A man believed to be former FSB chief financial officer Dawood Seedat is seen in screengrabs receiving two enclosed boxes at a Midrand mosque. A voice in the clip says one box contains R1.5 million and the other R500 000.

Johannesburg - The Financial Services Board has distanced itself from former chief financial officer Dawood Seedat after corruption allegations were made against him two weeks ago.

The Star revealed that the chief executive of Africa Cash and Carry, Edrees Ahmed Hathurani, allegedly paid Seedat R12 million after Seedat allegedly threatened to close his firm through an SA Revenue Service (Sars) audit.

In an affidavit, Hathurani said Seedat threatened to use the FSB and Sars to close his business and confiscate his assets. He allegedly paid the money in different instalments in cash. The last payment was secretly taped.

Seedat countered the allegations, denying he had been paid a bribe, and telling the Sunday Times business section that Hathurani had paid him R3m in consulting fees for giving him tax advice.

In a media statement, the FSB said it found the allegations against Seedat unacceptable. It said the allegations fell outside the regulatory work of the FSB and related to Seedat’s knowledge of the country’s tax regime as a result of his past employment at Sars. “Africa Cash and Carry is not an entity regulated by the FSB,” it said in the statement.

The FSB said there was no information it held on Africa Cash and Carry that could have been used by Seedat in his “alleged activities”.

The FSB said it had launched a comprehensive investigation “to determine whether Mr Seedat may have performed his support role at the FSB in any way that breached the integrity of his role”. The investigation would include a full internal audit supported by the office of the auditor-general.

“If any finding is made, a full forensic investigation will be conducted,” the statement said.

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The Star