WARNING: This is Version 1 of my old archive, so Photos will NOT work and many links will NOT work. But you can find articles by searching on the Titles. There is a lot of information in this archive. Use the SEARCH BAR at the top right. Prior to December 2012; I was a pro-Christian type of Conservative. I was unaware of the mass of Jewish lies in history, especially the lies regarding WW2 and Hitler. So in here you will find pro-Jewish and pro-Israel material. I was definitely WRONG about the Boeremag and Janusz Walus. They were for real.
Original Post Date: 2007-02-27 Time: 00:00:00 Posted By: Jan
Business Day (Johannesburg)
February 24, 2007
Posted to the web February 25, 2007
Linda Ensor
Johannesburg
THE Financial Services Board (FSB) was challenged in Parliament yesterday to explain why it took so long for it to uncover the financial mismanagement of Fidentia’s asset management business even though with hindsight, the warning lights were flashing quite early on. The issue came before the standing committee on public accounts because of the potential loss of public money suffered by the Transport Education and Training Authority.
Teta invested R246m with the Cape-based asset management company which was placed under curatorship by the Cape High Court earlier this month.
Altogether, Fidentia had R1,6bn of investor funds under management, R406m of which could not be accounted for. FSB CE Rob Barrow emphasised at a committee hearing that not all this money was lost as Fidentia had some valuable assets. However, he did concede that investors would not realise the full value of their investments.
Committee member Pierre Gerber expressed concern that the FSB had “dragged its feet” on taking action against Fidentia for six months when there were worrying signs that all was not as it should be.
But Barrow was insistent that there was no way the FSB could have detected the wrongdoings at Fidentia, even though the company had only submitted audited financial statements for the year to end-February 2005. These statements were unqualified, but there were emphases of a matter relating to the group’s failure to consolidate its accounts, which meant that the financial statements could not be relied on to give a true reflection of the company.
Barrow conceded that the late submission of financial statements was an issue and an indicator that an entity should be investigated.
“Why we did not pick up and react earlier on the non-submission could well be a question that could be posed. I must however tell you that based on the financial statements we did have … (it is clear) that had they submitted financial statements, we would not have picked up the detail.
“They would have been creatively brought about so as to ensure that we did not identify the problem.”
Barrow strenuously denied that the FSB was culpable in any way or had not acted “timeously and appropriately”.
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He told the committee that the FSB had immediately instituted an inspection in June last year after a visit to the company’s offices to question executives about the late financial statements.
Barrow noted that there were about 14000 entities registered under the Financial Advisory and Intermediary Services Act.
The board relied mostly on the returns submitted by these entities for its assessment of their legal compliance
Source: All Africa
URL: http://allafrica.com/stories/200702250010.htm…br>
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