PARLIAMENT - Members of Parliament's standing committee on finance on Tuesday said they were not convinced by assurances that allegations against Capitec are unfounded and called for a proper investigation to protect the bank's clients.
The committee received a briefing from, among others, the South African Reserve Bank's (Sarb's) registrar of banks Kuben Naidoo. He said allegations of questionable loan practices made against the bank by United States short seller Viceroy, including that it artificially rescheduled loans, had been found not to be correct.
"In our opinion the key allegations are not correct, Capitec is well regulated and they have adequate capital," Naidoo said, noting that the bank had a good cost-to-income ratio of 34 percent.
Viceroy has deemed Capitec "uninvestable" and called for it to be placed under curatorship. The bank's CEO Gerrie Fourie hit back at Viceroy by challenging its research practices and accusing it of engaging with the bank through the media, instead of directly.
"They are playing the media game. We have asked them to engage with us," he said.