Zimbabwean businessman and investment banker Richard Simanga Ngwenya is facing a legal challenge over properties linked to him after Nigerian financial services group VFD Group asked a South African court to preserve five immovable assets in a dispute involving R20 million ($1.23 million).

VFD Group is seeking an interim anti-dissipation interdict from the Gauteng High Court in Johannesburg as it pursues a civil claim for R15.5 million it says remains outstanding from an investment transaction involving A2Pay Holdings.

VFD Group seeks freeze on properties

VFD Group alleges that a R20 million ($1.23 million) convertible debt facility intended to fund Elevate Investment Partners’ acquisition of a 71% stake in A2Pay Holdings was diverted from the transaction. Richard Ngwenya denies wrongdoing, describing the matter as a commercial dispute and stressing that the allegations remain untested.

VFD has asked the Gauteng High Court in Johannesburg to prevent five properties linked to Richard Ngwenya from being sold, mortgaged or transferred while it pursues a civil claim for R15.5 million. The properties are linked to Nisela Property SPV and Vicric Investment Properties, which VFD alleges Richard Ngwenya controls. Elevate is the investment vehicle involved in the disputed transaction.

Over $1.2 million A2Pay deal

The facility was agreed in March 2026, with VFD expected to convert its investment into a 50% stake in Elevate. VFD says its executives met Ngwenya in October 2025 after he presented the A2Pay opportunity.

On March 30, VFD transferred the R20 million ($1.23 million) to an Elevate-nominated First National Bank account after believing key transaction conditions had been met. The company later alleged that Richard Ngwenya was not an Elevate director despite his role in negotiations.

VFD says Richard Ngwenya attributed delays to South African Reserve Bank foreign-exchange requirements and provided a purported Elevate bank statement showing the funds were tied up. Investigators allegedly found the statement had been altered.

Banking records allegedly showed the money was transferred the following day to Nisela Property SPV, which VFD says had no role in the A2Pay deal. A forensic tracing exercise allegedly linked the entity to Ngwenya.

Funds allegedly distributed

VFD alleges the funds were subsequently distributed, including R5 million to Strauss Scher, R3.55 million to Zim Group, R2.515 million to Garic and R850,000 to Platinum Wheels. Other payments included R1.57 million carrying the “Nisela” narration, and R347,500 linked to “Opulence.” VFD says R4.5 million ($277,345) was repaid in June, leaving R15.5 million ($955,245) outstanding.

Criminal investigation and response

VFD reported the matter to Sandton police, alleging fraud, money laundering and other offences. According to its affidavit, Ngwenya was arrested on fraud and money laundering charges.

VFD also alleges that Richard Ngwenya disclosed during bail proceedings that he controls Nisela SPV and property interests worth more than R31 million ($1.91 million). The company says these disclosures and financial records helped identify assets for preservation.

Richard Ngwenya rejects the allegations, saying he acted lawfully and will defend the proceedings. The allegations remain unproven. The Gauteng High Court is expected to consider the property-freeze application on Sept. 2, 2026. Its decision will determine whether the properties remain preserved while VFD pursues its R15.5 million ($955,245) claim.