JSE suspends Trustco

Staff Writer

Trustco Namibia will have its financials restated to the Johannesburg Stock Exchange as per the Financial Service Tribunal decision a year ago, following Judge Potterill ruling confirming the FST judgement.

JSE announced on Monday morning that it has suspended the trading of Trustco Holdings Group Limited shares with immediate effect.
According to the JSE, the suspension follows the dismissal of an application by Trustco in South Africa’s High Court on Monday. In the application, Trustco was seeking to block its suspension from the JSE.
Head of Public relation and corporate communications Neville Basson said that after a protracted legal battle with the JSE and the Financial Services Tribunal (FST), over a period of more than two years, Trustco now has actionable evidence that its financials will need to be restated.
‘’Following this judgement, trading of Trustco’s shares were suspended on the JSE. Trustco remains listed on the JSE and will abide by the Listing Requirements. Trustco shall, in the interest of all stakeholders, proceed to restate its financial statements, subject to its right to appeal against
The decision, and without prejudice to any other legal rights and remedies it might have in law,’’ Basson said in a statement in response to the suspension.
Trustco’s Group MD, Dr Quinton van Rooyen, noted, “It is an unfortunate but necessary step that a court order is required to override the bona fide actions and representations of our independent board and auditors. With this court order, we will comply to restate our financials as directed by the JSE.”
In her ruling Judge Potterill said “I can understand that would-be-interference in bona fide actions result in frustration and anger. But, the reality is, we live in a necessary controlled world. A company listed on the JSE has to comply with the JSE regulatory framework. […] Trustco must adhere to these decisions and restate accordingly.”
Accordingly, Basson said, Trustco is currently engaging with its auditors and external advisors to comply with the directive, and expects that it will be able to restate its financials alongside its current periods financials, after which the suspension on the trading of shares should be lifted.

By Observer