FSB provisionally withdraws Ntinga’s licence
The Registrar of Financial Services Providers (“the Registrar”) has received some queries regarding the activities of Ntinga Health and Financial Services CC, trading as AQNO Trading and Investments (“Ntinga”). These queries seemed to suggest that Ntinga was operating a “Ponzi” scheme. The company operates from their head offices at 85 St Georges Mall, 6th Floor Suite 606, St Georges Street, Cape Town. They have branches in Butterworth, Durban and Queenstown.
The Registrar instructed an inspection into the affairs of Ntinga. As part of the inspection FSB inspectors executed a “search and seizure” warrant on 22 July 2015 at the company’s head office. The preliminary view of the FSB, based on the investigation to date and the evidence recovered during the search and seizure operation, is that Ntinga is indeed operating a “Ponzi” scheme. Amongst other things, the inspectors were unable to find any evidence that investors’ funds were placed in investment products. Ntinga promised guaranteed investment returns of 96% per annum.
The FSB has provisionally withdrawn Ntinga’s Category I Financial Services Provider licence (Licence number 32188) that entitled them to advise clients on a range of products, i.e. long and short term insurance, pension fund benefits and participatory interests in collective investment schemes.
The member and key individual of Ntinga is Mr Armstrong Luthando Mazizi. He is also a signatory to the bank accounts of Ntinga, together with Mr Gcinisiko Mantshe.
The FSB has handed the matter over to the South African Reserve Bank and other relevant authorities. The FSB and other law enforcement agencies are working together to ensure that the persons responsible for the possible unlawful conduct are brought to book.
The FSB wants to make it clear that it will not tolerate unlawful activities by its licence holders. This is why the FSB has provisionally withdrawn the licence while the investigation continues. The public are once again warned to be careful when offered investment products with unrealistic and “guaranteed” returns, vague financial products, or products that are not explained properly or in detail to the investor.
The investigation is continuing and the Registrar will consider appropriate action going forward.
