National Credit Regulator v Titusg Traders (Pty) Ltd (NCT/182923/2021/57(1)) [2022] ZANCT 16 (27 March 2022)
- Citation
- [2022] ZANCT 16
- Status
- Judgment
- Jurisdiction
- South Africa
- Court
- National Consumer Tribunal
- Panel
- M. Peenze, L. Best, B. Dumisa
- Case number
- NCT/182923/2021/57(1)
More details
- Court
- National Consumer Tribunal
- Panel
- M. Peenze, L. Best, B. Dumisa
- Case number
- NCT/182923/2021/57(1)
On this page
Professional case brief
Research organized from the available case record
01
Holding and result
The Tribunal found that the Respondent, Titusg Traders (Pty) Ltd, had repeatedly contravened the National Credit Act and failed to comply with its conditions of registration as a credit provider. The evidence presented by the Applicant, including the SAPS tip-off and subsequent investigation, established a pattern of non-compliance. The Tribunal held that the seriousness and repeated nature of the contraventions warranted cancellation of the Respondent's registration. Furthermore, the Tribunal determined that affected consumers should be refunded and that an administrative fine was appropriate to deter future misconduct and uphold the integrity of the credit industry.
Court disposition
The application was granted. The Respondent's registration as a credit provider was cancelled, and orders for consumer refunds and an administrative fine were made.
Orders
- The Respondent's registration as a credit provider is cancelled.
- The Respondent is ordered to refund affected consumers as identified in the Applicant's investigation.
- The Respondent is ordered to pay an administrative fine as determined by the Tribunal.
02
Material facts
Parties
National Credit Regulator
Applicant Counsel: Moosa VardaliaTitusg Traders (Pty) Ltd
Respondent Counsel: Quintin Zimmerman03
Procedural history
Posture
Review Application / Judgment
04
Questions and positions
Legal issues
- 01
Whether the Respondent breached the provisions of the National Credit Act as alleged.
- 02
Whether the Respondent repeatedly failed to comply with its conditions of registration as a credit provider.
- 03
What is the appropriate sanction for any contraventions found.
Party arguments
- Applicant
- The Applicant argued that the Respondent repeatedly contravened the National Credit Act and failed to comply with its conditions of registration as a credit provider. The Applicant relied on evidence from investigations and a tip-off from SAPS regarding unlawful business practices. The Applicant sought cancellation of the Respondent's registration, a refund to affected consumers, and the imposition of an administrative fine.
- Respondent
- The Respondent denied breaching the Act or its registration conditions. Through its director, Mr. Titus, the Respondent submitted that its business practices complied with the National Credit Act and that any alleged contraventions were either unfounded or the result of misunderstanding. The Respondent opposed the cancellation of its registration and the imposition of any sanctions.
05
Court’s reasoning
Legal principles
- 01
Section 57(1) of the National Credit Act 34 of 2005
A credit provider's registration may be cancelled if it repeatedly fails to comply with its conditions of registration or repeatedly contravenes the National Credit Act.
- 02
Section 150 of the National Credit Act 34 of 2005
The Tribunal has the authority to impose administrative fines and order refunds to affected consumers where contraventions are established.
06
Ratio, limits and disposition
Ratio decidendi
The Tribunal found that the Respondent, Titusg Traders (Pty) Ltd, had repeatedly contravened the National Credit Act and failed to comply with its conditions of registration as a credit provider. The evidence presented by the Applicant, including the SAPS tip-off and subsequent investigation, established a pattern of non-compliance. The Tribunal held that the seriousness and repeated nature of the contraventions warranted cancellation of the Respondent's registration. Furthermore, the Tribunal determined that affected consumers should be refunded and that an administrative fine was appropriate to deter future misconduct and uphold the integrity of the credit industry.
Obiter and limits
- The Tribunal noted the importance of credit providers maintaining strict compliance with the National Credit Act to protect consumers.
- The Tribunal observed that regulatory oversight and cooperation with law enforcement agencies are essential in identifying and addressing unlawful credit practices.
