FSCA to publish findings on racial profiling allegations against banks
FSCA is set to publish the outcomes of an investigation into allegations of racial profiling and discriminatory practices by banks
The Financial Sector Conduct Authority (FSCA) is set to publish the outcomes of an investigation into allegations of racial profiling and discriminatory practices by banks 'shortly'.
This follows media coverage of the apparent issue as well as findings by the Zondo Commission that banks were participating in this practice. The FSCA indicated, in response to written questions on the progress being made with the Conduct of Financial Institutions (COFI) Bill, that it had investigated the issue.
The FSCA said it has 'identified several areas for improvement in banks' processes, procedures and decision-making arrangements'. It noted that its review took place between 2022 and 2024.
Its areas of improvement were identified even though it found no 'credible evidence supporting the allegations of intentional profiling and unlawfully discriminatory practices'.
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IOL News
9 hours ago
- IOL News
The urgent need for whistle-blower protection in South Africa
Chief director for financial accounting at Gauteng Department of Health, Babita Deokaran, was brutally murdered after she raised alarm on large-scale corruption at Tembisa Hospital. Image: File Parliamentarians stated that Babita Deokaran, who exposed corruption at the Gauteng Department of Health, and other whistle-blowers would still be alive if they were protected by the government. These were the sentiments echoed on Friday during a discussion over the strengthening of whistle-blower protection by enacting robust laws that guarantee anonymity, job security, and legal support for individuals who report corruption. Deokaran was the acting chief financial officer at the department and reported on financial fraud and corruption at Tembisa Hospital when she was killed outside her home in August 2021. The Whistle-blower Protection Bill is due to be introduced to Parliament later this year. The Bill follows a recommendation by the State Capture Commission, contained in its report released in 2022, that whistle-blower legislation be amended to provide increased protection. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ Visvin Reddy, an MP in the uMkhonto weSizwe Party (MKP), stated that the MKP does not run away from corruption, but face it head on. "We don't silence whistle-blowers, we protect them because in a country drowning in lies, the person who tells the truth is the bravest one of all. If Babita Deokaran had spoken out under an MKP government, she would still be alive, protected and not hunted, celebrated and not assassinated. "There are officials in departments who are watching bribes being paid daily, and municipal officials who see tenders being given to cronies while people go without water. They stay silent because they know the risk," Reddy stated. Philip van Staden, Freedom Front Plus MP, said other examples include: Pamela Mabini (murdered), Athol Williams (fled the country), Jimmy Mohlala (murdered), Martha Ngoye (dismissed by the Passenger Rail Agency of South Africa), and Cynthia Stimpel (dismissed). "These examples clearly demonstrate a significant lack of legal, financial, and psychological support for those who expose corruption in government and elsewhere. The Department of Justice and Constitutional Development's draft document outlining proposed reforms for whistle-blower protection, published in June 2023, has still not been finalised, despite President Cyril Ramaphosa's undertaking to do so in his State of the Nation Address at the beginning of the year," he said. Van Staden believed that South Africa does not have the experience, expertise, intelligence capabilities, and manpower needed to enforce laws. "The significant shortcomings in, among other things, crime intelligence are evident in ordinary criminal cases, which often end in unsuccessful prosecutions," he added. Advocate Glynnis Breytenbach, an MP and member of the DA, said the National Prosecuting Authority (NPA) has failed to secure a single successful prosecution of a politically connected figure implicated in state capture. Breytenbach said that cases like the Vrede Dairy scandal, the Zizi Kodwa debacle, and the Transnet corruption trial have all collapsed due to incompetence, poor preparation, or basic procedural errors. Corruption has reached epidemic proportions, said EFF MP Thapelo Mogale, adding that President Cyril Ramaphosa himself was involved in the Phala Phala saga where the theft of $4m from his game farm became international news. The stigma of being labelled an impimpi, which refers to a police informer or spy in South Africa, should also be addressed and dismantled in communities, said Thokozani Langa, an IFP MP. Langa added that whistle-blowers should be heroes and not seen as traitors. Marlon Daniels, a Patriotic Alliance MP, said that robust laws should guarantee legal defence for whistle-blowers who face frivolous lawsuits after reporting corruption. Daniels also warned about false allegations and those who want to settle personal scores.
