Sasfin Bank has received R164.64 million of administrative sanctions from the Prudential Authority of the SA Reserve Bank on foreign exchange-related non-compliance issues, the bank said yesterday.
The R160.64m comprises R209.69m of which R49.05m was suspended.
The sanctions principally relate to allegations of historic non-compliance within Sasfin Bank’s discontinued foreign exchange business.
“Sasfin has and continues to work proactively and transparently with the relevant authorities and regulators. Sasfin has taken legal advice and is considering further representations that could result in a review or appeal of the sanctions,” the bank said.
Meanwhile, it also said yesterday that the conclusion of the R3.26 billion sale of Sasfin Bank’s Capital Equipment Finance, and Commercial Property Finance businesses to African Bank marked an important step in Sasfin’s strategic reset that will eventually see it delisted.
Sasfin announced last month that Wiphold, Unitas and the Sasfin Wealth management team had proposed to subscribe for shares in Sasfin Wealth, and that there would be an offer to shareholders and then the delisting.
Post the disposal, the Sasfin Bank capital adequacy ratio was expected to strengthen to 20%, and Sasfin Bank would hold ample excess liquidity, a statement said yesterday.
Sasfin Bank had announced in March the disposal of its Capital Equipment Finance, and Commercial Property Finance businesses to African Bank for R3.25bn.
Final regulatory approvals for the deal, including from the finance minister were obtained on August 1, 2024.
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