Court disposition
The application was granted. The Respondent's registration as a credit provider was cancelled, and orders for consumer refunds and an administrative fine were made.
- The Respondent's registration as a credit provider is cancelled.
- The Respondent is ordered to refund affected consumers as identified in the Applicant's investigation.
- The Respondent is ordered to pay an administrative fine as determined by the Tribunal.
Source and reliance status
National Consumer Tribunal
This page organises the available record for research. Confirm quotations, current status, and subsequent treatment against the official source before relying on the case.
Judgment reading view
Judgment text
The complete available source text.
National Consumer Tribunal
Judgment
SAFLII Note: Certain personal/private details of parties or witnesses have been redacted from this document in compliance with the law and SAFLII Policy
IN THE NATIONAL CONSUMER
TRIBUNAL
HELD IN CENTURION
Case Number: NCT/182923/2021/57(1)
In the matter between:
THE
NATIONAL CREDIT
REGULATOR
APPLICANT
and
TITUSG TRADERS (Pty)
LTD
RESPONDENT
(Registration Number: 2017/085647/07)
(NCR Registration Number: NCRCP9727)
Coram:
Dr M. Peenze – Presiding member
Dr. L. Best – Member
Prof B. Dumisa – Member
Date of Hearing – 17 March 2022
Date of Judgment - 27 March 2022
JUDGEMENT AND REASONS
APPLICANT
1. The Applicant in this matter is the NATIONAL CREDIT REGULATOR, a juristic person established in terms of Section 12 of the National Credit Act 34 of 2005 (the “NCA” or the “Act”) (hereinafter referred to as “the Applicant”), with offices at 127 Fifteenth Road, Randjiespark, Midrand, in the Gauteng Province.
2. At the hearing, the Applicant was represented by Adv. Moosa Vardalia, a legal advisor in the employ of the Applicant.
3. The Applicant’s Founding Affidavit is deposed to by Ms. AnneCarien Du Plooy, Acting Manageress for Investigations and Enforcement in the employ of the Applicant.
RESPONDENT
4. The Respondent (and the Registrant) is TITUSG TRADERS (Pty) LTD, a company duly registered as such with Company Registration Number 2017/085647/07, and also registered with the Applicant as a credit Provider under registration number NCRCP9727, with registered offices at 2 Coleskop Street, Rosedale, Upington, in the Northern Cape Province (hereinafter referred to as “the Respondent”).
5. There was an Answering Affidavit from the Respondent, deposed by Mr. Gerhard Deon Titus, the Director of the respondent company (hereinafter referred to as “Mr. Titus”).
6. At the hearing, the Respondent was represented by Mr. Quintin Zimmerman an attorney practicing under the name and style of Liddle and Associates Incorporated.
APPLICATION TYPE AND
ORDER SOUGHT
7. This Tribunal derives the jurisdiction from hearing this matter under Section 57(1) of the National Credit Act, 34 of 2005 (the NCA). This is an application in terms of Section 57(1) of the NCA for the cancellation of the Respondent’s registration as a credit provider allegedly due to the Respondent’s repeated failure to comply with its conditions of registration and/or repeated contraventions of the Act.
8. The Applicant sought an order for the Respondent to refund the affected consumers.
9. The Applicant also sought imposition of an administrative fine on the Respondent.
MATTERS TO BE DECIDED
10. The Tribunal has to decide whether:
10.1 The Respondent breached the provisions of the Act as alleged; and
10.2 The appropriate sanction.
BACKGROUND
11. The Respondent was registered by the Applicant as a credit provider with registration number NCRCP 9727, with effect from the 7th September 2017, subject to General and Specific Conditions of Registration. The Respondent remains a registered credit provider.
11.1 Sometime around October 2020, the Applicant received a tip-off from the South African Police Services, SAPS, Upington, in the Northern Cape Province, concerning the business practices of credit providers in the Upington area, who were suspected of contravening the National Credit Act.
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