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Auction Alliance ruling welcomed
The National Consumer Commission (NCC)’s findings against Auction Alliance have been widely welcomed...
The National Consumer Commission (NCC)’s findings against Auction Alliance have been widely welcomed.
On Friday, the commission found the auction house guilty of bid rigging and fraud.
The ruling comes after a complaint was laid by businesswoman Wendy Appelbaum.
She claims she was tricked into a mock auction by bidding up to R55 million on a Stellenbosch property.
Auction Alliance has been ordered to pay a penalty of 10 percent of its annual turnover.
The alliance’s CEO Rael Levitt is also facing a fine of up to R1 million or 12 months imprisonment for his role in the fraudulent practice.
The South African Institute of Auctioneers (Saia) chairperson Tirhani Mabunda said this was a landmark case.
He believes the industry will move away from such practices.