National Credit Regulator v DEVCO Auto CC (NCT/213023/2021/140(1)) [2022] ZANCT 23 (27 May 2022)

National Credit Regulator v DEVCO Auto CC (NCT/213023/2021/140(1)) [2022] ZANCT 23 (27 May 2022)

The Tribunal found, on uncontested evidence, that the respondent repeatedly contravened the National Credit Act and its regulations by failing to provide credit agreements in the prescribed form, overcharging interest, imposing prohibited storage fees, including unlawful clauses that avoid statutory obligations, failing to pay annual renewal fees, entering into credit agreements while unregistered, and failing to submit annual financial returns. The respondent's conduct was aggravated by its failure to defend itself after being granted condonation and its non-appearance at the hearing. The Tribunal held that these contraventions amounted to prohibited conduct under section 150(a) of the...

Citation
[2022] ZANCT 23
Parties
Applicant: National Credit Regulator; Respondent: DEVCO Auto CC
Court
National Consumer Tribunal
Jurisdiction
South Africa
Judgment Date
27 May 2022
Case Number
NCT/213023/2021/140(1)
Procedural Posture
Review Application / Final Judgment After Respondent's Non Appearance
Outcome
Application granted. The respondent was found to have repeatedly contravened the National Credit Act and its regulations. Prohibited conduct declared. Administrative fine imposed. Remedial and restitutionary orders granted.
Judges
P A Beck, J Simpson, M Peenze
Legal Topics
National Credit Act, Prohibited Conduct, Administrative Fine, Credit Provider Registration, Unlawful Credit Agreements, Consumer Protection
Banking and Finance Commercial and Corporate National Credit Act Prohibited Conduct Administrative Fine Credit Provider Registration Unlawful Credit Agreements Consumer Protection

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Parties

National Credit Regulator

Applicant

DEVCO Auto CC

Respondent

Procedural Posture

Review Application / Final Judgment After Respondent's Non Appearance

Legal Issues

  1. 1 Did the respondent repeatedly contravene the National Credit Act and its regulations?
  2. 2 Did the respondent enter into credit agreements while unregistered as a credit provider?
  3. 3 Did the respondent overcharge interest and impose prohibited fees on consumers?

Ratio Decidendi

The Tribunal found, on uncontested evidence, that the respondent repeatedly contravened the National Credit Act and its regulations by failing to provide credit agreements in the prescribed form, overcharging interest, imposing prohibited storage fees, including unlawful clauses that avoid statutory obligations, failing to pay annual renewal fees, entering into credit agreements while unregistered, and failing to submit annual financial returns. The respondent's conduct was aggravated by its failure to defend itself after being granted condonation and its non-appearance at the hearing. The Tribunal held that these contraventions amounted to prohibited conduct under section 150(a) of the...

Court Disposition

Application granted. The respondent was found to have repeatedly contravened the National Credit Act and its regulations. Prohibited conduct declared. Administrative fine imposed. Remedial and restitutionary orders granted.

Orders

  • The respondent is declared to have repeatedly contravened sections 40(1), 40(3), 52(4)(b)(ii), 52(5)(c), 52(5)(f), 90(1), 90(2)(b)(ii), 99(1)(b), 93(2), 100(1)(a), 101(1), 100(1)(c), and 101(1)(d)(ii) of the National Credit Act, relevant regulations, and conditions of registration.
  • The respondent's repeated contraventions constitute prohibited conduct under section 150(a) of the Act.