NUM questions decision to place Ubank under curatorship

Reserve Bank Governor Lesetja Kganyago made the announcement on Monday, saying there were concerns on the financial safety of clients.

Picture: Ubank.co.za

JOHANNESBURG - The National Union of Mineworkers (NUM) on Tuesday questioned the decision to place Ubank under administration, saying its capital adequacy problems had been addressed.

Reserve Bank Governor Lesetja Kganyago made the announcement on Monday, saying there were concerns on the financial safety of clients.

The bank is a financial services provider, focusing on the gold and platinum mining communities.

The NUM, which is a part shareholder in the bank, said it was shocked by the Reserve Bank's decision.

Spokesperson Livhuwani Mammburu said: “We had a meeting on the night before with the Prudential Authority and they were assured and given tangible evidence that the R800 million that they wanted to not place the bank under curatorship has been found.”