The South African
9 hours ago
- The South African
Trump vs Musk vs Gates: Battle of the billionaires has just begun
By now you've probably heard the cyber supersonic boom of the internet exploding after Elon Musk dropped a bombshell tweet about President Donald Trump. Musk alleged that the reason why the Epstein files have not been fully disclosed to the public yet is because POTUS Donald J. Trump is in them. Musk ended the tweet with, 'Have a nice day, DJT!' He then attached a second tweet which read: 'Mark this post for the future. The truth will come out.' In response, Trump dropped a post on his Truth Social announcing that his administration is revoking funding and subsidies for Musk's companies, including Tesla and Space X. To which Musk responded by announcing on X that he would be decommissioning the latest SpaceX Dragon rocket programme – which is much needed by NASA to service and supply the International Space Station. Given these latest developments, one has to wonder whether the rumours and reports are indeed true – is Musk on hard chemical drugs? Part of the backlash in the media and on social media right now is around who started the spat, and who's going to 'win'. One Musk-supporting X user pointed out: 'Musk criticized Trump's Bill. Trump, however, criticised Musk. Elon Musk played the ball, some are arguing, while Donald Trump played the man.' Musk's first salvo against Trump's budget came when, on 3 June, he could no longer contain his disgust at Trump's 'Big Beautiful Bill' and spilt his guts about it on X, when he tweeted: 'I'm sorry, but I just can't stand it anymore. This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong. You know it.' During a live press briefing in the Oval Office on 5 June, while hosting neo-Nazi, pro-Zionist, ex-Blackrock executive, German Chancellor Friedrich Merz, Trump addressed Musk's comments about the bill. 'We've done a great job. Elon knew that. Elon endorsed me very strongly. He campaigned for me.' Then Trump said, 'I think I would've won Pennsylvania easily anyway,' Trump told reporters. Elon must've been watching that press briefing live because minutes later, he responded to Trump's statement by tweeting: 'Without me, Trump would have lost the election, Dems would control the House and the Republicans would be 51-49 in the Senate.' 'Such ingratitude,' he then added. Trump went on to tell the press: 'I'm very disappointed, because, Elon knew the inner workings of this bill better than almost anybody sitting here. He knew everything about it. He had no problem with it. He only developed a problem when he found we're going to cut the EV [electric vehicle] mandate…because that's billions and billions of dollars. We wanna have cars of all types.' Trump also said, 'When he left, he said the most beautiful things about me. He hasn't said anything bad about me personally, but I'm sure that will be next. But, I'm very disappointed in Elon, I've helped Elon a lot.' Trump also later posted on his Truth Social: 'The easiest way to save money in our Budget, Billions and Billions of Dollars, is to terminate Elon's Governmental Subsidies and Contracts. I was always surprised that Biden didn't do it!' That's when the break-up started to turn nastier than the War of the Roses. The jibes went back and forth until it culminated in that earth-shattering tweet of the century from Musk. But Trump is not the only one Musk has just thrown under the Epstein bus. He recently, and in the past, did the same to Bill Gates. On 7 October 2024, during an interview with Tucker Carlson, Musk said: 'You know, I think part of why Kamala's getting so much support is that if Trump wins, that Epstein client list is going to become public. And some of those billionaires behind Kamala are terrified of that outcome.' Carlson asked Musk: 'Do you think Reid Hoffman (billionaire founder of LinkedIn) is uncomfortable?' Musk answered: 'Yes.' After a brief pause, he added, 'And Gates.' Last month, on 20 May 2025, at the Qatar Economic Forum in Doha, Musk was interviewed before a live and online audience by Bloomberg's Mishal Husain. Husain started to ask Musk about comments made by Bill Gates regarding Elon's decision to cut funding to the USAID programme – when Musk interjected. 'He's a huge liar', Musk said. 