Mastermind in VBS bank collapse jailed for 495 years

The former chairperson of the defunct VBS Mutual Bank and mastermind of the bank’s collapse, Tshifiwa Matodzi, has been sentenced to 495 years of direct imprisonment after pleading guilty to corruption charges. He will ultimately serve an effective 15-year prison sentence. This after the court declared that most of the sentences will run concurrently. He was also declared unfit to possess a firearm

Spokesperson of the Directorate for Priority Crime Investigation (DPCI) (Hawks), Col. Katlego Mogale, said Matodzi pleaded guilty to 33 counts. These include corruption, theft, fraud, money laundering, and a pattern of racketeering activities. All was in contravention of the Prevention of Organised Crime Act. 

15 years for each of the 33 counts

Mogale said on Wednesday that the Pretoria High Court sentenced the 47-year-old Matodzi to 15 years on each of the 33 counts. 


She said the court ruled that the sentences should run concurrently, and that Matodzi was declared unfit to possess a firearm. 

“The [DPCI] welcomed the conclusion of the case against Mr. Tshifiwa Matodzi, 47, former chairperson of the defunct VBS Mutual Bank Board. Mr. Matodzi is the primary accused in the case, which involved severe offences including corruption, theft and fraud. [Also] money …laundering, and a pattern of racketeering activities that culminated in the downfall of VBS Mutual Bank. Upon realising that the investigation team within Serious Corruption Investigation had done due diligence, he pleaded guilty. And he entered into a plea agreement with the state.

Pleaded guilty to all 33 charges

“Mr. Matodzi has pleaded guilty to 33 counts, which include corruption, theft, fraud, money laundering. Also a pattern of racketeering activities in contravention of the Prevention of Organised Crime Act.  Matodzi was sentenced to 15 years on each count.

“Although the combined sentence amounts to 495 years, the court has ordered that the sentences for counts 2 to 33 run concurrently with count 1. Consequently, Mr. Matodzi will serve an effective 15-year prison sentence. He was also declared unfit to possess a firearm,” said Mogale. 

Mogale said the Hawks are committed to holding individuals accountable for their actions that erode the financial sector. 

“This outcome underscores the commitment of the DPCI and the justice system to holding individuals accountable for their actions. Particularly those that significantly harm the financial sector and public trust. The DPCI remains steadfast in its pursuit of justice. And ensuring that such offences do not go unpunished,” said Mogale. 


Mogale said the national head of the Hawks, Lt. Gen. Godfrey Lebeya, expressed his satisfaction. He extended his heartfelt congratulations to the dedicated investigation team and the prosecutors who worked tirelessly on this case.

Example to all criminals and would-be criminals

“This conviction is a testament to the unwavering commitment and exceptional skills of our team. We have always maintained that we will leave no stone unturned in our pursuit of justice. And this outcome reinforces our resolve. Let this serve as a stern warning to those who believe they can escape the long arm of the law. The DPCI will not relent in its mission to bring criminals to justice. We are actively pursuing other suspects in this case. And they too will face the full might of the law,” said Lebeya.

Mogale said the Hawks “remain steadfast in their dedication to protecting the integrity of our nation and ensuring that justice prevails”.

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24 COMMENTS

  1. Ok good! What about the rest that feasted on the life savings of the old and vulnerable! Where is Floyd and his mates in all of this?

    • Well said!! Why would the sentences run concurrently??

      Then after five or so years he will be given parole . Possibility of presidential pardon . Indeed we are in a mess….

  2. What about the money, will he and his chronicles pay it back? What happened to the Nkandla loan, did the liquidators recover it?

  3. This is a joke, he will be out in 3-6 years. While the lives of the victims will forever be impacted. Ridiculous and the state says its happy lol.

    • Indeed its a disgrace..
      Our justice system needs to be reviewed and none the kess it doesn’t address the offenses.
      People go scot free of their offences and still remain in charge of more offences to come…

  4. Very sad indeed that people lost their lives as a result of this. I still see the picture in my mind of the old ladies and men sitting down hoping to get their monies. So 15 years, hello. This whole thing make me sick

    • And you must remember that 15years is devid3d by 2, which will end up being 7 years or so.

      Then after 2 to 3 years he will be declared rehabilitated…🤦🏽‍♂️

  5. And he will get PAROLE after 5 years.
    WHERE IS ALL THE STOLEN MONIES & HIS CO _ CONSPIRATORS , WHY ARE THEY NOT NAMED ,SHAMED & CONVICTED.
    WILL THE MONIES BE RECOVERED ??
    DONT THINK SO !!

  6. Where is Markus joostes’ accomplishes???
    They also lost R500 billion of people’s monies.
    Just like koos bekker,summoned to the zondo commission, refused but never sentenced for contempt!!!

  7. Afriforum is gunning for eff in these and they will be disappointed again, after these one we must go for land expropriation without compensation because it is also stealing to own a land that does not belong to you.

  8. Please come to Mogalakwena municipality, I want to see something. Please HAWKS. People are so proud of stealing this side

  9. The poor is suffocating. Youth are unemployed. Criminals are thriving.

    The justice system is wearing binoculars, but can’t see an elephant.

    The innocent in jail and the guilty ones are free!

  10. This is just a slap on the hand. Secondly we would like to see all those who are implicated in this VSB Bank heist face the might of the law.

  11. I agree with all the above comments. What about the rest of the board and the other criminasls that feasted on the the stolen savings of the poor that lost their life savings. I say sell all their assets and reestablish an account for these people. Lock the guilty up and throw away the key.

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