'Ponzi pastor' loses battle with Asset Forfeiture Unit
As a pastor he was known as a generous giver to the church‚ a person of high morals‚ impeccable character and integrity.
But that was only half the story. Colin Davids was also a forex trader‚ allegedly running a multi-million rand Ponzi scheme that ensconced him in the lap of luxury.
On Thursday the high court in Cape Town appointed a curator to oversee the process of the distribution of funds — after an earlier application by the Asset Forfeiture Unit (AFU) to have his assets frozen — to unsuspecting investors.
The AFU argued in court that Davids was the sole member of Platinum Forex which promised investors up to 84% returns on foreign exchange investments‚ the Sunday Times reported back in 2015.
Davids at one stage owned a fleet of luxury cars‚ an upmarket home in Plattekloof with panoramic views of Cape Town and a holiday home in Hermanus.
Hawks spokesman Captain Lloyd Ramovha said in a statement on Friday that in this week’s court ruling‚ the judge conveyed his sympathy to investors who had “simply wanted a good return on their hard earned money“.
“It has been determined that out of over R300 million that was initially invested in Platinum Forex‚ only approximately R100 million remains‚ and the court has appointed a curator to oversee the process of distributing frozen funds to investors.”
Criminal investigations against Davids‚ by the Serious Commercial Crime Unit of the Hawks‚ are ongoing and reportedly at an advanced stage. Davids remains out on a R100 000 bail after his arrest in June‚ 2016‚ on charges of contravening the Financial Advisory and Intermediary Services (FAIS) Act and Banks Act.
He will appear in the Bellville Magistrate’s Court again on September 27.