'I know, you've said that already,' Husain replied. The comments they're referring to emerged when Bill Gates, in an interview with the Financial Times on 8 May, accused Elon Musk of 'killing children in the world's poorest countries' by cutting foreign aid under the Trump administration. Gates assailed Musk for the actions he took as head of President Trump's Department of Government Efficiency (DOGE). 'He could go on to be a great philanthropist,' Gates told the magazine. 'Meantime, he's involved in the deaths of the world's poorest children.' Sticking the blade in a little deeper, he added, 'The picture of the world's richest man killing the world's poorest children is not a pretty one.' Responding to Gates' comments in Qatar, Musk sprung an unexpected gobsmacker on Husain and the audience; 'Who does Bill Gates think he is to make comments about the welfare of children, given that he has frequented Jeffrey Epstein?', he said. 'Ok, Well…', Husain started to respond, but she was drowned out by applause and cheers from the audience.' When the ovation died down, Musk added, 'I wouldn't trust that guy to babysit my kids.' It's worth noting that, curiously, Jeffrey Epstein 'committed suicide' (by breaking his own neck twice with paper sheets, while the prison cameras were switched off and the guards were fast asleep) during Trump's first term. It's also worth noting that the last remaining, vocal survivor in the Epstein case, Virginia Giuffre – who accused Prince Andrew of raping her when she was 17, a woman who was close to seeing justice served for being sex-trafficked by Epstein to Andrew and other predatory paedophiles – allegedly committed suicide on 6 April this year…during Trump's second term. What's all the more mysterious about her death is the fact that…just a few years earlier, on 11 Dec 2019, she tweeted: 'I am making it publicly known that in no way, shape or form am I suicidal. If something happens to me – for the sake of my family do not let this go away and help me to protect them. Too many evil people want to see me quieted.' Here's where it gets dubiously curious. The person who recruited Virginia Giuffre to be Jeffrey Epstein's personal 'masseuse' was Epstein's partner in life and crime, Ghislaine Maxwell (currently serving time for child sex trafficking). Ghislaine is the daughter of (media mogul and alleged ex-Mossad agent) Robert Maxwell. Do you know where Ghislaine Maxwell met and recruited Virginia Giuffre? At a place called Mar-a-Lago. Ring any bells? That's right, Donald Trump's Florida mansion. Where 16-year-old Giuffre was working as a spa attendant at the time. It's been rumoured and reported that Epstein himself was also a Mossad agent, running a 'honey trap' operation for Israeli intelligence. So far, the rumours and accusations by the Democrats of Trump playing golden showers and glass-topped coffee tables with Russian hookers in a swanky Moscow Hotel have proven to be unfounded. But if there is compromising footage of POTUS Donald Trump on Epstein island molesting minors, and that footage is being held by Mossad, it would certainly explain a lot about why Trump has allowed barbaric Bedlam Bibi Netanyahu to steamroll over him…like that bulldozer did to Rachel Corrie. Of course, the whole world and their brother – including me – have dropped everything to weigh in on this Musk-Trump (and Gates) feud. On X and other platforms, people are digging up and dropping videos from the '90s of Donald Trump with Jeffrey Epstein (and Ghislaine Maxwell) surrounded by a bevy of beautiful nubile babes, partying their a**es off at Mar-a-Lago. Others have posted photos of Elon posing alongside Maxwell. Someone posted: 'Elon Musk didn't kill himself.' Another, recommended Musk multiply his security detail immediately. Piers Morgan posted: 'Holy sh*t!' And a string of 'shocked' emojis. Alex Jones posted: 'God Help Us ALL…' Russell Dobular from Due Dissidence said in the duo's commentary video: 'This actually reinforces the idea that Elon is whacked out on drugs, because…this is such a self-destructive move.' 'Going out on a limb here – the Tesla board is going to replace Elon as the CEO by the end of the year,' he added. Tesla shares have slumped by 14% on Wall Street since Thursday's clash of the titan tycoons. Let us know by leaving a comment below or send a WhatsApp to 060 011 021 1. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X, and Bluesky for the latest news.
