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My bank fraud experience

A Fin24 user responded to a call on users to share their scam stories. All documentation referred to is in the possession of Fin24.

I am a victim of bank fraud perpetrated by bank employees colluding with a car dealership in Johannesburg.

In November 2009 I entered into a contract with Friedcorp 167 trading as Direct Car Sales.

I paid over R1 300 000 into their First National Bank (FNB) account for the purchase of two coaches, which were to be ordered from China and delivered to me at the beginning of December 2009.

When Direct Car Sales failed to deliver the coaches on the agreed date, I cancelled the contract on December 17 and demanded my money back.

Between January and February 2010, I entered into a second oral agreement with Direct Car Sales whereby they handed over 10 brand new Jinbei vehicles that were valued at R1 300 000 to hold as security till they paid me back, or alternatively provided me with the proof of payment for the coaches to the Chinese manufacturer.

After mid-February 2010, Mohamed Saloojee, the representative of Direct Car Sales, gave me a letter from the Glen FNB branch in Johannesburg confirming the transaction of the coaches and a letter from the manufacturer confirming the order.

I was then satisfied and released the vehicles back to Saloojee that he had handed over to me to hold as security, as I had been assured by the bank that my coaches had been paid for as they were the bankers of Friedcorp 167 CC t/a Direct Car Sales.

I then decided to get in touch with the Chinese manufacturer, only to be told that they do not produce coaches and did not receive any payment, contrary to the letters that I received from Saloojee.

In a nutshell, I wrote to the legal department complaining about the misrepresentation letter I got from the the Glen branch that made me release the vehicles, which I could have sold to recoup my money.

All I got was a cold reception, no apology, and no mention of rectifying my financial loss. I was told that the person who signed the letter had erred, and the bank was not getting involved any further.

After I opened a case of fraud against Direct Car Sales with the Commercial Crimes Unit Johannesburg, the bank was subpoenaed to produce transactional documents.

This they failed to do, in spite of the fact that they are legally obliged to keep transactional documents for a minimum of five years. FNB's legal department never attempted to engage me with regard to the matter, but seemed very rushed to hand the matter over to Norton Rose law firm.

I was left with no option but to seek legal advice as well.

I then sued the bank and the dealership owners for loss and damages. FNB objected to my damages and filed for an exception judgment on the damages. They lost with costs at high court; the judgment is clearly defined on the attachment below from paragraph 19.

Instead of settling, FNB is flexing their financial muscle by dragging the matter back to court and this does not make sense because their fraudulent documents are not in dispute here.

This is the bank that claims to fight crime, fraud and corruption in the public and private sector and they have even had a run-in with the ruling party with some of their campaigns.

I am convinced that there is a syndicate operating within the Glen branch and the authorities are in denial.

This is evident from the affidavit that Laureley Simpson of the branch deposed of when internal investigations were done; she colluded with her relationship manager with regards to the negligent misrepresentation and both are still employed.

Please find the attached letters from FNB, Direct Car Sales, the Chinese manufacturer and the judgment handed down on the bank's exception.

 - Fin24

Have you ever been scammed? Share your experience and you could get published.
 
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