Farmers warned to look out for fraudsters and deals that seem too good to be true

Fraud happens everywhere, even in the agriculture sector, where many negotiations rely on relationships and goodwill. Glenneis Kriel reports on the situation and how to safeguard yourself against such crimes.

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Eastern Cape farmer Wentzel Lombard made headlines in January when the Nxuba Magistrate’s Court sentenced him to 36 months of correctional supervision for selling cows that he falsely claimed were in calf. Of the 191 cows, sold at R14 000 each, only 105 were actually in calf, which, according to the buyer, Albertus Steenkamp, resulted in a loss of over R1 million.

Lombard, who was found guilty in September 2024, will also be required to complete 576 hours of community service as a general labourer at a local community centre in Nxuba, pay R100 000 to Steenkamp within a year, and received a suspended seven-year prison sentence, provided he does not commit a similar crime involving dishonesty within the next five years.

Farmer’s Weekly has learnt of similar incidents across the sector over the years, but these reports are probably just scratching the surface of what is actually happening. One of the problems is that many of the incidents are not reported by the victims, likely because of the associated costs.

James Faber, chairperson of the Red Meat Producers’ Organisation, said the most common type of fraud in the red meat industry was when people did not pay for animals they received. This usually happened when farmers sold their animals to so-called bakkie traders.

"A farmer might have built longterm relationships with these traders, but then one day a trader disappears without paying for the last animals they took,” he explained.

STICK WITH REPUTABLE BUYERS

To reduce this risk, Faber advised farmers to make use of reputable and registered buyers and livestock agents, and to stay away from ‘fly-by-nights’.