IOL News
11 hours ago
- IOL News
Philippines Scam Hub Targeting South Africans Exposed Whilst Local Regulator Remains Selectively Silent
South Africans are falling victim to sophisticated international scams, including a recently exposed call centre in the Philippines. As the Financial Sector Conduct Authority remains silent, troubling inconsistencies in regulatory enforcement come to light. While South Africans were being systematically defrauded by sophisticated international scam operations, including a recently exposed call centre in the Philippines that specifically targeted our citizens, the Financial Sector Conduct Authority's response has revealed troubling inconsistencies in regulatory enforcement. International Exposure, Local Silence According to Rolling Stone Philippines, a scam hub disguised as a call centre in Cebu City was recently shut down after YouTube hacktivist "mrwn" leaked CCTV footage of its operations on May 18, 2025. The operation, which specifically targeted South African victims, was raided by Philippines authorities on May 21 following the viral exposure that garnered over 1.6 million views. The Philippine Star reported that the investigation was prompted by the hacktivist's frustration over authorities' initial lack of response, leading him to "take matters into his own hands". Multiple Philippine agencies—including the Philippine National Police, Department of Information and Communications Technology, Cybercrime Investigation and Coordinating Centre, and Criminal Investigation and Detection Group—immediately launched coordinated investigations into the call centre's activities. Yet despite South Africans being the primary targets of this international fraud operation, the story has received virtually no coverage in local media, and there has been no public statement from the FSCA regarding South African victims or any collaborative efforts with Philippine authorities to protect our citizens. "What we are witnessing is a regulator that appears capable of decisive action when it chooses to act but demonstrates concerning silence when South Africans are being targeted by international fraud syndicates," said a leading regulatory expert. "The contrast between swift action in some cases and prolonged inaction in others suggests priorities that don't align with genuine consumer protection." A Pattern of Selective Enforcement This silence stands in stark contrast to the regulator's approach to other matters. As previously reported by IOL, the FSCA's handling of the Astrix Data investigation—involving what has been dubbed the "Scam Empire"—demonstrates a troubling pattern of regulatory inconsistency that undermines public confidence in financial oversight. Despite mounting evidence of systematic fraud involving hundreds of millions of rands, fake identities, manipulated trading platforms, and sophisticated cryptocurrency laundering schemes, Astrix Data and its associated entities continue to operate with active FSCA licences. The regulator has been aware of complaints since late 2023 and announced an investigation in June 2024, yet nearly a year later, no regulatory action has been taken. "The Astrix matter represents a fundamental test of regulatory competence," the expert noted. "We have overwhelming evidence making global headlines of systematic fraud, fake identities, manipulated platforms, and yet the regulator maintains that it needs more time to investigate whilst licensed operations continue to potentially harm consumers daily." More concerning still, new iterations of these types of pressure cooker operations continue to emerge. Trade FT, operating under FSP number 53871 and linked to Grand Trading Pty Ltd, represents the latest evolution these types of entities. Despite benefitting from AI-themed third party affiliate marketing advertisements featuring unauthorised images of celebrities like Patrice Motsepe, Elon Musk, and Trevor Noah, and despite glaring red flags including no registered Key Individuals listed for its FSP number, Trade FT continues to operate without regulatory interference or even an official warning to the public from the regulator. "When you see entities with no registered Key Individuals—a basic compliance requirement—continuing to operate whilst others face immediate sanctions, it raises serious questions about enforcement consistency," the regulatory expert observed. "This isn't about complex legal interpretation; it's about fundamental compliance standards being selectively applied." When the FSCA Chooses to Act The regulator's capacity for swift action becomes apparent when examining its treatment of Banxso. In that case, the FSCA moved decisively to provisionally withdraw the entity's licence before completing its investigation—a stark contrast to its approach with Asterix and its affiliated operations. The disparity is