LEW GEFFEN SOTHEBY’s INVOLVED IN TRUST FUND FRAUD – NEW EVIDENCE FOLLOWING GEFFEN’S COVER-UP in MARCH 2011.

Sandy Geffen's email to their Accountant

On the 20 January 2011, a Whistle Blower’s report was submitted to the Estate Agency Affairs Board (EAAB) alerting them to the fraud surrounding the Lew Geffen Sotheby’s Trust account. The Whistle Blower explained how the fraud was committed by Lew Geffen Sotheby’s and said that the Sotheby’s case was no different to the Wendy Machnick fraud, which resulted in her being found guilty, for which she is currently out on bail pending her trial.

Soon after the Lew Geffen Sotheby’s investigation started in early 2011, Mrs Nomonde Mapetla, (CEO at the EAAB) was dismissed, so too was Mrs Lindiwe Bulo, the Compliance Executive handling the case; instead Clive Ashpol and close acquaintance of Lew Geffen was appointed as the new compliance officer at the EAAB. Clive Ashpol produced un-circulated minutes to exonerate Lew Geffen, subsequently stopping the independent investigation by Pasco.

Both Mrs Nomonde Mapetla and Mrs Lindiwe Bulo were shocked regarding the manner in which the cover up was orchestrated within the EAAB – furthermore, there has been no formal explanation regarding their sudden dismissal.

There has been another Whistle Blower’s report that has brought new light to the Geffen saga. In this latest report, the anonymous caller provided proof that Sandy Geffen, (director of Lew Geffen Estates), in an email to company’s auditor, instructed them to tidy up the Sotheby’s Trust account. This email was sent in March 2011. In Sandy’s email she says “ .. in case of inspection (by the EAAB), we should be aware of all discrepancies .. forewarned is forearmed”.

Sandy Geffen adds: “Before we do any transfer from Trust to Business to pay any creditors/agents this exercise must be redone again and I or Lew or Yael need to approve the transfer and sign it off”

The first Whistle Blower explained how the Lew Geffen Sotheby’s fraud was committed: “… when a person buys a house they deposit money into the trust account … it would amount to fraud if this money is used for anything either than for the acquisition of the house that the person was intending to purchase and if an estate agent is having problems in their business … they then use the trust fund money illegally to pay salaries, rent and their day to day operating costs”

Sandy concluded in her email to the auditor “The agents already want 60k from Bedfordview”. Trust accounts and money, under the law, may NOT be tampered with - they are to be held in a separate bespoke bank account and may only be used in the purchasing of a house, and most certainly there can be no transfers from the Trust account to Business account as Sandy Geffen warns her auditor to clean up.


There are a number of unanswered questions:

1. Where are the minutes of the Exco 14th February meeting Geffen reports took place, who signed them and what do they say?
2. What did the minutes of the 16th February Exco meeting record which resulting in the CEO shake up on the 17th February? 
3. What is the official reason for Nomonde Mapetla and Lindiwe Bulo sudden suspension on the 17th February, the day following the Exco decision to investigate Lew Geffen Estates? To date no official reason has been given, there has been no official enquiry and no disciplinary procedures have taken place.
4. Why was the official investigation by Pasco into the matter suddenly halted by Clive Ashpol?
5. Why has the EAAB not replied to the Whistle Blower’s report sent to them on 20th January 2011.
6. What cover up will Lew Geffen and the EAAB now come up further to Sandy Geffen’s email to their auditor regarding the transfer of funds from their Trust account to their business account?
7. Why is Minister Rob Davis protecting the EAAB, defending the likes of Sotheby’s and Seeff? 
8. There are numerous other Whistle Blower’s reports that have been ignored by the EAAB, yet the likes of small fish like Wendy Machnick are targeted, seemingly as scapegoats for the main perpetrators. Is this justice for all?