South African businessman Tim Marsland — accused of fleecing nearly R280m from the Botswana Public Officers Pension Fund in a money-laundering scam which spanned the region — is facing extradition and nearly 500 years of imprisonment if found guilty.
The businessman and former journalist, considered a fugitive by the Botswana government, was arrested last month at OR Tambo International Airport while trying to board a flight to Germany.
The 53-year-old, who cut a beleaguered figure in a dark suit and powder-blue tie, was denied bail in the Kempton Park magistrate's court on Thursday after spending three weeks in a Johannesburg jail.
It is alleged that Marsland, at the helm of investment firm Capital Management Botswana (CMB), was contracted to manage nearly R700m by the fund in 2016, with an agreement that the money would be bound for private equity investments in Botswana.
But according to Botswana's Directorate of Public Prosecutions, Marsland and CMB co-director Rapula Okaile surreptitiously "misappropriated" 200-million pula (about R274m) to acquire assets both in Botswana and SA, and for personal gain.
According to an affidavit from the directorate's Thato Debeela, the contents of which were first published in Botswana's Sunday Standard, she had requested the assistance of the South African government in arresting Marsland in May.
After his arrest, the businessman had applied for bail while fighting the extradition process.
Magistrate Sagra Subroyen, in delivering her ruling, insisted that Marsland had been "economical with the truth" — misleading the court on material aspects of his financial affairs.
Using bank statements from his credit card and cheque account, Subroyen revealed how vast sums of money had passed through his hands, insisting that it was clear that he was trying to drain his accounts with large deposits to unnamed individuals in an effort to establish a "nest egg" while he was on the run.
Between January 2016 and June this year, she held, R25m had been deposited into his account in tranches, with the deposits gaining momentum during 2017.
Her examination, she said, indicated that Marsland was channelling funds out of his account, with his remaining balance a paltry R155,000. Moreover, over a period of 30 months he'd spent nearly R5m on his credit card.
Among his expenses was a R1.5m Mercedes-Benz, which he had then given to his girlfriend of only a year.
Subroyen said this was contrary to evidence Marsland had offered to the court and that he had downplayed his financial standing and overstated his liabilities.
She called him a "a dishonest man with skeletons in his closet".
The magistrate also homed in on a series of payments from an entity called Manor Squad Services, of which Marsland is the sole director.
The company, established as a special-purpose vehicle to build a plush property development in Ballito, KwaZulu-Natal, had put R5.5m into Marsland's personal bank account between 2017 and 2018.
The company was paid just over R50m by a CMB subsidiary in two payments, which have already been flagged by authorities in Botswana.
Subroyen found that Marsland was a flight risk and he was accordingly denied bail.
Former Manor Squad Services director Scott Reardon MacIntyre confirmed that the company had received the payments, which had gone towards a development called Manor Estates Ballito.
"I had never met him [Marsland] before. We were looking for investors and we came across Capital Management Botswana. We presented a business case and project to them for approval and it was granted," he told Business Times.
He denied that there was any malfeasance involved on his part and said he would co-operate fully with Botswana law enforcement agencies.
He said the estate, which is made up of 156 residential units, was nearing completion.
Vic Crowther, for the estate, said he had no knowledge of the investigation and thus could not comment.
Advocate Charles Thompson, for Marsland, said that given the urgent appeal of the bail ruling, it would be inopportune to weigh in on factual allegations.
"We can state in so far as the impression is that Mr Marsland was fleeing SA, same is denied," he said.
"He was en route to Germany for a business meeting, with a return flight booked to SA, with proof thereof having been provided to the satisfaction of the state."
