The South Africa Reserve Bank (Sarb) has ordered the Steinhoff group of companies to forfeit up to R6 billion held in its bank accounts, four months after the death of former CEO Markus Jooste and weeks after Ben la Grange, the company’s former chief financial officer was arrested and released on bail.
The scandal around the collapse of Steinhoff erased more than R200bn from the JSE, cost pensioners hundreds of millions of rand, with the Public Investment Corporation also losing up to R21bn in investments.
South African regulators also fined the leadership of the company – including Jooste – while the company has now forfeited vast amounts in accounts linked to it.
On Friday, Sarb deputy governor for the prudential cluster, Fundi Tshazibana, said in a government Gazette that Steinhoff was forfeiting the amounts, totalling R6bn plus interest into the National Revenue Fund.
The orders of forfeiture were published against Steinhoff companies SAHPL Limited, also known as Steinhoff Africa Holdings, and SIHPL under the title Steinhoff International Holdings, as well as Ibex Investment Holdings Limited, previously known as Steinhoff Investment Holdings, and which has now evolved into the current Steinhoff entity.
“By virtue of the functions, powers and/or duties vested in me, in my capacity as a deputy governor of the South African Reserve Bank, in terms of my delegation and assignment of the functions, powers and/or duties, I hereby give notice of a decision to forfeit (the moneys) to the state,” said Tshazibana.
The amounts being forfeited to the state are held in accounts with South African banks, including Standard Bank, FirstRand Bank, and First Bank Limited.
The Gazette notified of the “forfeiture to the state of money and/or goods in terms of the provisions of Exchange Control Regulation 22B made under Section 9 of the Currency and Exchanges Act, 1933 in respect of the money and/or goods” held by the Steinhoff companies.
The amounts being impounded by the Sarb for forfeiture into the National Revenue Fund include R166 654 193 held under a FirstRand Bank account belonging to Ashburton Investment.
A further €40 341 231 (over R800.8 million) in a Standard Bank account is also being forfeited, in addition to another amount of R311 312 385 in an account held with FirstRand Bank and belonging to Ashburton Investment.
The amount of R223 279 565 under account number 63057698624 held with FirstRand Bank Limited as well as interest related to the amount is also being impounded by the state.
Other amounts of R190 953 044 under an account held with FirstRand Bank, R2 232 768 647 belonging to Ashburton Investment and held by FirstRand Bank as well as a further R2 252 635 087 are also being forfeited.
After the arrest and release on bail of La Grange last month, the Cosatu said the arrest and trial of “persons accused of looting workers’ pension funds’ investments at Steinhoff” was welcomed.
La Grange appeared in the Pretoria Special Commercial Crime Court charged with racketeering, fraud, corruption, and contravening the Financial Markets Act in relation to the Steinhoff case, and was released on bail of R150 000.
Meanwhile, the Sarb in April also seized R42m cash and a property in the luxury estate of Val de Vie in the Western Cape valued at R18 million from Berdine Odendaal, who was Jooste’s rumoured former romantic partner.
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