Status Capital Building Society (SCBS) members and the public are hereby informed of the successful settlement reached between SCBS and SDFF, regarding the investment originally advanced to SDFF.

Over the past few years, extensive engagement has taken place between myself and the various entities in which SCBS invested. I am pleased to confirm that all investments made during my tenure as a non-executive board member have now been settled. The latest of these is the SDFF matter.

Settlement Details

The investment in question originally amounted to E68 million. Of this, E14 million had previously been repaid by SDFF, leaving a balance of capital plus accumulated interest. The parties have now agreed to settle the remaining obligation at a total of E85 million.

Given the continued presence of the appointed curator and the position taken by the Financial Services Regulatory Authority (FSRA), SDFF was ultimately compelled to defend legal action initiated against it and agree to revised repayment terms under court supervision. While SDFF—and I, in my personal capacity—attempted to secure a process more favourable to members, SDFF was left with limited options due to the strict regulatory stance.

As part of the settlement, SDFF has commenced repayment of the agreed E85 million (inclusive of capital and interest). The first tranche of E10 million has already been paid and is reflected in SCBS bank statements. The remaining balance will be repaid progressively over the coming months.

Concerns Regarding Governance

I must, however, highlight a material concern. Despite these significant repayments, members currently have no assurance regarding how the received funds will be managed or allocated. This uncertainty persists as long as the Building Society remains under the control of the curator, and while members and key leadership—including Mr. Michael Mbetse—remain excluded from operational oversight.

It is equally important to acknowledge that previous repayments from other investments—such as the E35 million remitted earlier this year—have not been transparently accounted for. This raises serious questions regarding governance, spending priorities, and the continued use of Society resources for unnecessary overheads and protracted legal battles that do not serve the best interests of the members.

Looking Ahead

Notwithstanding these concerns, the SDFF repayment represents a crucial milestone as it brings to a close all investment matters originating from my time as a board member.

However, as matters stand, the Building Society will still face a financial shortfall attributable to historical mismanagement and wasteful expenditure during the curatorship.

I remain committed to supporting members in restoring proper governance, reinstating democratic control, and securing new investment capital for SCBS once a member-elected board is reinstated and the curator’s role is brought to an end.

Issued by:
Dave van Niekerk
Former Non-Executive Board Member (SCBS) and Permanent Building Society Member