A man believed to be Dawood Seedat is seen in the framegrabs receiving two enclosed boxes at the Midrand mosque.

Johannesburg - The Financial Services Board (FSB) is conducting an internal audit to establish whether there is any basis to corruption allegations against its former chief financial officer.

“Only if any wrongdoing is found will the FSB commission a full forensic investigation into this matter,” it said in a statement on Tuesday.

This follows reports last month that former chief financial officer Dawood Seedat had been accused of demanding millions of rand in bribes to make an audit disappear.

The FSB clarified it was not investigating the allegations against Seedat.

“The FSB neither has the capacity nor the mandate to investigate these allegations as they fall outside its regulatory scope.

“What the FSB has undertaken to do is to look into the functions performed by Mr Seedat while he was employed at the FSB to determine whether or not those functions were compromised in any way.”

The Auditor General's office would support the internal audit.

On June 20, the Star newspaper reported that, in an affidavit, Africa Cash and Carry CEO Edrees Ahmed Hathurani said he was told in June last year that Seedat was investigating his business.

At a meeting, Seedat reportedly told Hathurani he could use the SA Revenue Service (Sars) and the FSB to close down the business.

Hathurani was then told to pay R12 million to a Sars consultant. He reportedly made several payments between June and November last year, including some to Seedat personally, according to The Star.

The last two payments were reportedly recorded on video and one reportedly showed Seedat accepting two boxes containing R1.5m and R500,000.

The FSB said previously that Seedat's alleged wrongdoing fell outside the FSB's regulatory work and related to his knowledge of the country's tax regime as a result of his past employment at Sars.

“The FSB is subject to very strict legislative secrecy provisions that ensure that the information at its disposal is only used for regulatory purposes,” it said.

Africa Cash and Carry was not regulated by the FSB. After his resignation Seedat disclosed to the FSB that he had done consulting work for Africa Cash and Carry.

“Employees are required to disclose to the FSB any outside business interests, which was never done by Mr Seedat before doing business with Africa Cash and Carry,” the FSB said. - Sapa