Financial adviser convicted of selling R1.8m in fake policies

A former financial adviser was convicted of nine counts of theft in the Specialised Commercial Crimes Court in Gqeberha on Tuesday, after scamming a woman out of more than R1.8m.

The Hawks arrested Stephanus Janse van Rensburg, 68, on February 8 2020 after it was found he had sold fake second-hand Old Mutual and Momentum policies to one of his clients, Esther Adendorff.

National Prosecuting Authority spokesperson Anelisa Ngcakani said Janse van Rensburg convinced Adendorff to buy existing policies of third parties.

“This meant that she would become the new owner to whom the claim would be transferred.

“[Janse] Van Rensburg convinced Adendorff to sign the cessionary agreements and to pay over the agreed amounts,” Ngcakani said.

She made 15 payments from July 2008 to October 2011, which totalled R1,874,370. 

Ngcakani said Janse Van Rensburg furnished Adendorff with an annual summary of the value of her portfolio every year, and provided her with copies of the ceded policies and a summary of her investment values for tax purposes.

These documents were all fictitious.

“On May 27 2015, Adendorff’s son, Ralph, made numerous requests for copies of documents related to the policies, but [Janse] Van Rensburg failed to provide the documents.

“Consequently, it was discovered that the Old Mutual and Momentum policies were never transferred or registered in the name of Adendorff, nor did the policies ever belong to the particular individuals as [Janse] Van Rensburg had informed Adendorff,” Ngcakani said.

Senior state prosecutor Lise Keech accepted Janse Van Rensburg’s guilty plea and magistrate Nolitha Bara convicted him of theft.

The case was postponed to October 4 for sentencing.

HeraldLIVE