Ingonyama Trust’s R30 million mystery: High Court dismisses Ngwenya’s legal challenge – IOL
The Pietermaritzburg High Court has dismissed a legal challenge brought by Sipho Jerome Ngwenya, the former chairperson of the Ingonyama Trust Board, regarding a court order to repay R30 million.
The ruling, delivered on April 3, 2026, follows an appeal by Ngwenya against a previous judgment that compelled him to return the funds. The court cited insufficient justification and delays as the primary reasons for dismissing the appeal.
The legal dispute centers on the disappearance of R30 million from the Ingonyama Trust, which the court determined was transferred unlawfully under Ngwenya’s instruction. In September 2025, the High Court ordered Ngwenya, a former judge, to repay the amount within 30 days.
The Hammarsdale Property Transaction
The funds in question originated from a property sale between the eThekwini Municipality and the Ingonyama Trust for land located in Hammarsdale. A sale agreement was signed on June 29, 2018, for a total of R31.172 million, a figure that included occupational rent. The Ingonyama Trust Board had authorized the sale for R30.982 million, with Mason Incorporated appointed as the conveyancer for the transfer.
According to affidavits provided by former ITB CEO Vela Mngwengwe, the purchase price was stipulated to be paid into the seller’s bank accounts. However, in October 2022, Ngwenya instructed Mason Incorporated to pay R5 million into the account of Ingonyama Holdings, a subsidiary of the Ingonyama Trust, prior to the registration of the property transfer.
In December 2022, Ngwenya further instructed Mason Incorporated to transfer the remaining balance of the purchase price into the trust account of his lawyer, Jafta Incorporated. The court later found that Ngwenya lacked the necessary authorization from the ITB to direct these funds to either Ingonyama Holdings or Jafta Incorporated.
Legal Challenges and Asset Attachment
Ngwenya challenged the repayment order through his lawyer, Advocate Colin Pammenter SC. He argued that the Pietermaritzburg High Court had overstepped its authority by granting relief that had not been specifically requested by the parties involved. Ngwenya contended that the court should have instead initiated contempt proceedings to address his failure to follow previous orders from 2024 and 2025, which would have allowed him to present a defense for his non-compliance.
Despite these arguments, the court previously issued a warrant of execution against Ngwenya in November 2025. Court documents specified that all rights, titles, and claims to monies held in First National Bank accounts under the name of Sipho Jerome Ngwenya, up to the amount of R30,510,265.66 plus costs, were to be paid to the acting sheriff as part of the asset attachment process.
Philani Jafta, the managing director of Jafta Incorporated, has declined to account for the whereabouts of the funds, citing client privilege.
The dismissal of the latest appeal maintains the original order for repayment and the ongoing process of attaching Ngwenya’s assets.