A court docket has ordered the Financial institution of Namibia to fund CBI International.
The Financial institution of Namibia is Namibia’s high monetary regulator. CBI International is a Ponzi scheme.
As a part of their efforts to close down CBI International, run by serial Ponzi scammer Coenie Botha (under), the BoN froze Botha’s belongings in March.
This included CBI International, which is included as CBI Trade in Namibia. Belongings in query primarily pertained to stolen CBI International investor funds, held in Financial institution Windhoek accounts.
Botha tried to thwart regulation of his Ponzi scheme by suing BoN, basically arguing he had a proper to rip-off individuals.
As a part of these proceedings, Botha secured the appropriate to assert operational bills from frozen funds.
Botha submitted claims topping $62,150, most of which might be laundered by way of Afrika Jantjies’ legislation agency.
Afrika Jantjies (proper), was launched to CBI International buyers in a March twenty first webinar. He represented himself to be CBI International’s legal professional and Compliance Officer;
We’re the attorneys for CBI. Plus I act because the compliance officer for CBI Trade Namibia.
If there’s something that’s executed illegal or shouldn’t be in step with the legislation, then it’s my responsibility to advise my shopper to desist and cease and comply.
Reasonably than just do that upon studying CBI International was a Ponzi scheme, Jantjies’s position modified to confederate with outstanding quickness.
Unsurprisingly, Botha’s inflated bills prompted push again from BoN;
The authorized prices will not be thought-about vital day-to-day bills but in addition merely seem unreasonable.
If thought-about along with the retainer, it might imply that all the month is devoted solely to (CBI International’s) authorized work.
If one assumes a mixed hourly price of N$5000 for Mr Jantjies and instructed counsel for April 2022, it might imply that they each spent about 6 hours a day from Monday to Friday for all the month of April 2022 on (CBI International’s) authorized work (together with the vacations).
It is usually slightly regarding that amongst the bills there’s what’s known as the “third and final remaining retainer … in respect of VASP utility to FIC”. That is an utility fo the Monetary Intelligence Centre.
I enquired from the FIC what the associated fee is for such a registration.
I’m knowledgeable by Mr. Kristian Hamutenya, who’s the Deputy Director of Compliance on the FIC and who offers with these functions that no registration price is payable.
He indicated that the method is so easy that small property companies, church buildings, second hand items retailers and different NPO’s have been capable of register with out the help of a guide.
There was due to this fact no want for the applying to nominate a guide and positively not at a value of N$559,574.40.
That value can’t be thought-about a vital day-to-day enterprise expense.
CBI International pushed the matter by way of the courts, which brings us to the seventh July determination by the Excessive Court docket of Namibia.
Regardless of the plain try and launder stolen investor funds and circumvent makes an attempt to control CBI International, the court docket opted to show a blind eye.
The (Financial institution of Namibia and Financial institution Windhoek Restricted) should … launch funds/funds from (CBI International’s) checking account which is important for the day-to-day working of (CBI International’s) enterprise.
The (Financial institution of Namibia and Financial institution Windhoek Restricted) should … pay (CBI International’s) value.
The matter is finalized and faraway from the roll.
Proof submitted by the Financial institution of Namibia pertaining to inflated and pointless claimed bills had been ignored.
The court docket famous it
can not difficulty an interdict restraining (the Financial institution of Namibia and Financial institution Windhoek Restricted) from imposing cheap situations for the funds to be launched, situations on this case which means that (CBI International) should substantiate the bills with the required paperwork.
The court docket successfully forbade the Financial institution of Namibia, once more Namibia high monetary regulator, from questioning claimed bills from CBI International.
If that sounds totally absurd, it’s as a result of it’s.
I feel the most important downside with this case is the court docket not recognizing the idea of the asset freeze.
(CBI International) submits that it suffers massively each operationally and financially.
To ameliorate the devastating impact of a complete freeze of the applicant’s account, this court docket granted an order for the cost of vital day-to-day enterprise bills while the investigation by (Financial institution of Namibia) continues.
(CBI International) states that it wants its day-to-day bills with a view to proceed to function and exist pending the decision of the dispute between the events.
(CBI International) additional submits that if (CBI International) is refused a listening to on pressing foundation it is going to be disadvantaged of its rright to have its vital day-to-day bills launched and can within the course of not survive financially.
(CBI International) continues to endure irreparable monetary and operational hurt on account of the illegal interference of (the Financial institution of Namibia and Financial institution Windhoek Restricted).
The court docket is treating CBI International as a professional enterprise. It’s not, it’s a blatant Ponzi scheme that’s now collapsed 4 occasions.
I get that the BoN’s regulatory case in opposition to CBI International nonetheless has to play out, however within the meantime permitting a Ponzi scheme to additional launder stolen investor funds, by way of the help of an legal professional no much less, is reprehensible.
Not surprisingly, the Financial institution of Namibia has appealed the Excessive Court docket’s determination. An enchantment was filed with the Supreme Court docket of Namibia on July seventh, the identical day the Excessive Court docket’s determination was filed.
Sadly the Namibian Excessive Court docket’s determination is simply the newest instance of regulators in Africa being unable to fight MLM associated securities fraud.
In South Africa we’ve the Mirror Buying and selling Worldwide mess. Suspected house owners of the $1.7 billion greenback Ponzi scheme, Clynton and Cheri Marks (proper), have been and proceed to be ignored by South African authorities.
The Marks crime household stays at giant in South Africa. They’ve remained free to launder stolen MTI investor funds for nearly two years.
Then there’s Cameroon and Emile Simb’s Liyeplimal Ponzi scheme.
After ignoring Liyeplimal for 2 years, regardless of a number of securities fraud warnings throughout Africa, Cameroonian authorities lastly moved to arrest Simb in late Might.
A court docket noticed match to launch Simb, prompting him to instantly flee the nation. Simb is suspected of fleeing with the help of Cameroonian authorities officers, on a diplomatic passport issued by neighbouring Central African Republic.
Simb stays at giant.
Between Namibia, South Africa and Cameroon, depressingly enlightening perception reveals simply how a lot of an uphill battle authorities face combatting MLM associated securities fraud.
Even when authorities do take motion (a unicorn occasion in and of itself), as we’ve seen in Cameroon and now Namibia, African courts then actively work in opposition to authorities to vindicate and finally free scammers.
Such to the extent working Ponzi schemes carries any legal legal responsibility in Namibia, Namibian authorities proceed to show a blind eye to Coenie Botha’s fraud.
Pending a choice on the Financial institution of Namibia’s Supreme Court docket enchantment, keep tuned…