Class action claims R4.6bn from unlicensed Pretoria financial services provider. By Donwald Pressly
Investors in Pickvest, a Pretoria financial services company which is not licensed to operate as a financial services provider, are launching a class-action suit to recover R4.6 billion.
Now called Orthotouch and formerly, PIV Syndication, the company has more than 18,000 investors, most of whom are pensioners terrified of losing their life savings.
Repeated requests for information from the bosses have come to naught.
The Citizen reported in September that the Financial Advisory and Intermediary Services (FAIS) ombud had ruled that it was too late for investors to lay complaints with him.
The ombud noted that Pickvest had promoted property syndications worth R5.3bn; that R4.6bn in outstanding syndications was in business rescue, and that investors were “once again complaining of late interest payments”. He argued that the cut-off date for complaints had been March 30, 2011 – when Pickvest warned investors of a reduction in their monthly income.