FSB warns the public against Stephan Richards and Tshepiso Lekganyane (Gomolemo Benefit Plan)

The Financial Services Board (FSB) would like to warn the public to act with caution when dealing with Stephan Richards (“Mr Richards”) and Tshepiso Lekganyane (“Mr Lekganyane”). Both Messrs Richards and Lekganyane are not authorised in terms of the Financial Advisory and Intermediary Services Act, 2002 (“FAIS Act”), to render any financial advice and intermediary services. They are also not authorised in terms of the Long-term Insurance Act, 1998 (“LTIA”) to carry on any kind of long-term insurance business.

The FSB received information that Messrs Richards and Lekganyane are selling funeral policies. The name of the product in question is known as the Gomolemo Benefit Plan. The names of authorised financial services providers are being used on the marketing material without their consent. From the information gathered by the FSB it appears that Messrs Richards and Lekganyane have been operating in the Gauteng province. It is the FSB’s view that the abovementioned individuals are conducting unregistered insurance business and providing advisory and intermediary services without the necessary authorisation. The said product is not underwritten by any registered insurance company. This means that policyholders are not protected.

Enquiries regarding Messrs Richards and Lekganyane should be directed to the following individuals at the FSB:

Mr William Sepuru - (012) 367 7190
Mr Sanele Magazi – (012) 367 7250

The FSB again reminds consumers who wish to conduct financial services with an institution or person to check beforehand with the FSB on either the toll free number (0800 110 443) or on the website www.fsb.co.za as to whether or not such institution or person is authorised to render financial services.