THE NATIONAL ASSEMBLY QUESTION FOR WRITTEN REPLY

Question 310

Dr P J Rabie (DA) to ask the Minister of Trade and Industry:

How many estate agencies are currently being investigated by the Estate Agency Affairs Board (EAAB) for possible improper conduct regarding unauthorised use of trust fund money? NW334E

Response:

According to EAAB, the following estate agents are being investigated for possible improper conduct following whistleblower reports:

Wendy Machanik Properties [WMP]

A number of complaints were lodged through the whistle blowing hotline against WMP. The EAAB conducted a forensic investigation and upon receipt of the investigators report an urgent application was brought before the Gauteng High Court appointing a curator to administer and control the trust accounts.

WMP failed to submit the statutory auditor's report and as a result fidelity fund certificates could not be issued. A further complaint was received that WMP was still trading. The EAAB brought an application barring WMP from trading until valid fidelity fund certificates have been issued. The EAAB was successful in all these applications.

SEEFF Properties

Complaints were received regarding the above entity and inspectors were appointed to conduct an investigation. The merits of the matter are not clear and we do not have further information at this stage.

Wakefields Properties

Complaints were received regarding the above entity and inspectors were appointed to conduct an investigation. The merits of the matter are not clear and we do not have further information at this stage.

Sunset Trading CC tla Pam Golding Properties

A complaint was received against the above entity regarding misappropriation of trust moneys. We have appointed inspectors to undertake an investigation.

Issued by Parliament, March 2 2011

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