FNB demands over E14 million from two ex-employees

MBABANE – First National Bank (FNB) has instituted High Court proceedings against two of its former employees, seeking more than E14 million in damages over an alleged fraudulent credit and overdraft scheme.

The bank is suing Mafuleka Ndzinisa, a former Credit Analyst and Maqhawe Dlamini, who was employed as a Business Development Officer.

According to particulars of claim filed with the High Court, FNB alleges that the two were central to an irregular credit and overdraft scheme involving several companies.

The bank claims that Ndzinisa allegedly loaded unauthorised credit facilities, approved transactions he had personally processed and circumvented credit controls.

It further alleges that he received funds from some of the companies involved in the scheme, including payments into his personal account and an account belonging to Cloud Investments (Pty) Ltd, a company in which he is described as a director.

FNB also alleges that Dlamini facilitated the granting of credit facilities by preparing documents required by relevant committees and personnel.

The bank claims that Dlamini onboarded and motivated applications for asset finance which were allegedly false, misleading and/or supported by fraudulent documents.

One of the allegations against Dlamini is that he received an unexplained and undeclared E52 000 through his business, Siyela Logistics, from SBQ Investments between October 18 and 29, 2025.

According to the bank, Dlamini had been involved in the approval of the company’s finance application. FNB alleges that the payment constituted a conflict of interest and evidence of a corrupt relationship.

The bank has cited SBQ Investments, QSM Investments, Trucknet Investments, DMQ Investments, Lindzumndeni Investments and Cloud Investments as defendants. However, FNB states that no order is sought against the companies in these proceedings because separate legal proceedings have been instituted against them to recover monies allegedly defrauded from the bank. The companies have instead been cited as interested parties.

In relation to SBQ Investments, the bank alleges that unauthorised overdraft facilities were loaded onto the company’s account and that Ndzinisa acted outside his role by performing functions relating to the credit process.

The bank says SBQ Investments subsequently failed to service the credit facility, resulting in alleged damages of E2 697 198.51.

In another claim involving QSM Investments, FNB alleges that overdraft facilities were irregularly loaded and that daily credit reports relating to the overdrafts were approved.

The bank claims damages of E4 029 612.47 arising from the alleged wrongful conduct.

Regarding Trucknet Investments, the bank alleges that Ndzinisa irregularly loaded overdraft facilities and wrongfully supported a E400 000 loan application.

It further alleges that he conducted an unauthorised decision override during the approval process and received E20 000 from the company’s director, Phetsile Nobe.

FNB claims damages of more than E3.6 million in relation to the alleged conduct involving the company.

The bank also alleges that Lindzumndeni Investments was part of the scheme, claiming that overdrafts were irregularly loaded and deleted and that funds were transferred to another defendant and directly to Ndzinisa.

The alleged irregular credit facilities in that instance amounted to E289 807.53.

FNB summarises its allegations by stating that Ndzinisa was central to the alleged irregular credit approval scheme, loaded unauthorised overdrafts and term loans, circumvented approval authorities and approved transactions he had personally processed.

The bank further alleges that he facilitated round-tripping activity to inflate turnover and improve creditworthiness, received undeclared financial benefits from client entities and directors, and used Cloud Investments as a vehicle through which funds flowed between entities and employees.

The bank claims that the alleged actions of the two defendants caused it to suffer losses and damages amounting to E14 014 025.88.

“In the premises, the first and second defendants, through their wrongful actions, caused the plaintiff to suffer losses and damages in the amount of E14 014 025.88 for which they are liable, which now is due owing and payable,” FNB submitted. The veracity of these allegations is still to be tested in court. The defendants are yet to respond to the allegations.

The bank is seeking an order compelling the two former employees to pay the amount, together with costs of suit and further and/or alternative relief.

The summons was issued at the High Court in Mbabane on September 22, 2026.

The former employees were informed that, should they wish to defend the action, they must file a notice of intention to defend within 10 days of service of the summons. The allegations contained in the particulars of claim are yet to be tested in court.

SBQ Investments, QSM Investments, who are the third and fourth respondents respectively, have filed a notice of intention to defend. They are represented by Bessie Gondwe of Gondwe and Associates. Musa M. Sibandze Attorneys in association with Banele Gamedze Attorneys at Law appear for FNB.

Meanwhile, investigations into the alleged fraud committed at FNB Eswatini reportedly uncovered a syndicate involving businessmen, companies and some bank employees, with losses exceeding E20 million.

This is contained in a founding affidavit filed by the bank in the High Court, in the matter in which the financial institution is seeking to stop the pension benefits of Dlamini and Ndzinisa from being paid out.

The bank informed the court that its investigations had so far uncovered a network of companies and individuals linked to credit facilities granted without following the bank’s required procedures.

In its application, FNB informed the court that the amount it may seek to recover from the former employees was already running in excess of E20 million, although the final amount had not yet been established because the investigation was still continuing.

The affidavit identified Dlamini and Ndzinisa as the two former employees at the centre of the bank’s investigation. Ndzinisa resigned with immediate effect on July 22, 2026, while Dlamini resigned on July 30, 2026.

According to the affidavit, the investigation started after the bank discovered on June 30, 2026 that SBQ Investments had been granted an overdraft facility, while TruckNet Investments had received a term loan and an overdraft facility without credit agreements being signed between the bank and the companies.

The facilities were uploaded and granted by Ndzinisa, according to FNB. He was immediately suspended and asked to explain the transactions.

However, before a formal disciplinary enquiry could be instituted, he resigned with immediate effect.

Dlamini resigned after Ndzinisa was suspended. At the time of his resignation, he was already undergoing a disciplinary hearing over another offence which, according to the affidavit, was unrelated to the matter now being investigated. The matter is pending in court.

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