Venter v Sackstein N.O and Others (9229/05)
Venter v Sackstein N.O and Others (9229/05) [2008] ZAECHC 75 (26 May 2008)
The court found that the Supreme Court of Appeal in Fourie v Edeling NO and Others, although not making an explicit order regarding reinvestments, accepted as a matter of law that book-entry reinvestments ('roll overs') do not constitute impeachable dispositions under the Insolvency Act. The judgment clarified that the repayment of an investor's capital, even if the underlying scheme was illegal, is not a disposition without value and is made in discharge of an obligation to return the illegal payment. The court rejected the defendants' artificial construction that the 'roll over' referred on…
Source excerpt
- Insolvency Act Section 26
- Insolvency Act Section 30
- Illegal Pyramid Scheme
- Settlement Agreement Interpretation
- Disposition Of Property
- Reinvestment Rollover