Oi vey, the Guptas’ headaches are getting worse by the day. FNB is the latest company to kick the controversial Gupta family to the curb, closing all its accounts with the family’s Oakby Investments following the scandals surrounding the family’s relationship with Jacob Zuma and alleged state capture.
“Oakbay has received no reason whatsoever justifying FNB’s actions. We are already in the process of moving our accounts to a more enlightened institution,” The Guptas’ Oakby Investments said earlier today.
This makes FNB the newest member of the f*ck the Guptas business club. First, it was KPMG, then ABSA – you’ll remember the Guptas denied this at first… only a few hours before the truth once against came out – and the Sasfin Capital.
The Gupta family’s list of allies grows thin… in business anyway. City Press reports that, with KPMG, Sasfin and ABSA gone, Oakby Investments is left without auditors, sponsors and bankers. Last week saw KPMG make the first move in distancing itself from the controversial family, reportedly due to the Guptas’ close relationship with el president and sons.
FNB joins Absa, Sasfin Capital and auditing firm, KPMG, in cutting ties with the Gupta’s listed company, Oakbay Resources & Energy.
As has become protocol with Oakby, the firm denied that it was due to the scandals circling the Guptas.
“The reason for KPMG’s resignation is solely based on their assessed association risk and KPMG have indicated that there is no audit reason for their resignation, whereas the termination of Sasfin’s services follows a recent decision by Sasfin to align the strategic objectives of Sasfin’s Corporate Finance Division more closely with that of the broader Sasfin group,” a statement from Oakby read.
“In our view, the association risk is too great for us to continue,” KPMG’sTrevor Hoole reportedly told staff.
“There will clearly be financial and potentially other consequences to this, but we view them as justifiable.”
Source: The South African