Cape Town – The Financial Sector Conduct Authority (FSCA) has confirmed that it is investigating allegations against Johannesburg mayor Kabelo Gwamanda’s business, iThemba Lama Afrika, which is accused of scamming Soweto residents through a funeral insurance scheme.
The FSCA’s decision to probe the matter follows increased media interest, and the investigation aims to determine the truth behind the accusations.
“The FSCA confirms that it is investigating complaints received about iThemba Lama Afrika and Mr Kabelo Gwamanda, the mayor of Johannesburg. This confirmation follows increased media interest in the matter. The investigation is currently ongoing and, as such, no further details can be shared at this time,” the FSCA said in a statement, according to News24.
The FSCA has not disclosed further details about the case and will share its findings once the investigation is concluded.
It’s understood the executive mayor did not register his business as required by the FSCA, EWN reported.
Opposition parties want Gwamanda to step down, with ActionSA calling for a motion of no confidence against him, the report said.
The motion has received support from other opposition parties.
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Compiled by Betha Madhomu
