Reserve Bank seizes millions in funds belonging to disgraced former Steinhoff executive Grobler

JOHANNESBURG - The South African Reserve Bank (SARB) has seized millions of rands in funds belonging to disgraced former Steinhoff executive Stephan Grobler.

Grobler was the head of legal at Steinhoff before the company went under in what has now been labelled the biggest corporate scandal in South Africa.

He was the first of the retailer’s top brass to be brought before a South African court for the saga.

Grobler now faces fraud, racketeering and contravening the Financial Markets Act charges.

In a government gazette published at the end of last week signed by the SARB's Deputy Governor - Fundi Tshazibana.

The central bank says the forfeiture follows Grobler’s contravention of exchange control regulations.

The funds seized include almost R900,000 from Grobler’s Momentum Wealth Account and more than R66 million in loan accounts at Suez Beleggings and Elmaretch Engineering Works.

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In a separate notice, Grobler’s shares in private entities have also been seized including shares at three entities worth almost R100,000 combined.

Over 1,000 shares at R86,706 at Suez Beleggings, 54 shares at R7 093 at Steff Grobler Beherende (EDMS) Beperk and 4,900 shares at R4,900 at Keurview Aandeleblok Beperk.

Grobbler – who also held several other positions at the multinational in almost two decades at the firm - is accused of being part of a small group of execs that inflated the profit and assets of the group – earning them millions in bonuses and other incentives.

Earlier this month, the former Steinhoff CFO, Ben la Grange, was sentenced to 10 years for fraud – with five years suspended.

Former CEO Markus Jooste died by suicide in March.