JOHANNESBURG – The Financial Services Board (FSB)’s CEO has comprehensively answered questions raised by the Public Protector about his fitness to hold office, the institution said on Monday.
EFF leader Julius Malema laid a complaint against Dube Tshidi last year, accusing him of gross misconduct, abuse of power and perjury.
Claims of corruption, extortion, fraud, bullying, intimidation and mismanagement against Tshidi are being investigated.
The EFF complaint stems from an allegedly corrupt relationship between lawyer Anthony Mostert and Tshidi.
Central to the case are 10 pension funds, which the FSB placed under curatorship between 2005 and 2011.
The High Court in Pretoria appointed Mostert curator of all 10 funds, on Tshidi’s recommendation.
“The allegations are serious and linked to the ongoing issue of state capture. This is limited to the attorney and CEO. I don't think they damaged the institutional integrity more than the alleged perpetrators. Ultimately it didn't affect market conduct,” the Political Economy Southern Africa’s Siya Biniza said.
The FSB is responsible for licencing and regulating the financial services sector, excluding banks.
In recent months, the FSB has been called upon to investigate alleged wrongdoing in the financial services sector.
The board says it is probing two cases of possible insider trading and a case of possible false, misleading statements, promises and forecasts, in terms of the Financial Markets Act.
“Those investigations are very important - the primary focus is protecting SA consumers and also ensuring integrity in financial system. Financial systems are about trust and confidence. Important to the FSB is to ensure integrity over SA financial markets. That also fuels confidence and is a driver in the foundation driven by the financial sector,” Biniza said.
The FSB says the investigation is ongoing and the outcome will be made public once it is wrapped up.