SASBO3.jpg

 

2 June 2016

 

 

No Oakbay Job Losses Says SASBO

 

 

SASBO - The Finance Union, representing some 70 000 banking and finance
employees has, expressed its support for the Banks' decision to terminate
their respective relationships with Oakbay Investments and the Gupta's. 

 

South African Banks are highly regulated and apart from the Banks expecting
to know their clients, they are also governed by various types of
legislation including the Financial Intelligence Centre Act (FICA). 

 

Banks are subject to the supervision of the S A Reserve Bank and as service
providers they can be held accountable by the National Consumer Commission
in respect of any complaint. There rests an onus on all financial
institutions to report any suspicious activities committed by an account
holder and to investigate these activities.

 

Any transgression increases the onus on the financial institution
exponentially to an extent that the institution could, at some point, be
held responsible and be exposed to liability. 

 

The key factor is that banking is a voluntary and private relationship
between the Bank and its clients, therefore the Banks have a right to
terminate any relationship should a possible contravention be foreseen. 

 

Most South African Banks depend on the international market to fund their
treasury and other countries also have strict regulatory requirements, hence
no South African Bank can afford to transgress any international regulation
that could negatively affect their banking licence or sustainability. 

 

We should be proud of our South African Banks, which are well managed and of
an international standard. The sustainability of these large organisations
are critical to the South African economy as well as the wellbeing and
security of our 70 000 members. 

 

SASBO is comfortable that the Banks made the right decision without being
influenced. The decision to terminate was based on rational business
principles.

 

The issue around the Oakbay Investment employees being unable to receive
their salaries is not factual since Oakbay has banking accounts with an
international bank operating in South Africa. 

 

"As a result of the Banks' actions, SASBO as a trade union is therefore not
concerned about the employment security of the Oakbay employees", says Joe
Kokela, General Secretary of SASBO.

 

 

Issued by SASBO - The Finance Union

 

Contact: 

Joe Kokela, General Secretary, 082 359 2108

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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