The Reserve Bank deemed TVI Express to be a pyramid scam in 2011 when South Africa officially regulated MLM fraud.
Promoters for TVI Express replied by saying that anyone who was against the business was “against black people becoming affluent.”
A year later, in 2012, TVI Express nationwide failed. Authorities estimated that South Africa had lost about $254 million.
No less than twenty-five promoters were detained as a result of investigations, although the number of recovered assets was modest.
Then, South African authorities became aware of Tarun Trikha, the creator of TVI Express, and Switzerland’s $36 million plea agreement.
according to MyBroadband;
In 2016, alleged TVI mastermind Tarun Trikha allegedly agreed to a plea agreement with the Bern government in exchange for turning up to the Swiss $36 million (R561 million).
As part of the agreement, the Swiss sent Trikha $4 million (R62 million), but $20 million (R312 million) was ultimately taken by the government. What happened to the balance is unknown.
Indian citizen Trikha (right) returned to his country and carried on defrauding people using different MLM cryptocurrency scams.
South African authorities have petitioned the Swedish government to release TVI Express monies that have been confiscated, citing $7.3 million in verifiable losses.
Authorities assert that money confiscated by the Swiss government may be linked to victims’ accounts in South Africa.
But the Swedish government isn’t having it.
Kruger said that he met with numerous high-ranking authorities in Bern and hired a Swiss law company to represent him, but nothing has come of it.
Initially, according to Kruger, Swiss authorities agreed that part of the money should be returned to South Africa, but they then changed their minds and questioned his authority.
Additionally, they told Kruger that South African victims would have to submit separate applications to receive the money they thought they had lost.
In 2011, Johan Kruger was chosen by the South African Reserve Bank to look into TVI Express.
Kruger continued to conduct investigations for the government as a “repayment administrator” after TVI Express failed.
In October 2021, Kruger asked the High Court for a decree establishing his legitimacy. No one in Switzerland objected to his application.
According to the Times, the Swiss embassy would not comment on ongoing legal matters.
It remains to be seen if the Swiss government would refund any money.
The takeaway from this is that waiting on foreign governments to carry out labor-intensive regulations is a poor strategy.
Who am I fooling, South Africa would be far better off conducting its investigation and promptly punishing those responsible.