Fraud charges against WesBank and its CEO dismissed

The South African Police Service (SAPS) and the senior public prosecutor have dismissed charges of fraud brought against WesBank and its CEO Ghana Msibi.

WesBank, the vehicle finance division of FirstRand, confirmed this in a statement issued on Wednesday afternoon.

The claimant, Emerald van Zyl, who describes himself as a “financial investigating consultant”, opened a case of fraud at the Bellville Police Station in Cape Town in July 2024. He accused WesBank and its CEO of overcharging its clients on vehicle finance accounts based on incorrect interest calculations.

Says Lebogang Gaoaketse, head of marketing and communication at WesBank: “Following the investigation into the fraud charges filed by a Mr Van Zyl, the SAPS and the prosecutor in the case have elected not to pursue any fraud charges against WesBank or Mr Msibi due to the absence of any reasonable evidence of any crime committed.”

ALSO READ: ‘Blind to race’: WesBank not planning to sue ‘whistleblower’ or investigator – CEO

Not letting up

Van Zyl told Moneyweb that even though the charges were dismissed, he would not let the matter rest.

“I am teaming up with an actuary soon and together we’ll work out why and by how much WesBank overcharges on their interest rates.”

Van Zyl says he has stopped “more than 1 000 execution sales” of vehicles and houses in his 32-year career.

He regularly posts on social media platform X and has appeared on a number of TV and radio shows claiming that South African banks inflate interest charges – not only on vehicle finance but also on mortgages.

“I was even invited to appear on Carte Blanche as one of their five heroes for their 25th birthday,” he told Moneyweb.

ALSO READ: ‘There’s no truth in that’: Wesbank CEO denies charging black clients higher interest rates

Dismissed with costs

In 2013, Van Zyl was involved in a court case against First National Bank (FNB), making claims of racism against the bank, but the North Gauteng High Court ruled against him and he was ordered to pay punitive costs.

At the time, it was found that he showed a “disregard for the facts” and had “an overriding desire to continue his vendetta against FNB”, according to a report in Business Day.

In 2019, the Cape Equality Court threw out a claim of racial discrimination against FNB brought by Van Zyl on behalf of several black customers of the former Saambou Bank, which was taken over by FNB in the 1990s.

Van Zyl claimed there was a pattern of discrimination against black customers, who he said were being charged up to 30% more than white customers for their mortgage loans.

In January this year, Van Zyl made similar claims on Newzroom Afrika, saying black customers are charged more interest on their vehicle finance.

ALSO READ: Claims of discrimination against black FNB customers heads to court

Credible sources

WesBank’s Gaoaketse cautions in the statement that consumers should seek financial advice from “credible sources” with the “relevant qualifications and a proven history” of assisting consumers.

“It is also important to check if they are registered with the appropriate industry or regulatory bodies. Beware of so-called ‘financial experts’ motivated by their agendas.”

WesBank encourages its clients to contact the National Financial Ombud Scheme to report any concerns they may have regarding their finance accounts.

“The Scheme is independent and offers fair advice at no cost to the complainant,” it notes.

This article was republished from Moneyweb. Read the original here.