VBS MUTUAL BANK
Curator to ask court to secure Vele chief’s assets
The curator of VBS Mutual Bank will head back to court on Tuesday to apply for the sequestration of Robert Madzonga, the CEO of the bank’s largest shareholder, Vele Investments, as part of ongoing efforts to recover money the curator believes was stolen from the bank by its executives and shareholders. The motion will be heard in the High Court in Johannesburg and follows an earlier motion brought before the courts two weeks ago to have Vele Investments sequestrated for the same reason. Similar motions are expected to be brought against other former executives of the bank in the coming weeks. Madzonga is the group CEO of Vele Investments and has previously served as VBS’s chief operating officer. 'Fraudulent scheme' He was one of five executives named by VBS curator Anoosh Rooplal as being responsible for "orchestrating a fraudulent scheme of such enormity" that it caused losses to VBS Mutual Bank of about R1.5bn — or about 75% of the bank’s assets, according to estimates by Busines...
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