Determination: Hendrik Everhardus Grundling Du Preez vs Ernest Venter ta Ernest Venter Makelaars

The complete determination can be viewed on our website at www.faisombud.co.za

Mr Hendrik Du Preez, an 87-year-old farmer, whose full details are on file with this Office, lodged a complaint against Ernest Enter t/a Ernest Venter Makelaars, an Authorised Financial Services Provider, (FSP) with license number 15127. This license however only authorised the respondent to sell category 1 (one) financial products. This means he was not licensed to sell the Sharemax product, nor is there any evidence on record that he acted as a representative in terms of section 13 of the Act. (Most of the brokers who sold Sharemax were section 13 representatives of USSA. If the respondent was such a representative, he did not disclose it to the complainant nor does he say how he was supervised in selling these products. If the respondent was not a representative then he acted illegally in selling the Sharemax product in terms of Section 7 of the FAIS Act.)

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