
FSPs’ ‘growing vigilance’ sees debarments rise by over 40%
The FSCA records a marked increase in new investigations in 2024/25, particularly those related to unregistered insurance business.
The FSCA records a marked increase in new investigations in 2024/25, particularly those related to unregistered insurance business.
The FSP’s allegations that the representative violated the terms of the settlement and service agreements did constitute a material breach of the FAIS Act.
Mareo-John Nel breached the FAIS Act after signing an enforceable undertaking to remedy the same unlawful conduct he committed previously.
Section 14(1)(b) of the FAIS Act cannot be stretched to catch misconduct discovered after a representative’s tenure.
Unlike FSCA-imposed bans with fixed terms, debarments driven by an FSP stay in force until another FSP is convinced a rep is Fit and Proper.
The Tribunal confirmed Standard Bank’s decision to debar its representative for borrowing thousands of rands from his clients and failing to disclose his outside business activities.
The FSCA’s investigation also found that Petrus Rasmus Erasmus provided trading signals without a licence.
The FSP used an email address it obtained from a credit bureau, but the rep denied this address belonged to her.
The case highlights that debarment is reserved for instances of clear, intentional breaches of integrity, not mere negligence.
The Tribunal finds the FSP skipped critical steps, including notifying the representative and giving her an opportunity to respond.
The decisions show that even thwarted attempts to breach confidentiality signal a critical lapse in integrity.
Despite a 20-year debarment, a R143m fine, and even losing a leg in a motorcycle accident, Cobus Geldenhuis is allegedly still defrauding investors under a new alias.
Mareo Nel resumed unauthorised forex trading despite signing an enforceable undertaking in 2021.
The Tribunal’s ruling highlights that following the correct process is as important as addressing misconduct in the financial services sector.
The High Court rules on a former employee’s contention that the FSP’s notice of intention to debar was a breach of their settlement agreement.
The former owner of Gundo Wealth Solutions has been fined R3 million and debarred for a decade for brokering investments into VBS Mutual Bank.
The Authority has agreed to reconsider the penalties it imposed on ‘Coenie’ Botha, the founder of Coin Based Innovation Global.
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