Carel Viljoen, a former Beca employee, was found guilty of money laundering after facilitating a $2 million investment scam that defrauded two victims, one of whom lost $1 million.
Viljoen, who received commissions for moving the money overseas, sought guidance from Westpac bank staff regarding the transactions. Despite warnings from the judge regarding a potential prison sentence of significantly more than two years, he claims inability to pay reparations due to job loss, prompting the judge to demand a complete financial declaration.
The victims, including a Northland retiree and a deceased Rotorua pensioner, believed they were investing in low-risk bonds, highlighting the manipulative nature of the scam.
One victim, Steven Fan, a retiree caring for his ill wife, relies on his faith to cope with the devastating financial loss.
Beca, Viljoen's former employer, originally sought name suppression, raising concerns about reputational damage and the credibility of his continued employment. However, Beca has since declined to provide further details about his employment, citing confidentiality.
The sentencing hearing was adjourned pending Viljoen's complete financial declaration. The judge warned Viljoen that the possibility of substantial reparation payments may be the determining factor between a sentence exceeding two years and a sentence under two years.
Viljoen, who is receiving legal aid, was once responsible for costing major projects worth hundreds of millions of dollars, including the Waterview Tunnel and North Shore police station.
Following a trial in March, he was found guilty of money laundering after he opened a Westpac account, received nearly $2m, then funnelled the money overseas.
The victims - Northland retiree Steven Fan and now deceased Rotorua pensioner Anthony Lipanovic - had been duped by an elaborate investment scam and thought they were buying low-risk bonds through the Commonwealth Bank of Australia.
They were sent prospectus information including links to glowing media articles about fake investment company Magnitude Financial, and later payment instructions for the defendantâs Queen St Westpac account.
Viljoen earned thousands of dollars in commission for moving the money offshore.
The court heard he took a contract heâd received from his paymasters via WhatsApp into Westpac, asking bank staff whether he should proceed with the arrangement and if he could increase his payment limit.
A staff member checked with her supervisor, who told her, âItâs his money, he can do whatever he wantsâ.
Viljoen appeared for sentencing yesterday in Auckland District Court but the hearing was adjourned by Judge Bonnar after the money mule indicated he could not pay any reparation.
Judge Bonnar said he had been provided with a letter from Viljoen discussing his financial situation.
âYou say in that letter that you would have liked to offer to pay back some money ... but you canât offer anything because you have lost your employment because of your actions, and do not know if you will find employment again.â
But the judge did not accept this explanation and wanted proof of Viljoenâs financial affairs.
He said Viljoen told police he had been receiving a $200,000 salary at Beca, plus bonuses, âfor a number of yearsâ.
âYou own your own home and have no dependants.
âI have indicated to counsel that I require you to complete a declaration as to your financial capacity. The declaration is to cover all categories of income, assets, liabilities and outgoings, and include not only your assets but also any trusts or corporate entities over which you have effective control.â
The judge warned Viljoen that the current âstarting pointâ he was considering for sentencing was âimprisonment of significantly more than two yearsâ.
He pointed out that under sentencing laws, judges could not consider commuting a sentence to home detention unless the final sentence was less than two yearsâ jail.
The judge also warned Viljoenâs defence team not to mount any argument that he should receive a sentencing discount on the basis that roughly $600,000 of the stolen money was eventually recovered by the banks.
âThe availability of substantial payment towards reparation ... in my view may be the difference between a sentence above two years and one which may fall between two years or less.â
Defence lawyer Angus Graham confirmed his client would prepare the requested declaration and sought an adjournment for that to occur.
Fan now cares full time for his sick wife. The $1m investment proceeds were meant to help pay for a rest home when he can no longer look after her.
Asked yesterday how the couple was holding up, he replied: âWell we are Christians so we trust in God. Without that weâd probably be in piecesâ.
Beca originally provided an affidavit to the court supporting name suppression for its former employee on the grounds publication could harm the company and its reputation.
The affidavit said that should Viljoenâs name be linked to money laundering charges, Beca would need to consider âwhether he could credibly continue in his roleâ.
The affidavit also said Beca would need to consider âwhether, because of his seniority and link with the financial costing aspect of projects, his continued employment calls Becaâs own reputation into questionâ.
The Herald asked Beca why it continued to employ Viljoen while he faced serious criminal charges, whether it was appropriate to employ someone involved in costing large-scale infrastructure projects while they were before the courts in connection with an international investment scam, and whether Beca disclosed Viljoenâs criminal charges to clients while he was awaiting trial.
In a statement, a spokesman said: âBeca is not at liberty to discuss employment mattersâ.
Lane Nichols is a senior journalist and Auckland desk editor for the New Zealand Herald with more than 20 yearsâ experience in the industry.
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