In a scandal that has rocked the South African wine industry, a former DGB executive is facing arrest on charges of fraud amounting to millions of rands.

Cape Town-based Kobus Terblanche and his wife Corne are accused of allegedly setting up ghost companies to export wine at inflated prices to clients they allegedly lured from DGB.

DGB, one of South Africa’s largest independent wine and spirit producers and distributors, with brands such as Boschendal and Bellingham, last year launched a civil case against the two in the Cape Town High Court, suing for at least R12-million.

A warrant has been issued for the arrest of the couple, who are believed to be in Europe. The National Prosecuting Authority yesterday confirmed that the matter was being dealt with by its commercial crimes unit.