Steinhoff to address Parliament on fraud allegations

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International retailer, Steinhoff, will be engaged in multiple parliamentary committees on Wednesday.

Allegations of accounting fraud recently rocked Steinhoff, which has the Public Investment Corporation as a shareholder.

The company’s stock has since taken a beating on the JSE.

Parliament’s Standing Committee on Public Accounts is particularly concerned about the impact it could have on the PIC, which manages the state’s main employees’ pension fund.

Various other entities will also be making presentations to Parliament on the impact of the implosion of the Steinhoff stock price.

These include the JSE, National Treasury, the Finance Services Board, and the Reserve Bank.

SCOPA, together with the Finance and Public Administration Committees, would like to establish what went wrong and what the long term fallout may be.

SCOPA Chair Themba Godi says action needs to be taken against Steinhoff.

“Especially in terms of its ripple effects with the company and outside the company. But most important you also have the regulatory bodies – South African Reserve Bank, National Services Board that are supposed to be playing an oversight role and are empowered to take action against anybody who engages in practices that may be outside the law. We as Parliament are actually putting the spotlight on them.”