COMPLAINT: Incorrect Advice From Financial Advisor

Please note that this constitutes my formal lodging of a complaint against yourselves. I wish to place on record that should you not resolve this complaint to my satisfaction, that I will lodge a complaint with the Ombudsman. Further to the above, please be advised as follows: • On the 2 November 2018, you may refer to your records in this regard, one of your employees, Mr Zander Du Bruyn, advised me regarding the transfer of my government pension fund into a Discovery Pension Preserver Fund. • The amount of the said government pension that I received was approximately R2,632,908,63. • I notified Mr Du Bruyn that I needed to use some of the aforementioned amount to settle debts that I was owing to creditors. • In accordance with Mr Du Bruyn’s direction, I transferred the full amount of the aforementioned government pension fund , in the amount of R2,632,908,63 to the Discovery Pension Preserver Fund. • Then, again, in accordance with Mr Du Bruyn’s direction, I then subsequently deducted an amount of R600, 000,00 from the Discovery Pension Preserver Fund, in order to settle my debts. • The problem only came to my notice when I required further funds this year for personal purposes. • I approached Discovery and requested to draw some funds from the Discovery Pension Preserver Fund. • I was then informed by two other Discovery employees who have been my financial advisors (Mr Garreth van Moorst and Mr Jordan Juistien that I am only allowed to make one withdrawal from the said fund and that since I had previously made the aforementioned withdrawal from the fund in the amount of R600, 000,00 that I now am no longer able to make any further withdrawals). • In conclusion the basis of my complaint is as follows: ~ Mr Du Bruyn did not inform me that I could only make one withdrawal from the Pension Fund. ~ Had he informed me of this fact, I would have first settled my aforementioned previous debt in the amount of R600, 000,00 and then only subsequently transferred the amount of R2,276,957,69 into the Discovery Pension Preserver Fund. ~ Had I proceeded in the aforementioned manner, I would now have been able to make the required only one withdrawal from the Pension Fund, in order to give me some cash flow for my future personal needs. • It also concerns me that I have heard from some of your employees that Mr Du Bruyn would have received commission in accordance with the amount of money that I transferred into the Discovery Pension Preserver Fund, i.e. it would have been in his interest to ensure that I deposited a larger amount into the said fund. • Given that the aforementioned pension fund transfer and withdrawal was essentially a I am of the view that I was given incorrect financial advice by Mr Du Bruyn and that I am now being financially prejudiced as a direct result of same. • Since Mr Du Bruyn was acting in the course and scope of his employment with Discovery, legally speaking, Discovery is accordingly vicariously liable for his said incorrect actions. In light of the aforementioned, I hereby request that Discovery should afford me the opportunity to make one further withdrawal from my pension fund. This will ensure that I am not prejudiced by Mr Du Bruyn’s said incorrect and misleading advice. Your urgent response to the aforementioned is awaited. I reiterate that should this matter not be resolved to my satisfaction, that I will have no other option than to inter alia refer this matter to the Ombudsman.

Yours faithfully S Pillay #BlackFriday