Tax-fraud case of Tsumeb’s ‘sugar king’ sent back north

THE case in which a Tsumeb businessman, Karel Grunschloss, is being accused of tax evasion on a massive scale appears set to become a drawn-out affair.

Grunschloss (47) made a second court appearance on a charge of fraud in the Windhoek Magistrate’s Court yesterday. No noticeable progress was made with his case, though, and he was merely informed that he will have to appear in court again on June 8 next year – but that this will have to be in the Oshakati Magistrate’s Court.

Grunschloss was arrested on August 12, when he also made his first appearance in the Tsumeb Magistrate’s Court.

He was granted bail of N$1 million – which was promptly paid in cash – and was told then that his case was being transferred to the Windhoek Magistrate’s Court for his second appearance, which took place yesterday.

However, in Windhoek, Grunschloss’s defence counsel, Danie Kotze, told Magistrate Sarel Jacobs that the case had to be transferred back to the North because the Windhoek court does not have jurisdiction in the case.

That is because the alleged crimes Grunschloss is accused of were committed at Tsumeb and Oshakati, Kotze said.

At the time that Grunschloss, who operates the Family Choice sugar-packaging plant at Tsumeb, was arrested, it was reported that the allegation against him was that his business had evaded paying taxes amounting to N$125 million.

With penalties and interest on his claimed tax bill added, the entire bill could expand to as much as N$170 million, it was also reported.

No noticeable progress was made with his case, though, and he was merely informed that he will have to appear in court again on June 8 next year – but that this will have to be in the Oshakati Magistrate’s Court.Grunschloss was arrested on August 12, when he also made his first appearance in the Tsumeb Magistrate’s Court.He was granted bail of N$1 million – which was promptly paid in cash – and was told then that his case was being transferred to the Windhoek Magistrate’s Court for his second appearance, which took place yesterday.However, in Windhoek, Grunschloss’s defence counsel, Danie Kotze, told Magistrate Sarel Jacobs that the case had to be transferred back to the North because the Windhoek court does not have jurisdiction in the case.That is because the alleged crimes Grunschloss is accused of were committed at Tsumeb and Oshakati, Kotze said.At the time that Grunschloss, who operates the Family Choice sugar-packaging plant at Tsumeb, was arrested, it was reported that the allegation against him was that his business had evaded paying taxes amounting to N$125 million.With penalties and interest on his claimed tax bill added, the entire bill could expand to as much as N$170 million, it was also reported.