Security alert for head of estate agents watchdog

WERNER SWART and SASHNI PATHER | 27 February, 2011 00:04

Suspended Estate Agency Affairs Board CEO Nomonde Mapetla has been given 24-hour protection after a "threat assessment" determined that her life was in danger.

Mapetla, who has been instrumental in launching an anti-corruption campaign, was suspended last week.

A source close to the beleaguered CEO revealed that her dog was beaten and stabbed and left in front of her door several weeks ago - and unmarked cars have followed her.

In another incident, a senior manager at the EAAB, whose name is known to the Sunday Times, was also followed in a car, which then pulled up next to her. Men inside took photographs of her, apparently with the intention to intimidate her.

The EAAB said on Friday that Mapetla faced charges relating to "operational and governance issues", but she said she had yet to be informed of the case against her.

"I believe I am being vilified for doing my job," she said.

"When I joined the organisation, the board was over R7-million in debt. Since I took over, the board has had clean audits over the last six years, and now the system works."

She has sent EAAB chairman Thami Bolani a lawyer's letter, saying the board did not have the power to suspend her, as it was "improperly constituted".

The new board was appointed in January and consists of 11 members.

Mapetla pointed out that, in terms of the Estate Agency Affairs Act, "t he board shall consist of 15 members appointed by the minister".

The letter says : "Our client shares the widely held belief that her suspension is directly linked to the ongoing anti-corruption campaign which she has championed to clean up the industry, thereby stepping on some big and powerful toes who wield considerable influence and whose interest her inexplicable removal would obviously serve."

High-profile probes were recently launched against property doyenne Wendy Machanik, who has been accused of dipping into trust fund accounts. The EAAB won an interdict to stop her from trading, effectively shutting down operations . The matter returns to court in April.

Also under investigation is a fractional ownership scheme marketed by Seeff Properties. The Sunday Times recently revealed that shocked shareholders had discovered their luxurious holiday homes were heavily bonded without their knowledge.

And the Sunday Times has established that the EAAB recently received a whistle-blower's claim that property mogul Lew Geffen, the South African chairman of Sotheby's International Realty, was allegedly involved in trust fund account abuse.

Although a source claimed a decision to investigate Geffen was taken at an exco meeting, the EAAB board and Geffen have denied this.

Geffen said on Friday: "The minutes of the exco meeting to which you refer do not reflect any decision by the exco to investigate Lew Geffen Estates ... in fact, my attorney, Stephen Thomson, spoke with Mr Sigaba from EAAB exco, (who) was at the meeting held on February 14, and he denies that a decision was made to investigate Lew Geffen Estates."

He called on the EAAB to "immediately put an end to this matter or we will have no other choice but to legally force the board to audit our trust account without delay".

He claimed he was being used as a "scapegoat of internal politics in the EAAB". "All this unwarranted speculation is prompting unnecessary attention on my good name and my impeccable trading record."

Bolani responded to Mapetla's claims, saying: "The board has always had 11 members, and all decisions taken have been lawful. Not long ago, she (Mapetla) asked that her contract be extended another two years, and she didn't complain then because it benefited her."



George Nicholls, CEO of Pasco, which the board appointed to carry out investigations, confirmed that Mapetla had been given extra security.

The Sunday Times has learnt that "prominent estate agencies" are being inspected to protect the public's interests, more especially with the developments of luxury estates.

A source close to the investigation said: "These agents claim to be developers so that they can bypass regulations covered by the Estate Agency Affairs Act. We are also looking into how the sale of properties is being disguised to look like a loan and agents are taking their commissions off these loans, which is illegal."