Nedbank to terminate AEEI’s banking facilities

Nedbank will on 15 March withdraw banking services provided to African Equity Empowerment Investments (AEEI), the parent company of Ayo Technology Solutions controlled by controversial businessman Iqbal Survé.

The move comes less than a year after First National Bank terminated banking services provided to Ayo Technology. At the time, an FNB spokesman told TechCentral that the bank had given Ayo “reasonable notice to terminate its banking services”. However, “due to the confidential nature of our client relationships”, it would not provide further details.

Now, in a statement issued via the JSE, AEEI disclosed on Wednesday that it had failed in a high court bid to stop Nedbank from closing its transactional banking facility.

“Despite the company’s best efforts, Nedbank has not provided AEEI with what it regards as valid reasons for the termination. The company believes that it is entitled to fair treatment and, as a result, the company, together with certain other AEEI group entities, instituted legal proceedings at the Western Cape high court to interdict Nedbank from closing the company’s transactional banking facilities, pending a matter before the equality court,” AEEI said.

“While acknowledging the urgency of the matter, the high court dismissed the application for an interdict, and in a ruling on 14 February and an order handed down late on 15 February, reflected that the matter is best suited to the equality court, indicating that is an important matter for transformative constitutionalism.”

AEEI will now approach the equality court on an urgent basis to seek an interdict against Nedbank’s decision to close the banking facility.

“AEEI has made arrangements for alternative payment methods in the interim and is in the process of reviewing its options for transactional banking facilities.”  — © 2022 NewsCentral Media

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