Probe will determine if PIC officials were involved in demise of VBS Bank, PIC says
The Public Investment Corporation (PIC) will appoint forensic investigators to look at all transactions related to its investment in VBS Mutual Bank, with two former PIC executives implicated in "serious allegations of impropriety". The aim of the forensic investigation is to determine "if any, or to what extent, PIC officials were involved in the demise of VBS Bank", it said. VBS, in which the PIC owns a 25.26% stake, was placed under curatorship in March amid fears that it would collapse. The South African Reserve Bank said this week that as much as 75% of its assets may have been stolen by its executives and directors, placing depositors at risk. By the end of January, the bank held total assets of R2bn, according to data provided by VBS to the Reserve Bank. Ernest Nesane, the PIC’s executive head of legal services and one of the fund manager’s delegates on the VBS board, resigned with immediate effect on Friday. His resignation came after more information came to light following...
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