The lead investigator into what is believed is South Africa’s largest Ponzi scheme says he has no doubt that the scheme’s alleged mastermind, Barry Tannenbaum, is guilty.

The South African businessman allegedly defrauded hundreds of wealthy South Africans of over R10-billion.

Warren Goldblatt, head of investigating company SSG, says the evidence against Tannenbaum is damning.

He claims that over 400 South Africans were robbed of the millions they invested. Goldblatt also says many more foreign investors were also caught out but have not come forward fearing they will be publicly embarrassed for being conned.

A specialised task team comprised of South Africa’s top financial and security agencies, including the Reserve Bank, South African Revenue Service and Asset Forfeiture Unit, has been set up to investigate the case.

Tannenbaum’s attorney Darryl Ackerman has remained tight-lipped about his client’s situation, refusing to be drawn on whether he would return to South Africa.

"I’m not talking to the media to compromise Mr. Tannenbaum or to point fingers at anyone."

Meanwhile, some of the investors who were burnt held a meeting in Midrand on Sunday to discuss a way forward.

They resolved to appoint a trustee to lead a team to probe the scheme.

One of Tannenbaum’s recruiters, Dean Rees, was present at the meeting.

"It’s outrageous that he [Rees] claims that he never defrauded anyone," says Goldblatt.

Werksman attorney Eric Levenstein explained that once a trustee has been appointed by investors the process of recovery of some of the misappropriated money could begin.

Tannenbaum, who has denied any guilt, has been living in Australia for two years, something which Levenstein commented would make it difficult to have him extradited.

South Africa and Australia do not have an extradition treaty.

Eyewitness News

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