Cape Town - Former Fidentia CEO J Arthur Brown never stole funds from the company, the Western Cape High Court heard on Thursday.
Braganza Pretorius said his client, Brown, would dispute that an asset swap between Fidentia Capitalwise and PLJ Asset Holdings in 2006 was done to cover shortfalls.
Judge Anton Veldhuizen seemed confused by this statement.
“As far as I know, there is no charge that says he stole from Fidentia,” Veldhuizen said.
He looked through the charge sheet and could not find a charge of theft against Brown for that period.
Jannie van Vuuren, for the State, said Brown faced a charge of fraud in that period related to the Transport, Education and Training Authority, which had an alternative charge of theft.
Pretorius accused the State of having a “shotgun approach” and said it had hinted to such theft in the preamble of the indictment.
“You must care less about the preamble. It will have to be proved through evidence. Look at the counts,” the judge replied.
“Don't go off on a tangent with unnecessary things.”
He said the State could apply to amend the charge sheet, but that he would personally put up strong resistance to that move.
Pretorius had spent time cross-examining ex-broker Steven Goodwin on the value of properties bundled together as part of the asset swap.
Goodwin testified he was told in June 2006 that Fidentia Capitalwise planned to dispose of its entire property portfolio as a collective, to benefit from a very rapid asset appreciation.
He was asked if the properties could be described as “blue chip”.
“I am unable to say that. I don't know the details and don't live in the Cape. I don't even know where the properties are,” Goodwin said.
He testified he was told the bank had valued certain assets and he had accepted that this was true, and the values fair.
The court heard that one of these properties was the Sante Winelands Hotel and Spa at Franschhoek.
The trial was postponed to Monday. - Sapa