A total of R100-million of AgriBEE meant for poor farmers has been used to bankroll the lavish lifestyle of politically-connected individuals, the Sunday Times reported on Sunday.

The AgriBEE fund was meant for agriculture projects, including a support group that planned to grow food for HIV-Aids sufferers and orphans.

The money was transferred from the Department of Agriculture to the Land Bank. A total of R87.7-million was disbursed for farm projects from a special account in 2007 and 2008.

According to the Sunday newspaper the money was apparently used to buy homes and luxury cars by individuals who are politically connected.

The Department of Agriculture, police and the Land Bank have yet to lay formal charges or seize any assets.

Hawks spokesperson Musa Zondi said they were at the stage of taking statements from the Land Bank.

"This matter is not being swept under the carpet ? it's still very much alive."