A dramatic scene unfolded on Tuesday afternoon in Durban’s affluent uMhlanga Rocks as a large contingent of heavily armed police and South African Revenue Service (SARS) officials raided the mansion of businesswoman Shauwn “MaMkhize” Mkhize who is now a single lady following the completion of her divorce to Sbu Mpisane last week.
The raid, authorised by a court-granted search warrant, is the latest development in a protracted legal battle between Mkhize and SARS over an alleged tax debt of almost R40 million.
The operation, which involved an armoured police vehicle stationed outside the property, was a significant show of force. A source who witnessed the raid described the scene: “We don’t know what was happening because we just saw a police convoy and SARS officials. It was a serious thing because they were police nyalas. Police were also heavily armed,” they recounted.
Watch: SARS and police spent almost a day raiding Mam'Mkhize's house in Durban. @dailysunsa pic.twitter.com/TDjBABpxOi
— Jabulani Langa (@JabulaniL2023) November 26, 2024
The presence of specialist lock-picking experts further suggests a meticulously planned operation aimed at securing evidence.
The raid follows a preservation order granted by the KwaZulu-Natal Local Division of the Durban High Court last Thursday. This order, obtained by SARS, authorises the seizure of assets to prevent the dissipation of funds that could hinder the collection of outstanding taxes.
The court order, obtained by SARS commissioner Edward Kieswetter, simply reads: "Having read the documents of the counsel for the applicant [Sars commissioner Edward Kieswetter] the court issues the warrant."
The alleged tax debt, amounting to R37 915 549, is owed by the family entity, Shandi Trust, in which Mkhize is believed to be the main shareholder. This is not the first time Mkhize, who also owns the Royal AM football club, has faced legal action from SARS. In May 2023, SARS attempted to seize 13 of her vehicles, including a Lamborghini, but these efforts were temporarily stalled due to standoffs with security officials at her property.
SARS commissioner Edward Kieswetter issued a statement announcing the raid, framing it within a broader strategy to combat tax evasion: “The KwaZulu-Natal Local Division of the Durban High Court has granted a preservation order, and a search-and-seizure warrant in the case involving the commissioner for SARS versus Shauwn Mkhize and others,” he stated.
Kieswetter further elaborated on the rationale behind the operation: “This decision is a crucial step in SARS’s strategic objective to make it increasingly hard and costly for taxpayers who wilfully and intentionally engage in criminal activity. Over the past few years, SARS has been diligently investigating and cracking down on the construction industry so that it complies with tax laws.”
The commissioner emphasised the collaborative effort between SARS, the South African Police Service, and the Directorate for Priority Crime Investigation (Hawks): “The orders were obtained to prevent the dissipation of realisable assets, which could hinder the collection of taxes, and to secure evidence of potential non-compliance with tax laws administered by the SARS Commissioner.”
He expressed gratitude to the law enforcement agencies involved, commending their cooperation in executing the operation under challenging circumstances.
Kieswetter’s statement also carried a strong message regarding the rule of law: “Today’s search-and-seizure operation must communicate an unambiguous message to all that law-enforcement agencies will act to stop lawlessness. The most vulnerable in our society, the [older people], and children depend on the state through taxes to assuage and mitigate poverty, unemployment, and hunger,” he asserted.
He reiterated SARS's commitment to enforcing tax laws without favour or prejudice, regardless of an individual's social standing: “SARS will not waiver in executing its mandate without fear, favour, or prejudice, regardless of any persons’ standing in society. No one is above the law; it is therefore critically important that SARS acts emphatically to ensure that all meet their legal obligations,” he concluded.
KwaZulu-Natal police spokesperson Colonel Robert Netshiunda did not respond to requests for comment, and Mkhize herself was unavailable for comment at the time of publication.