Steinhoff forfeits R6.3bn to settle long-standing battle with SARB

Central bank says it and Ibex Group have resolved all the disputes in a “comprehensive settlement”

- NICOLA MAWSON

THE South African Reserve Bank’s (SARB’) seven-year probe into now-defunct Steinhoff’s alleged breach of Exchange Control Regulations has finally been concluded with an agreement that what is now Ibex Group will no longer try to recoup a previously forfeited R6.3 billion.

In a statement released on Thursday, the central bank said that it and Ibex Group had resolved all the disputes between the two parties in a “comprehensive settlement”.

“Both SARB and the Ibex Group consider the settlement reasonable, proportionate and justifiable in light of the complex and competing interests,” the central bank’s statement said. “SARB and the Ibex Group consider this final settlement to be in the best interests of South Africa."

SARB said that the deal followed it having taken legal advice, considered the public interest, its mandate in terms of forex, investor confidence in South Africa, and promoting regulatory certainty by allowing the Ibex Group to settle its contractual obligations to its foreign financial creditors, it had agreed to settle the matter.