Scandal-hit BHI: Watchdog to probe companies that advised clients to invest

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Scandal-hit BHI: Watchdog to probe companies that advised clients to invest

SA's financial regulator is investigating firms that advised their clients to invest in the BHI Trust. Clients are clamouring for answers on what happened to their investments.

The trust's founder, Craig Warriner, is in custody on fraud charges after handing himself over to authorities last month. "The main focus of this part of the investigation is to determine whether these providers acted with due care and diligence and considered suitability and risk when advising their clients," it said."It is also not permissible for financial services providers to recommend financial products to clients that are not issued by licensed entities."

The regulator said this week that its probe was confined to contraventions of financial sector laws. It was liaising with police who are investigating fraud charges. We live in a world where facts and fiction get blurred

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