A Free State man who promised hundreds of stokvel members Christmas groceries and household essentials before disappearing with their money has been sentenced to an effective 10 years in prison.
Lebohang Mokatedi, 31, was sentenced by the Bloemfontein Regional Court on 15 October 2026 after being convicted a week earlier on multiple counts of fraud, theft and money laundering linked to a failed Christmas stokvel scheme.
His company, Lebohang Society and Financial Credit Service (Pty) Ltd, was also convicted and received a R1 million fine, which was wholly suspended for five years under strict conditions.
How the Christmas stokvel collapsed
Stokvels have long been a trusted savings tradition in South Africa, with members pooling money throughout the year to help cover festive season expenses, groceries and other household needs.
According to evidence presented in court, Mokatedi established a Christmas stokvel in 2024, targeting residents of Bloemfontein, Botshabelo and surrounding communities. Members were encouraged to contribute between R100 and R500 every month with the promise that they would receive groceries, household goods, alcoholic beverages and ingredients for festive meals at the end of the year.
Many participants honoured their monthly payments throughout the year, believing their contributions would help ease the financial pressure of December.
Instead, when distribution time arrived, Mokatedi allegedly disappeared without delivering the promised goods, leaving families without the supplies they had budgeted for.
Earlier reports suggested the scheme may have attracted nearly 2,000 participants and involved millions of rands in contributions. However, the latest court proceedings did not confirm the total number of victims or the overall amount lost.
Investigation led to arrest in East London
Victims reported the matter to police stations in Bloemfontein and Botshabelo, where fraud and theft cases were opened before the investigation was transferred to the Hawks’ Serious Commercial Crime Investigation Unit.
After what investigators described as an intensive investigation, Mokatedi was traced and arrested in East London in the Eastern Cape after leaving the Free State. He made his first court appearance in January 2025 before the case proceeded to trial.
He was found guilty on 8 October 2026 of multiple counts of fraud, theft and money laundering.
Court imposes 15 years, with five years suspended
The Bloemfontein Regional Court sentenced Mokatedi to 15 years’ imprisonment.
Five years were wholly suspended for five years on condition that he is not convicted of a similar offence during the suspension period, meaning he will serve an effective 10 years behind bars.
His company received a R1 million fine, also wholly suspended for five years, on condition that it is not convicted of a cybercrime-related fraud offence during that period.
Police welcome the sentence
Free State Provincial Commissioner Lieutenant General Solly Lesia and the provincial head of the Hawks, Major General Mokgadi Bokaba, welcomed the outcome of the case.
The two senior officers praised the investigating team, including the Hawks’ Serious Commercial Crime Investigation Unit and detectives from Bloemspruit and Botshabelo, for their work in bringing the matter before the courts and securing justice for the victims.
