10-year jail sentence for financial adviser

DURBAN – Convicted fraudster and former Sanlam financial adviser Francois Martinus Labuschagne received a 10-year sentence at the Bellville Commercial Crime Court on Monday.

The Hawks say the sentence was wholly suspended for five years on condition that he is not found guilty of similar offences. A further sentence of 36 months’ correctional supervision was imposed, with a treatment or rehabilitation programme as determined at reassessment by the social worker at the Community Correction Office.

The 51-year-old was arrested in Louis Trichardt, Limpopo, on January15, 2017 following a six-year investigation into fraudulent activities at the Ceres Sanlam branch between August 2007 and January 2010, according to the Hawks. He defrauded more than 32 clients of savings amounting to more than R650000.

The court has ordered Labuschagne to repay more than R500000 from his pension and the balance of the misappropriated funds, through instalments.

General manager of Sanlam Personal Finance Distribution Theesan Moodley said the company acted immediately when rogue practices were reported.

Since then, Moodley said, Sanlam had lodged an application for the adviser’s debarment with the Financial Services Board, adding that instances of this nature were not commonplace.

– THE MERCURY 

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