The R475 million administrative fine imposed on the former Steinhoff CEO has not been paid more than two years after it was issued, with the Financial Sector Conduct Authority now attempting to recover it through the courts.
In a written response to IOL, the FSCA confirmed that the fine issued on March 20, 2024 was payable within 30 days, but has not been settled by Jooste's estate, the family trust or any third party.
Jooste died a day after the fine was imposed. He reportedly died of a self-inflicted gunshot wound on Quaywater Beach in Hermanus on March 21, 2024, hours before he was expected to turn himself in to authorities.
The regulator said it had converted its administrative penalties into enforceable orders of the High Court.
“Subsequently, the Authority ordered its two administrative orders to be adjudicated in the High Court of South Africa (Gauteng Division, Pretoria) on 18 July 2024,” the FSCA said.
“This step is necessary for the FSCA to have access to civil recovery procedures in SA.”
The first order relates to a R20 million insider trading fine, while the second relates to a breach of Section 81 of the Financial Markets Act, which formed the basis of the R475 million fine.
“These court orders have been lodged with the executor of the estate of the late Mr Jooste,” the regulator confirmed.
The move effectively converts the fine into a civil debt that can be recovered through legal processes including attachment and sale of property.
The FSCA also confirmed that it is aware of Silver Oak Trust, through which Joste Held assets including interests associated with the Lanzerac wine estate in Stellenbosch.
“The FSCA is engaged in a comprehensive effort to locate assets that may be attached to satisfy the late Mr. Jooste's debts,” the authority said.
It said she was “aware of the South African Reserve Bank's confiscation orders against Mr Jooste in his personal capacity as well as against his family trusts and members of his family.”
According to the FSCA, the South African Reserve Bank had already obtained a temporary attachment order more than three years before Jooste's death.
“The SARB's enforcement action includes freezing assets in the Silver Oak Trust,” the regulator said.
The response also shed new light on other investigations involving Steinhoff.
The FSCA confirmed that it has finalized its investigation into Dirk Schreiber, who served as finance director of Steinhoff Europe during the period of the fraud.
“The authority finalized its investigation against Mr Dirk Schreiber, who was an FD at Steinhoff Europe,” the FSCA said. “Mr. Schreiber assisted the authority in its investigation.”
Although findings were made against Schreiber for violations of the Financial Markets Act, no administrative penalties were imposed.
The FSCA said this was “in accordance with the leniency agreement” concluded under Section 156 of the Financial Sector Regulation Act.
The regulator declined to disclose whether Schreiber's collaboration had identified additional individuals involved in the fraud, saying it could not provide further details due to the ongoing investigation.
In another major development, the FSCA confirmed that it has completed proceedings against Stephanus Johannes Grobler, also known as Stehan Grobler, who previously served as company secretary, head of treasury and legal advisor at Steinhoff International.
“Following the completion of the proceedings against Mr Jooste and Mr Schreiber, the authority also successfully finalized its investigation against Mr Stehan Gröbler,” the FSCA said.
Grobler was slapped with an administrative fine of R358.75 million, the second-highest fine issued in a Steinhoff regulatory outcome after Jooste's own sanction.
The Steinhoff scandal broke in December 2017 and wiped out approximately R230 billion in shareholder value at the Johannesburg Stock Exchange, triggering years of regulatory, criminal and civil investigations in multiple jurisdictions.
Grobler also faces separate criminal charges, including fraud, falsification of financial statements and embezzlement of R21 billion. He has denied the allegations.
The FSCA stressed that its comprehensive market abuse investigation into Steinhoff would continue.
“The authority's market abuse investigation into Steinhoff has not yet been finalized,” it added.
“The authority is currently engaged in an ongoing enforcement process and is therefore unable to disclose further details at this stage.”
Asked whether investigators had uncovered evidence that Jooste may have planned to flee South Africa or hide assets abroad before his death, the FSCA said it had “no reliable information in this regard”.
The unpaid fine of R475 million remains one of the most visible unresolved aspects of the Steinhoff saga, with questions revolving around accountability, asset recovery and whether the full extent of the fraud will ever be publicly exposed.
The man accused of masterminding South Africa's biggest corporate fraud reportedly shot himself over a cliff in Hermanus, hours before handing himself in to authorities. He died without revealing whether he intended to seek a review of the FSCA's findings before the Financial Sector Tribunal.
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