By BO Staff Writer
The white owned media will never tell you the truth about how the whole banking and financial corporations are robbing black people every day. In recent months we have seen massive and ongoing campaigns by the white controlled media against MMM, calling it a pyramid scheme. The media has been warning the public about MMM but it doesn’t say a word about how the banking system steals and robs black people and the poor. The media has not played an even and informative role to help the public understand how the financial system is linked to the banks and to this end how it oppresses the poor and the vulnerable.
The white owned media will not inform the public that the African Bank which collapsed in 2014, after making its white owners rich, is being sued by black investors who lost over R2 billlion! The media will not inform the public that the South African Reserve Bank (SARB) injected public money into the failed African Bank and to this end has kept the report on exactly why the bank failed a secret. Advocate John Myburgh delivered his report on the collapse of the African Bank during or about the beginning of 2015 but the SARB is yet to release the said report – raising questions of whether it is covering up for the white senior managers who benefitted from black investment and are now being sued for acting “recklessly and misleading investors”. These are the claims in court papers by black investors who lost billions in the bank.
The ten white directors being sued, who had during the relevant time ran the African Bank, have said in court papers that they take no responsibility for the loss suffered by black investors. Their conduct is exactly in kilter with the logic of the pyramid scheme. They told blacks to put their hard earned cash into a bad investment which benefited them and then they turn around and say they have no responsibility towards the investors who lost so much money. This is permissible by law and in this regard serves to legalize theft by banks and such financial entities as insurance companies.
The court case is brought by black investors under the two entities set for “black empowerment” named Hlumisani and Eyomhlaba which jointly owned about 5% of the African Bank. The most startling claim in their court papers by these black investors , who are also suing the auditors of African Bank (being the world renowned auditing firm Deloitte and Touche) is that, “Deloitte gave unqualified audit reports Abil [African bank]”. What this means is that there was a collusion between the auditors and the bank to fleece black investors. The black investors have a point when they ask how is it that the auditing firm didn’t see the risk and bad decisions made by the white directors and to this end warn the shareholders?
The African Bank saga shows beyond doubt how the formal financial schemes are run as Ponzi schemes for the rich. In South Africa, unlike in such countries as Iceland where bankers are regularly arrested and jailed for bad decisions which costs people their money, SARB is the biggest defender of white banker’s crimes. This case further shows that the white owned media is misleading the public when it claims that MMM is an unsafe investment. Truth is, the current financial system is based on robbing the poor whilst promising them guarantees for their investments. MMM is, on the other hand, more honest. It is upfront about there being no guarantee. It’s a fair warning. Who is going to warn the pubic about banks and the SARB?
BO shall be following up this story and shall keep the readers regularly updated.