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?

Overview:Lew Geffen Scandas

NOVEMBER 06, 2011

Lew Geffen is a traditional street fighter, and anyone crossing his path had better watch out or be well armed. He learnt the ropes of the real estate industry whilst working for his mother Aida Geffen; after six years and a long conflicting relationship he started Lew Geffen Estates. Geffen ended up competing with his mother for nearly twenty years from the early 80s.

During this time there were several battles between mother and son. Lew Geffen was witnessed throwing chairs across the office when he found out that his mother had beaten him on a deal or had out manoeuvred him yet again, often such acts were done publically which only served to further add fuel to fire, making him more determined and vengeful.

Lew Geffen started the Sotheby’s franchise in 2003 in Johannesburg, later expanding to the Western Cape; these early franchisees started flourishing under the management of Rod and Ron Hemphill, in later years other franchisees were created in other parts of SA.

It was not long after the success of some of the franchise operations, that Lew Geffen started engaging in battle with his operators. After identifying a successful operator, he would breach the franchisee on some trumped up charge, often unsubstantiated, simultaneously seizing the franchise, its entire revenue stream, its shop and agents. The franchisee unarmed, and more often than not, not having sufficient resources to fight a minimum court battle of R500,000, was forced to walk away. Lew Geffen, having seized the franchise and staff, then preceded to sell the franchise to a new operator for a handsome profit often making a quick 2 million Rand profit. Alternatively, he would wait for a struggling franchise to close shop and then sell the franchise to a new operator, often retaining the previous operator’s goodwill, staff and premises.

Street fighting tactics and the lives it has affected

2005: The Somerset franchise operator is forced out by Geffen due to a personality clash; Hemphill’s take over the franchise.

2006: Henk and Susanne ran a successful Blouberg franchise; they were forced out by Lew Geffen simply because he did not like them.

June: 2008: Jackie Cameron, (KZN) fights Geffen’s hostile takeover and manages to sell to Julie Solomon after a court battle.

June 11, 2008 Maurice Levin - the Lew Geffen Sotheby’s public relations manager, was dismissed after he passed on information that Geffen told him to distribute to the press saying “property prices were set to drop by 40 percent by the end of this year from last year's highs”. Levin took Geffen to court, winning his case with an out of court settlement.

2009: Julie Solomon from KZN succumbs to a Geffen hostile franchise take over.

April 2010 Geffen accuses (Atlantic Sea Board) franchisee of not employing enough Jewish Agents, Geffen cites Jankowitz as a problem (did Hitler not say the same thing about the Jews?) Geffen starts a public assault on the Atlantic Sea Board franchise, lasting 18 months.

May 2010: Savile Row Scandal – Lew Geffen attempts to sell Savile Row after bypassing the company’s shareholders and directors. The matter goes to court, with Geffen losing.

2010: Conrad Steinhobel, the Hout Bay franchisee operator, goes belly up; Geffen sells the franchise to a new operator in the same week, rather than allowing the previous operator a means of selling the business.

June 2010: Lew calls a security guard a “f**king kaffir”, an out of court settlement is reached.


October 2011: Seizure of Atlantic Sea Board franchise by Geffen after he lied to a High Court Judge. The order gives Geffen permission to take full control of franchise business, staff, the agents and all of the assets. The High Court reverses its decision after it is discovered that Geffen lied to the Court – all too late, because by the time the Court overturned its earlier ruling, Geffen had already sold the franchise to a new operator. The process to get it back will last several months due to the complexity of our legal system.

October 2011: Geffen accused Atlantic Sea Board operators as “gutter snipers”

November 2011: Geffen is in Contempt of Court after not returning files and papers after raiding franchisee’s office. One of the files was seen in the possession of Geffen’s attorney Thomson outside the Cape Town High Court on 4 November 2011.

He has bulldozed his way in business affecting the lives and livelihood of hundreds. Does he have any morals or ethics one must ask. Jason Rohde, Geffen’s CEO is also guilty of perjury and contempt of court, and Thomson, Geffen’s attorney is the legal brain behind Geffen’s legal strategy. Sandy Geffen, Lew’s estranged wife is distraught; Geffen’s eldest son Saul was unable available for comment; Tragically Geffen’s other son Barak, committed suicide in September 2009, and those close to Barak knew of the ruthless relationship he had with his father.

Defeat for Lew Geffen Sotheby's as the Atlantic Sea Board Franchise is restored to rightful owners.

NOVEMBER 17, 2011

In a judgement against Lew Geffen Sotheby’s, Geffen was stripped of his new franchise he setup with Gail Gavril at Better Homes after he unlawfully seized the Atlantic Sea Board franchise on 17th October 2011. The High Court Judge restored the franchise to its rightful owner Rob Stefanutto on Wednesday. Geffen was interdicted from trading his new franchise in the name of Better Homes and from contacting the franchisee’s agents and clients.

Seven accounts of abuse of the ex parte by Geffen and Rohde
1.    The order was served on the wrong address, 3 Marine House, Sea Point instead of 375 Main Road Sea Point;
2.    The Sheriff of the Court failed to verify the correct address, Geffen accompanied by his troops took the Sheriff to the wrong address purposefully;
3.    The order placed Geffen in immediate control of the franchise business and premises; this contravenes Common Law (including Franchise Law), and the Franchise Agreement;
4.    The order gave Geffen, management control of the business; there is no common law, or clause in the franchise agreement that allows this. Geffen is not a shareholder or investor or Director of the franchise;
5.    The order interdicted the managers/directors of the franchise from contacting their staff; There is no common law, or clause in the franchise agreement that allows the franchisor to prevent the Directors of the franchise from contacting their staff and clients;
6.    Geffen and troops entered the premises of two other offices, not mentioned in the order;
7.    Geffen and troops seized books, records, bank accounts from the franchisee’s premises, simultaneously moving trade to his Johannesburg office.

Clinton Braude becomes Lew Geffen’s “Rent Boy”

NOVEMBER 13, 2011

Clinton Braude, an ex-manager of the Sotheby’s franchise on the Atlantic Sea Board, and Lew Geffen were arch enemies nine months ago, after Lew ordered his exit from Lew Geffen Sotheby’s saying he was a disgrace to the brand’s prestigious name. In March 2011, Clinton spotted Lew in the Virgin Active gym in Green Point, “working out”, he then deliberately disgorged phlegm surreptitiously from his colossal steroid body, into the sweat towel of Geffen, watching with delight as Geffen later mopped his brow.

Earlier this week, Geffen who claims he is 100% in control of the franchise dispute, won Clinton across as a key witness in his legal battle. Clinton was involved in a huge legal scam in New Zealand, some years back, (Google “Clinton Braude New Zealand” to find out more), he then fled to South Africa after draining the firm's bank account of more than £150,000. He later claimed he was fleeing from his bodybuilder boyfriend after a serious assault involving coconut oil, bondage and beating.

Clinton too has his named linked to the Ovation Global Investment Services (Pty) Ltdscam, where he was head of “Legal Risk and Compliance” in May 2007. The directors and management were accused of stealing funds. Cruickshank, one of accused, took his life in September 2007, while Brown is currently serving a prison sentence.

Clinton too has a fetish for rent boys; “his” boys would show up at in front of his office demanding their fee, at one point, a body guard needed to be placed outside his office to keep the boys away, and now Lew has gotten into bed with Clinton!