BLOEMFOTNEIN – The National Prosecuting Authority (NPA) of South Africa has welcomed the judgment of the Free State Division of the High Court in Bloemfontein, granting forfeiture of three properties against a couple and their company in a money laundering case. The order in favour of the National Director of Public Prosecutions (NDPP) pertains to three immovable properties in Ladybrand.

Mojalefa Senokoatsane, spokesperson for the NPA in the Free State, said this order had been granted on 20 May for properties with a combined value exceeding R5 million. He confirmed these were registered in the names of Madhav Vasant Dalvi, his wife Sushama Madhav Dalvi, and Sushama’s company, Alchemy Textiles (Pty) Ltd. Senokoatsane said the NPA’s Asset Forfeiture Unit (AFU) instituted proceedings in the money laundering case.

“On 20 November 2025, the NDPP argued before Acting Judge Dustin Thompson for the forfeiture of the properties on the basis that they constituted proceeds of fraud, money laundering, contraventions of several provisions of both the South African and Lesotho Companies Acts, as well as contraventions of sections 5 and 6 of the Prevention of Organised Crime Act (Poca).”

“Evidence proved that two of the immovable properties were unlawfully used to generate rental income derived from criminal conduct. They were implicated in a scheme involving the siphoning of funds from the CGM Group, a company based in Lesotho, dating back to at least 2015,” said Senokoatsane.
He said the respondents opposed the forfeiture application, contending that the properties had been purchased with legitimately acquired funds. “However, the court found that they failed to substantiate these claims with credible evidence and accepted the NDPP’s submissions that the manner in which the properties were purchased and managed pointed to a sophisticated money laundering operation,” said Senokoatsane.

“Investigations revealed that Madhav Dalvi allegedly orchestrated the unlawful diversion of funds from the CGM Group with the assistance of Sushama Dalvi and Sharmala Roya, the administrative manager of the CGM Group. The funds were allegedly channel through complex financial transactions and subsequently utilised to acquire the immovable properties in question,” he said.