Financial Services Conduct Authority agrees to DA request to investigate Regiments for raiding workers’ pension fund
The Democratic Alliance (DA) can confirm that the Financial Services Conduct Authority (previously Financial Services Board) have completed a preliminary investigation and are now conducting a full inspection of Regiments Capital and the Transnet Second Defined Benefit Fund.
In October last year, the DA wrote to the Financial Services Board, requesting that they investigate allegations that Regiments and its directors made unlawful payments of more than R500 million from the Transnet Second Defined Benefit Fund to Gupta-linked entities, Trillian and Albatime, between December 2015 and April 2016.
Regiments failed to disclose the reasons for making these payments, which points to a possible breach of the Financial Advisory and Intermediary Services (FAIS) Act. The Act states that financial service providers must “specify […] who supplies the financial [products] and give specific information [relating] to the nature and features of the products as well as the cost for the client in obtaining any product”.
More than 50 000 hard-working employees, some of them already retired, depended on Transnet to put their hard-earned money in reliable hands.
Unfortunately, due to the failing and corrupt ANC, the Guptas, with the help of Regiments, got their hands on the Transnet Second Defined Benefit Fund, and raided it for their own selfish benefit.
The DA will await the findings of the investigations and we trust that strong action will be taken against Regiments and Transnet, as they are equally to blame for failing in their fiduciary duty to perform proper oversight.
The DA will continue to relentlessly pursue those, in the public and private sector, who take advantage of honest South Africans and defraud them of millions in their hard-earned pensions.
Statement issued by Natasha Mazzone MP, DA Shadow Minister of Public Enterprises, 2 September 2018