particularly striking given the evidence available. While Banxso demonstrated a willingness to work with regulators and voluntarily refunded R14 million to affected consumers, entities with documented connections to international fraud syndicates and systematic deception continue to operate with full regulatory approval. "The message this sends is deeply troubling," the expert continued. "Entities that cooperate with regulators face immediate sanctions, whilst those with sophisticated deception schemes appear to benefit from prolonged 'investigations' that allow continued operations. It's regulatory policy that incentivises non-compliance." The Human Cost of Inconsistent Enforcement Each day that deceptive operations remain active represents additional South Africans falling victim to sophisticated fraud schemes. The recently exposed Philippine call centre targeting our citizens is merely one visible component of a much larger ecosystem of deception that appears to operate with relative impunity. "Every day of regulatory delay represents real people losing their life savings," the expert emphasised. "Whilst regulators debate process and procedure, pensioners are losing modest investments of R3,500 and business owners are transferring millions to sophisticated fraud schemes. The human cost of inconsistent enforcement cannot be measured purely in rands—it's about destroyed trust in our entire financial regulatory system." "It is particularly telling that the very media organisations which trumpeted the Banxso affair in bold headlines, at times to the point of obsession, have remained conspicuously silent regarding these other cases and their far more serious implications. Such selective reporting may well have contributed to the external pressures that compelled the FSCA to act with such haste in one instance whilst turning a blind eye to far more egregious violations in others." Questions That Demand Answers The FSCA's selective enforcement raises fundamental questions about regulatory priorities and consistency. Why does an entity implicated in a global fraud scheme, involving fake identities and systematic theft of investor funds, continue operating without restriction whilst others face immediate sanctions for lesser allegations? How can the regulator justify the continued licensing of entities with no registered Key Individuals whilst simultaneously pursuing aggressive enforcement actions against compliant FSPs? What message does this send to would-be fraudsters about the consequences of sophisticated deception versus regulatory cooperation? "The inconsistency is so stark it appears almost deliberate," the regulatory expert noted. "You have to ask whether there are factors beyond public consumer protection influencing enforcement decisions. The pattern suggests a regulator that's either compromised by external pressures or fundamentally misunderstands its mandate to protect South African investors." A Crisis of Regulatory Credibility Financial regulation depends on consistent, transparent enforcement applied equally to all market participants. When certain operators appear to receive preferential treatment whilst others face the full force of regulatory action, the entire regulatory framework's credibility comes under question. The recent Philippine call centre raid demonstrates what coordinated, decisive action against scam operations looks like. Multiple agencies working together, swift response to evidence, and immediate shutdown of fraudulent activities. This stands in sharp contrast to the FSCA's apparent tolerance for ongoing operations despite overwhelming evidence of systematic fraud. "What happened in the Philippines should shame our local regulator," the expert concluded. "Foreign authorities acted within days of receiving evidence, whilst we have entities operating for years with active licences despite overwhelming evidence of systematic fraud. It's a damning indictment of regulatory priorities." South African investors deserve better than a regulatory system that appears to operate on double standards. They deserve protection that is consistent, predictable, and proportionate to the actual risk posed to consumers. Until the FSCA can demonstrate equal vigour in pursuing all entities that threaten investor protection—regardless of their sophistication, connections, or ability to maintain a veneer of compliance—public confidence in financial regulation will continue to erode. The regulator's silence on the Philippine scam operation targeting South Africans, combined with its inconsistent domestic enforcement, paints a troubling picture of regulatory priorities that seem divorced from the genuine protection of South African investors. This is not just an administrative failure—it represents a fundamental breach of the public trust that financial regulation is meant to uphold.
