Diamond fraud accused push for bail relief as high stakes case unfolds

The scandal surrounding diamond marketing deals linked to South Africa’s state-owned Alexkor continues to ripple through the courts, with several of the accused now attempting to ease their bail restrictions.

Accused want more freedom

Three of the accused Daniel Nathan, Martha Rapetsoa and Kuben Moodley have formally indicated they plan to apply for relaxed bail conditions. Their applications will be heard on 9 September 2025 in the Palm Ridge Specialised Commercial Crime Court.

Nathan, who was at the helm of the Alexander Bay Diamond Company (formerly Scarlet Sky Investments), and Moodley, a familiar name in corruption-linked probes, remain central figures in the case.

Meanwhile, Zarina Prasadh, formerly Kellerman, was arrested earlier this week and granted bail of R50 000 with strict conditions after the State opposed her release. However, she missed a court appearance due to being hospitalised, prompting the court to issue a warrant of arrest that has been temporarily suspended until 4 September.

The web of allegations

The fraud charges stretch back to 2015 and 2016, when Scarlet Sky Investments was awarded exclusive tenders to market and sell diamonds mined by the Pooling and Sharing Joint Venture (PSJV), a partnership between Alexkor and the Richtersveld community.

According to investigators, the company and its associates allegedly acquired unpolished diamonds from PSJV sales and reaped benefits over a period spanning more than five years. The State Capture Commission previously flagged these diamond marketing deals as deeply problematic, citing evidence of manipulation and corruption.

Community in the shadow of State Capture

For the Richtersveld community long promised wealth from diamond mining on their land the case represents more than just courtroom drama. Many residents see it as yet another example of how the State Capture era stripped communities of their rightful share of economic benefit.

Local social media reaction has been laced with frustration. “Diamonds from our soil, but we remain poor while elites fight bail battles,” one community voice posted on X (formerly Twitter). Others have demanded transparency and swift accountability, calling the drawn-out legal process a test of whether post-State Capture prosecutions can deliver justice.

What’s next?

The case has been postponed to 29 October 2025 for further investigation by the Investigating Directorate Against Corruption. In the meantime, the court must decide whether the accused will enjoy greater freedom while awaiting trial.

For now, the spotlight remains fixed on Alexkor’s troubled diamond past and on whether this sprawling fraud case will finally bring accountability to one of the most symbolic chapters of South Africa’s State Capture saga.

Source:Citizen Online 

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