Picture: ISTOCK
Picture: ISTOCK

Shauket Fakie, the head of the independent review into property group Resilient, has agreed to speak to one of the company’s biggest critics, 36One Asset Management, before he concludes his investigation.

Resilient’s share price climbed 9.94% to close at R59.37 hours before the announcement on Friday.

Management at the Resilient group of property companies has been accused of share manipulation in numerous reports. This suggests that share prices had been kept artificially high by a series of secretive trades by people closely related to the group.

Fakie was SA’s auditor- general under former president Thabo Mbeki and was chosen by Resilient in February to lead a review into the company.

Resilient as been criticised in reports by hedge fund managers and stock brokers. One of these reports was compiled by 36One Asset Management. The investment manager, led by co-founder and CEO Cy Jacobs, has suggested that the share prices of Resilient and its partner companies have been manipulated.


Jacobs has also said that Resilient and its stable of companies — Fortress, Greenbay Properties and Nepi Rockcastle — are overvalued.

Resilient’s board said on Friday that the company’s audit committee and Fakie had agreed that he should afford a director of 36One Asset Management an opportunity to be interviewed as part of the independent review.

Fakie informed the company that the interview was provisionally scheduled for Monday, the Resilient board said. Resilient would update shareholders on the expected timing of the report on Tuesday, it said.

The FTSE-JSE South African listed property index recorded a total loss of 19.61% for the first quarter of 2018, including capital and income contributions, with the Resilient group accounting for about a quarter of the index.