Catharina and Another v Acker (4840/2005)
Catharina and Another v Acker (4840/2005) [2010] ZAFSHC 63 (1 July 2010)
The court found, on a balance of probabilities, that Noite Dia Trust operated an unlawful banking business by accepting deposits from the public without being registered as a bank, in contravention of section 11 of the Banks Act. The investment scheme constituted an unfair business practice as defined in the Consumer Affairs (Unfair Business Practices) Act and relevant regulations, specifically as a pyramid promotional scheme. All agreements entered into for investment purposes with the Trust were declared void ab initio. The court held that the hearsay evidence relied upon by the applicants…
Source excerpt
- Banking Act Violation
- Pyramid Scheme
- Unfair Business Practice
- Nullity Of Contract
- Hearsay Evidence
- Motion Procedure