Trade and Industry Minister Rob Davies has denied that the government intervened in the R300m fine that the National Credit Regulator (NCR) wanted to impose on African Bank in 2013 for reckless lending in order to have it reduced to R20m. At a subcommittee meeting of Parliament’s trade and industry committee recently director-general of trade and industry Lionel October said that the Reserve Bank, the Treasury, and the Department of Trade and Industry had intervened to reduce the fine to ensure the stability of the financial system. The Reserve Bank denied that such an intervention took place. Davies admitted that a series of meetings took place between his department, the Treasury, the Reserve Bank and the regulator over African Bank but insisted that "there was no such intervention". In all of these meetings it was stressed that the National Credit Regulator needed to do its work and that the process within the National Consumer Tribunal needed to be followed. This was accepted, D...
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