Sarb emphasises to VBS shareholders that bank will definitely be liquidated
The SA Reserve Bank (Sarb) said that Friday's meeting discussed and agreed that there was a need for regular feedback to VBS Mutual Bank depositors and other affected parties about the liquidation process.
JOHANNESBURG - The South African Reserve Bank (Sarb) has met with Chief Livhuwani Matsila and leaders of the shareholders' forum of VBS Mutual Bank to give them feedback on the liquidation of the bank.
An estimated R2.4 billion was taken from the bank by executives and others, leading to its collapse in 2018.
Eight suspects have since been arrested and appeared in court.
The reserve bank has again emphasised that VBS Mutual Bank was in the process of being liquidated.
VBS was placed under curatorship in March 2018 and its licence was suspended.
The bank said that Friday's meeting discussed and agreed that there was a need for regular feedback to depositors and other affected parties about the liquidation process.
It also clarified the process and criteria for applying for a new banking licence.
The bank said that any interest from the community to continue with traditional banking activities similar to those offered by VBS would be considered as part of a new banking licence application.
However, VBS will definitely be liquidated.