CAPE TOWN - Gutpa-owned and associated companies were ousted from Postbank after they requested opening a bank account with the South African Post Office’s (SAPO’s) bank.
Their dismissal was unveiled in written Parliamentary papers on Tuesday, reports a local media house.
“A Postbank employee was approached in July 2016, with a request to open a commercial bank account,” said Telecommunications and Postal Services Minister Siyabonga Cwele.
"An employee from a company called JIC Limited approached Postbank with a request to open a bank account for their company. Postbank established based on the JIC Limited’s financial statements that it was part of the Oakbay Group.
"Postbank responded in August 2016 that it does not service corporate accounts because it is purely a retail bank that only serves individuals.
"Further, an employee of ANN7 in August 2017 approached SAPO requesting a meeting with the SAPO group chief executive officer to discuss the opening of a bank account for the company.
"SAPO indicated that Postbank was unable to open or service corporate accounts because it is purely a retail bank that only serves individuals".
The Gupta’s company bank accounts were blacklisted from a number of South African banks in 2016.
The notorious family were then issued notice by the Bank of Baroda that their account would also be closed in 2017.
Despite this notice, a court ruled earlier in October that this bank had to keep the accounts open, pending a final application.
In addition, the South African Reserve Bank (Sarb) has launched an investigation into India’s Bank of Baroda.
The investigation was sparked by the Organisation Undoing Tax Abuse (OUTA’s) court papers that mine-rehabilitation funds held for two of the Gupta family’s companies had allegedly been mismanaged and used to repay loans.
Although there has been no clear evidence that the trust funds were embezzled, the banks approximate R1.75 billion remains under scrutiny.
- BUSINESS REPORT ONLINE