High Court orders insurer to reconsider unfair debarment carried out in 2016
The applicant only became aware in May last year that the decision to debar her constituted administrative action.
A High Court hears details of an elaborate fraud in which scammers cleaned out a bank account and bought cryptocurrency from a part-time trader.
Read moreThe applicant only became aware in May last year that the decision to debar her constituted administrative action.
The onus lies with the FSP to prove the facts it relies upon to debar its representative on a balance of probabilities.
The Authority should have conducted its own investigation and not relied solely on information provided by the insurer, the Tribunal says.
The Financial Services Tribunal says the dispute is ‘one of the many cases where employers use labour disputes to debar FSP representatives’.
The sales agent was accused of manipulating quotes to reduce clients’ motor vehicle insurance premiums.
An affidavit from the client contradicts the bank’s version that the representative acted fraudulently.
FNB argued the Tribunal should accord greater weight to the severity of the rep’s misconduct than to ‘procedural mis-steps’.
The FST emphasises that labour-related and FAIS-related matters are distinct.
The number of FSP licence approvals was the lowest in the past three years.
The debarment procedure did not comply with the FAIS Act in a number of ways, the FST finds.
The Financial Services Tribunal hears another case involving a representative who ‘completed’ proof of address letter on clients’ behalf.
The jurisdictional fact required for the debarment was absent.
Craig Massyn submits the penalties imposed on him were disproportionately large compared to those imposed on the other directors of the Praesidium Group.
Two recent decisions by the tribunal highlight misconceptions about debarment that need to be dispelled.
FNB debars consultant who issued unauthorised letters stating a company was good for up to R900 million in credit.
The former bank manager’s actions were driven by desperation, but the FAIS Act is not forgiving, the tribunal says.