Man Fined Millions After Pretending to Work for One of SA's Leading Insurers
- The Financial Sector Conduct Authority penalised a man R4.1 million for posing as a Sanlam Private Wealth representative
- He operated through his company, promising clients annual returns of up to 36%
- The FSCA has referred the matter to SAPS as South Africa sees a sharp rise in financial impersonation scams
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A South African man has been slapped with a R4.1 million administrative penalty and banned from the financial services industry for 25 years after spending years pretending to be a licensed representative of a major wealth management firm.
The Financial Sector Conduct Authority (FSCA) confirmed that the man operated as a fraudulent representative of Sanlam Private Wealth (SPW) from June 2022 until November 2025. Working without any authorisation, he used SPW's letterhead and FSP number on client letters and investment statements, creating the illusion of a legitimate operation. His vehicle was JLD Investments, a company he used to solicit funds from members of the public by dangling promises of annual returns as high as 36%.
How the scheme unravelled
According to media reports, the FSCA launched its investigation in November 2024 after receiving complaints about regulatory violations. During the inquiry, the man in question made matters significantly worse by supplying investigators with false and misleading information. Beyond impersonation, he was found to have provided unauthorised discretionary intermediary services and traded client funds in equities on the SPW iTrade platform.
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In March 2026, the regulator brought in a curator to safeguard the interests of affected clients. The curatorship is now nearing its end, and the FSCA has urged impacted individuals to submit their claims to the curator for assessment. The authority has also formally referred the matter to the South African Police Service and confirmed it will assist with any subsequent investigation upon request.
A growing fraud crisis in South Africa
This case reflects a broader and troubling pattern emerging across the country's financial sector. Sanlam itself has previously issued warnings about third-party scammers exploiting its name on platforms such as Telegram. Data from the Southern African Fraud Prevention Service points to a 32% rise in fraud incidents and a 54% surge in impersonation victims during 2024 alone.
Globally, research from biometric platform BioCatch found that 75% of South African fraud experts reported an increase in fraud attempts at their institutions, outpacing the global survey average of 61%. The FSCA has also flagged the growing use of artificial intelligence in these schemes.
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Source: Briefly News
