

“We can confirm that the city is currently undertaking an investigation into allegations involving Midway Two Contractors, but we cannot comment any further in this regard. We cannot comment about any other investigations currently being undertaken by the city as doing so could be prejudicial to the outcome of same,” said Neilson.

The Sunday Independent reported that besides Zuma, other partners in Midway Two Group were ANC MP Richard Mdakane and businessman Prince Brayce Mthimkulu. There are also claims that the company listed a domestic worker as a director without her knowledge.

The city has confirmed that it used Midway contract workers as and when needed, paying the company more than R110.7m since 2005.

The most recent contract from the City of Cape Town was won in October last year.

On October 17, 2011 Midway and five other companies were awarded an R80m contract over three years for the “provision of a service provider for temporary employment”, according to the city’s supply chain records.

Neilson told the Sunday Independent that Midway received 51 percent HDI (historically disadvantaged individual) points in the tender process. Midway also won a R43m contract in June based on having achieved 51 percent HDI points.

Called for comment, Midway Two Group owner Daan Scholtz washed his hands of the company claiming that he had sold the firm to Zuma, Mthimkulu and Mdakane.

“The company belongs 100 percent to those three gentlemen, Zuma, Brayce (Mthimkulu) and Mdakane. I sold it all,” said Scholtz from his George office.

Mdakane confirmed that the company had in fact been sold to them last year.

“I’ve worked with him (Scholtz) for many years and he said to me he wants to retire and can he sell the company to me,” said Mdakane who has worked with Zuma since 1983. Mdakane said they were still paying Scholtz for the company which he said was valued at about R140m.

“We have to pay him. Everything is going well. (The fronting) allegation came from a woman. In 2011 we came in as directors. We’re not sure what happened before that,” said Mdakana.

On a separate fronting matter involving tender appeals, Neilson told the Cape Times earlier this month that fronting had not been the common reason for tender appeals.

He said only two appeals were under investigation by Forensic Services, both on allegations of fronting or misrepresentation of empowerment status.

The four men accused of murdering Bronx owner Bruno Bronn appeared briefly in the Cape Town Magistrate's court yesterday as the signatures on an online petition aimed at denying them bail steadily increased.

Staff Writer

THE four men accused of murdering Bronx owner Bruno Bronn appeared briefly in the Cape Town Magistrate’s Court yesterday as the signatures on an online petition aimed at denying them bail steadily increased.

Those accused are John Frederick Coetzee, 36, a former bouncer at Bronx nightclub, Fareez Allie, 29, Achmat Toffa, 35, and Kurt Erispe, 32.

The matter was postponed to next Monday for a bail application.

Meanwhile, at least 390 people have signed an online petition aimed at ensuring the four accused are denied bail.

The petition reads: “The reason bail should be denied to these men is simple: intimidation.

“Many people who knew Bruno, or worked with Bruno, say they fear the repercussions for speaking to the police.

“One of the accused, John Coetzee was also an employee of Bronx, and so could potentially know and intimidate witnesses that could be key to this case.

“Bruno also voiced concerns for his personal safety, before he was murdered, making it quite clear that his killers had intimidated him too.”

Bronn, 50, who owned the popular gay clubs Bronx and Navigaytion on the “pink strip” in Somerset Road, was found murdered in his Green Point home on February 7.

His hands had been bound and he had marks around his neck.

Within a week, police arrested the four suspects and also recovered Bronn’s stolen BMW.

caryn.dolley@inl.co.za

A former DA councillor at the Theewaterskloof Municipality (Caledon) says racism, and not promises of cash had convinced her to jump back into the arms of the ANC.

Quinton Mtyala

Political Writer

A FORMER DA councillor at the Theewaterskloof Municipality (Caledon) says racism, and not promises of cash had convinced her to jump back into the arms of the ANC.

Catherine Booysen-Nefdt was one of two Theewaterskloof councillors “rescued” from a Century City hotel on February 4 by Local Government MEC Anton Bredell after word got out that the ANC would try to co-opt as many as 15 DA councillors.

But yesterday Booysen said her disillusionment with the DA started in October last year after overhearing a senior white councillor from her party making a racist statement in a telephone call.

On November 2 she “reached out” to the ANC for whom she had previously been a councillor after her complaint of racism was not adequately dealt with.

