The Reserve Bank’s curatorship of the affairs of VBS Mutual Bank took another twist after the Sandton offices of major shareholder, Vele Investments, were raided in a late-morning operation on Monday. Vele has a 53% shareholding in VBS Bank‚ which was placed under curatorship in March. It is understood that the Reserve Bank obtained a warrant under the newly adopted Financial Sector Regulation Act. In March, Reserve Bank Governor Lesetja Kganyago said VBS would be placed under curatorship given its “severe liquidity crisis”. The Reserve Bank was not immediately available for comment about Monday’s raid. Shortly before 11am, a group of about 10 men arrived at Vele House. After a few minutes, they were granted access and disappeared into the building. Vele Investments abandoned a high court challenge to the curatorship after the resignation of chairman Tshifhiwa Matodzi in March‚ a day after Kganyago announced the curatorship. Vele is VBS’s largest shareholder ahead of the Public Inve...

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