Category Healthcare
SUB CATEGORIES General  |  HIV |  Medical Schemes | 

Press Statement issued by the Curator of Bonitas Medical Fund

23 August 2011 Bonitas and Auction Alliance

"It has come to my attention that the media has been reporting that Bonitas Medical Fund seeks to dispose of certain of its fixed properties in order to generate cash.

I would like to categorically state that this is not the case. I would refer you to the report that I submitted to the members of the scheme, as well as the advertorial placed in the Sunday Times of 31 July 2011 and Business Report of 2 August 2011 in which I explicitly stated that the reason I sought to dispose of these properties is due to the fact that the returns on these investments were not optimised. The funds generated from the disposal of these properties could be better employed to generate better returns in the interest of the scheme and its members. I confirm that this remains the rationale for disposing of these fixed assets.

Ostensibly, the reports are based on a statement issued by Auction Alliance, the service provider appointed to assist in the disposal of the properties. This has led to the misperception that Bonitas is in some sort of financial difficulty, which necessitates that it disposes of these properties. Bonitas and I distance ourselves from any of the statements made by Auction Alliance concerning the sale of the properties, and wish to state that Auction Alliance has no mandate to make any statements on behalf of Bonitas and in respect of the properties.

Rael Levitt, the CEO of Auction Alliance, has since issued the following retraction:

“Auction Alliance confirms that it is not and has never been authorized to speak on behalf of Bonita’s Medical Scheme nor its Curator with regards to the sale of any properties or any other matters arising in its business affairs. Any negative suggestion or insinuation about Bonita’s financial situation is strongly disputed and we apologise for any inferences which may have been taken out of context in this regard.

The Bonitas properties will be sold at auction sales in KZN and Johannesburg together with many other lots. That said, there is strong interest in all the Bonita’s properties and the marketing campaigns have been handled professionally with great public interest in the buildings which are of high quality”.

Bonitas’ strong financial position has been extensively communicated to all stakeholders as well as the media and the situation remains unchanged. I confirm that the scheme is financially sound and that its reserves remain well above the required statutory limit. "

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