“I overheard her saying that ‘the ka****s think, because they’ve studied at UWC, they can lead the municipality’ which shocked me,” said Booysen.

She complained to mayor Chris Punt who instead told her to discuss her issues within the party’s caucus.

After being “rescued” by Bredell at the hotel where she was staying with her husband, and submitting an affidavit in which she described the events before she got to Century City, Booysen was informed later that week that she would appear before a DA disciplinary committee.

“That’s when I rejoined the ANC,” said Booysen.

In her affidavit, Booysen said members of the ANC had approached her on several occasions to return to the party, and to convince other members of the DA to join her.

Booysen denied that she had ever taken money from the ANC and said her defection was on principle.

But Punt said his former colleague had never complained about racism within the DA’s Theewaterskloof caucus. “She’s looking for a reason (to explain her defection),” said Punt.

Theewaterskloof Ward 10 councillor Mekie Plato, who was also at the hotel with Booysen, was more revealing in her affidavit, saying that she was promised a job in the municipality’s administration if she quit her seat. But before anything concrete could come her way, Plato had to first sign a document which she refused.

The DA said the affidavits were proof that the ANC was “waging a co-ordinated” campaign to unsettle and lure DA councillors in the Theewaters-kloof Municipality.

“This new evidence suggests that the size and scope of the ANC’s ‘Project Reclaim’ is bigger than originally thought,” said DA provincial leader Theuns Botha.

But ANC provincial secretary Songezo Mjongile said there would have been no point in bribing Booysen to resign her position.

“She didn’t have to leave (the DA) because she was a mayoral committee member. The DA must transform itself into being a non-racial party,” said Mjongile.

The DA says “Project Reclaim” was an attempt by the ANC to undermine voters and take over municipalities by inducing councillors to resign, thus forcing by-elections and ultimately control of municipalities governed in coalition.

The SA Institute of Auctioneers (SAIA) has convened an urgent meeting tomorrow to discuss the kickback scandal that has broken involving one of its board members, Auction Alliance chairman Rael Levitt.

Zara Nicholson

THE SA Institute of Auctioneers (SAIA) has convened an urgent meeting tomorrow to discuss the kickback scandal that has broken involving one of its board members, Auction Alliance chairman Rael Levitt.

Speaking to the Cape Times last night, the vice-chairman of SAIA, John Cowing, said he was concerned about the allegations made against Levitt. He did not want the industry’s reputation to be “tarnished”.

“If these practices are going on then they need to be investigated and stopped,” Cowing said.

“I don’t think we should all suffer as a result of these indiscretions.”

A Cape Times sister paper, Weekend Argus, reported at the weekend that insiders had blown the lid on alleged business dealings connecting bank staff, liquidators and attorneys in a money-making racket.

Among the allegations, given in affidavits, were that payments were made to liquidators, attorneys and bank staff to get business for Auction Alliance and that bogus bidders were used to drive up bids at auctions.

In one instance, documentation pointed to payouts of R500 000 in cash to attorneys.

Levitt has denied any wrongdoing.

The story unfolded after businesswoman and philanthropist Wendy Appelbaum disputed the Auction Alliance sale of Quoin Rock Wine Estate in December.

After investigating the auction, Appelbaum said she had bid against herself and insisted that the other bidder, who offered less, was a hoax bidder.

She has lodged a complaint with the Consumer Protection Commission.

Cowing said the institute’s committee would meet tomorrow to discuss their course of action.

It would “ask (Levitt) to give his views on what has been said”.

“The allegations are certainly going to have an effect on the industry as a whole, and

that concerns us,” Cowing added.

He said he would welcome any investigation into other auction companies.

“We need to show that this is a clean industry and we need to ensure that the profession’s integrity is protected.”

The institute is expected to hold a press conference after the meeting tomorrow.

Meanwhile, the Estate Agencies Affairs Board (EAAB) has launched its own investigation into the Auction Alliance matter.

Sandton attorney Andrew Scarrott has been appointed by the EAAB to investigate the matter.

“The EAAB has received some documentation and the documents are being taken seriously,” he said, adding that it would be inappropriate to comment further.

Last week, Levitt threatened to interdict the publication of the story by Independent Newspapers, saying its “defamatory” content “would cause irreparable damage” to his business.

The application for an interdict was withdrawn later in the week after an out-of-court settlement.

zara.nicholson@inl.co.za