The Public Investment Corporation (PIC), Africa’s largest asset manager has welcomed the arrest of alleged VBS Mutual Bank looters who are expected to appear in court today.
The PIC’s spokesperson Deon Botha said it was about time people were held responsible for the collapse of VBS.
“The PIC was a significant shareholder in VBS when it was placed under curatorship by the Prudential Authority of the South African Reserve Bank (SARB),” said Botha.
“The PIC believes the arrests is an important step in ensuring that those who were responsible for the collapse of VBS are held accountable. The PIC has been fully cooperating with investigations by law enforcement agencies following the release of the Adv Terry Motau SC’s forensic report into the collapse of VBS. The PIC will continue to cooperate with these agencies until the VBS matter is finally settled,” he added.
The Hawks and the National Prosecuting Authority announced yesterday that eight suspects had been arrested for the more than R1.8 billion stolen at the bank.
VBS was placed under curatorship by the SARB in March 2018 against a backdrop of a serious liquidity crisis at the mutual bank.
The initial findings of the curator revealed significant financial losses in VBS, which prompted the decision to institute a forensic investigation.
The curator immediately withdrew VBS’s audited financial statements for the year ended March 2017, “as they contain material misstatements and are no longer considered to be reliable”.
The investigation also concluded that VBS and its main shareholder Vele and Associates (acted) in cahoots with erstwhile VBS chairperson Tshifhiwa Matodzi and “operated as a single criminal enterprise, with Matodzi firmly at the helm”.
The paper trail revealed that Vele benefited improperly to the tune of R936m from VBS, while Matodzi took home a handsome R325m.
Motau further recommended that criminal and civil litigation be taken to recoup assets stolen from the bank.
