South African authorities are demanding $7.2 million from Switzerland, alleging the funds were seized from TVI Express mastermind Tarun Trikha and belong to local victims. South Africa’s Reserve Bank declared TVI Express a pyramid scheme in 2011, a year before the company’s national collapse. Investigations at the time pegged South African losses at approximately $254 million.
TVI Express promoters responded to regulatory action by claiming opposition to the company was an attack on Black wealth creation. After the scheme collapsed, authorities arrested twenty-five promoters, but asset recovery proved difficult. The situation changed when South African officials learned of a $36 million plea deal between Switzerland and TVI Express founder Tarun Trikha.
According to reports, Trikha, an Indian national, surrendered $36 million to Swiss authorities in 2016 as part of an agreement with the Bern government. The Swiss released $4 million back to Trikha. Ultimately, the Swiss state seized $20 million, leaving the disposition of the remaining funds unclear. Trikha reportedly returned to India, where he continued to engage in alleged MLM crypto schemes.
South Africa has now formally petitioned the Swiss government, citing $7.3 million in traceable losses for South African victims. Authorities contend that funds seized from Trikha can be directly linked to victims in their country. However, the Swiss government has resisted the claim.
Johan Kruger, appointed by the South African Reserve Bank in 2011 to investigate TVI Express and later acting as a repayment administrator, has led the effort. Kruger engaged a Swiss law firm and met with Swiss officials in Bern, but these efforts have yielded no results. Swiss officials initially acknowledged that some funds should be returned to South Africa. Later, they reversed this stance, questioning Kruger's authority and suggesting individual victims would need to file separate claims for their lost money.
The High Court in South Africa granted Kruger an order in October 2021 confirming his authority to pursue the funds, a move not opposed by the Swiss. The Swiss embassy declined to comment on ongoing legal proceedings. It remains uncertain if any of the seized money will be returned to South Africa.