You can also listen to this podcast on iono.fm here. ADVERTISEMENT CONTINUE READING BELOW JIMMY MOYAHA: As promised, we’re taking a look at those developments from the FSCA . We’re going to be looking towards these conversations a lot more in the future, and we’re going to try to make them weekly conversations if we can. It’s so important for consumers to be aware of the institutions that you deal with and the institutions you engage with, especially where it relates to financial services.
ALEX PASCOE: Yes. Good evening Jimmy, and thank you for this opportunity, as most people have seen the announcement that the FSCA made regarding Mr Jooste and Mr Schreiber as to the false and misleading statements in terms of Steinhoff International. So we are really taking a hard stance on these perpetrators, and the main message we want to put across is the deterrent effect of such acts. We really need a fair marketplace going forward. So yes, this is a very important announcement for us.
ALEX PASCOE: Look, there was a restatement of the 2016 results, which culminated in R155 billion restated equity on Steinhoff. Within days the Steinhoff market capitalisation lost over R220 billion, and it never recovered. Steinhoff International doesn’t even exist any more. It’s a private company. The extent of those losses, as I mentioned previously in parliament, a South African Enron. So that’s the extent and severity of this event.
They did eventually pay R53 million before becoming a private company. So there was enough mitigation to reduce that penalty, but yes, we have already issued that administrative penalty to the company.This is the first report. There is a second report that still needs to be completed, and that same process will happen.
The opportunity was also given to Mr Jooste and Mr Schreiber that they could make submissions on the contraventions and penalty, and we made extensive responses to that. The decision-makers then made a final decision on March 19 with regard to such penalty. ALEX PASCOE: Well, just at the outset, the investigation alone we were really prepared for – beyond an issue and administrative penalty. So the detail that we’ve gone into in that investigation, we were prepared – if this had to go further with further litigation, be it to the tribunal, the high court or even the SCA or the Constitutional Court, we’d be ready. And we would be ready to back up our investigation and the recommendations and the decision that’s been made.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: BusinessTechSA - 🏆 24. / 61 Read more »
Source: Moneyweb - 🏆 5. / 77 Read more »