VBS report recommends criminal charges against individuals implicated

VBS Mutual Bank
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A final report on the investigation into large-scale fraud at VBS Mutual Bank indicates that there are no prospects of saving the bank after about R2 billion in depositors’ money was looted.

The forensic report by Advocate Terry Motau, recommends that more than 50 individuals be criminally charged and held liable in civil proceedings.

The Reserve Bank placed VBS under curatorship due to its growing liquidity problems. The Reserve Bank has handed over a copy of the report to the law enforcement authorities for further investigation.

Among those who could be criminally charged includes the bank’s former executives, shareholders, politicians and their relatives and auditors who signed off on the bank’s fraudulent financial statements.

According to the report, the masterminds behind the looting of nearly R2 billion included the chair of the bank, Tshifhiwa Matodzi together with his co-director Robert Madzonga.

The two have maintained their innocence.

The Reserve Bank says the evidence presented in the report is not a reflection of either the guilt or innocence of any party, as not all parties have been given an opportunity to respond to the evidence.

One of VBS founding fathers Madambi Muvhulawa says those implicated in the collapse of the bank must have their property sold to recover the stolen money.

The Reserve Bank has released its forensic report on people who are implicated in the collapse of the VBS. They include individuals, politicians and traditional leaders.

Muvhulawa led a group of minority shareholders who have been calling for action to be taken against those implicate in the collapse of the bank.

“Now we know who are the culprits who are responsible of collapsing the bank. So what we need is that the law to take its cause… ”