Parliament urges Hawks to investigate VBS Bank

VBS Mutual Bank in Thohoyandou, Limpopo. Treasury says millions have disappeared from the bank.
VBS Mutual Bank in Thohoyandou, Limpopo. Treasury says millions have disappeared from the bank.
Image: ANTONIO MUCHAVE

Parliament has urged the Hawks to investigate the alleged corruption at VBS Bank and report back to it when it resumes its sitting next month.

Police portfolio committee chairperson Francois Beukman said on Wednesday that white-collar crime in the finance sector was hindering economic growth and investor confidence.

VBS rose to prominence after it loaned R7.8-million to former president Jacob Zuma in September 2016 to pay back the individual benefits he obtained from the state-funded R246-million upgrade to his private home in Nkandla.

The South African Reserve Bank (SARB) put VBS under curatorship in March after discovering that the bank did not have enough funds to meet its obligations to depositors. SARB suggested last week that as much as 75% of VBS’ assets may have been stolen by its executives and directors.

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