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.

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."