The Asset Forfeiture Unit (AFU) seized assets worth R138 million from Colin Davids, pastor of New Direction Grace Church last week.
Davids, who has allegedly fleeced his victims to the tune of R100 million, is accused of running a pyramid scheme in the guise of the Platinum Forex Group. He promised investors returns of up to 84%, The Sunday Times reports. The scheme was established in 2013, but collapsed when Davids unrealistic returns.
Western Cape spokesperson for the National Prosecuting Authority told The Sunday Times that Davids used the proceeds of the pyramid scheme to acquire two properties as well as cars for his wife. Among the assets seized were luxurious homes in Plattekloof and Hermanus and seven luxury vehicles. His bank accounts were also frozen.
According to the report, the AFU was granted a preservation order by the Western Cape High Court and the organisation is now awaiting a response from the court on its application to have Pastor Davids’ assets forfeited. If the courts rules in the AFU’s favour, the organisation would be able to repay his victims.
Davids took to his Facebook wall, where he posts uplifting bible verses and inspirational quotes, to deny the allegations.
“I would like to vehemently deny all allegations that have been levelled against me and my company Platinum Forex Group. I further want to reiterate that all allegations are baseless and unsubstantiated.
“I would further want to make clear that I have instructed my legal team to oppose any and all relief that has and prospectively will be sorted by the NDPP, including the preservation order granted on Monday, 20 July 2015.” He added that he was co-operating with the authorities and would continue to do so, as he has nothing to hide.
“Upon proper consideration of all of the information that has been made available to the authorities, it will become patently clear that my business is in fact a legitimate enterprise, and not a pyramid scheme as has been alleged,” he wrote.
Source: The Sunday Times