UBUNTU PARTY OPEN LETTER & URGENT RESPONSE REQUIRED
5 February 2013TO: The Executive Officer - National Credit Regulator
In our effort to bring absolute freedom and liberty to all the people of South Africa, especially on the economic front, it has come to our attention that the banks have been refusing to answer simple questions to thousands of our members, regarding the highly secretive practice of SECURITISATION.
The National Credit Regulator is obliged to investigate complaints made by the public (Chapter 8 of the National Credit Act, 34 of 2005). Furthermore, the National Credit Act, Sec 69(4) requires that all credit agreements that have been sold or traded are to be registered with the National Credit Regulator.
For the benefit of all the people of South Africa and in the interest of justice and complete transparency we urge you to respond within 7 (seven) days to the following questions.
- Do the banks comply with the above legislation?
- Is the NCR aware of a process of called “securitisation?”
- In light of the attached documents, please explain how the legal standing of people’s loans would be effected if the loans have been securitised?
- According to the BASA website, South African banks are securitising loans at a rate of about R30 billion per month. Please confirm if this is reasonably accurate – and if not, please provide us with accurate figures?
- State the official position of the NCR with regards to the effect of securitisation on the South African economy?
- Would a debt counsellor be affected by securitisation?
- Does a consumer have the right to know if their loan has been securitised?
- What kind of loans are securitised by South African banks? As in: home loans, vehicle loans, credit cards or other? Please give details.
- Please explain how our members can trace the securitisation of their loans?
- Prior to, or during the operation of the National Credit Act, did the banks apply for an exception to use securitisation as an alternative source of funding? If so, how and when and to whom?
- When a loan is sold on to a third party in securitisation, must that third party be registered in terms of the National Credit Act? If not, can you explain why not?
- When a loan/bond/note, is sold through the process of securitisation, who becomes the rightful owner or holder of the note?
Kindly refer to the attached documents and also note the following two articles that appeared in The Business Report last week: http://www.iol.co.za/business/business-news/newera-takes-heart-at-us-ruling-on-securitisation-1.1460123 and http://www.iol.co.za/business/business-news/absa-drags-feet-in-securitisation-suit-1.1462324.
These articles and references show that not only is the business model of securitisation being declared illegal in the United States, but it is also an economically devastating practice.
I await your urgent response.
in Pure Truth
Michael of the family Tellinger
Founder UBUNTU Party
All rights reserved - without prejudice - non assumpsit.
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