Financial regulator clears 3 accounts for Steinhoff insider trading

The Financial Sector Conduct Authority says it has finished part of its investigation into potential insider trading in the shares of embattled retailer Steinhoff, finding no evidence of manipulation in three accounts. 

Bloomberg reported in late December 2018 that the financial regulator was investigating seven Steinhoff accounts into total for potential insider trading. 

The FSCA, formally known as the Financial Services Board, reported on Thursday it had investigated three accounts where R418m in Steinhoff shares were traded during the period preceding December 4, 2017.

"This brings the total number of accounts investigated for insider trading with no adverse findings to a total of 56," it said. 

“We found no reason to believe that any of these shares were traded in contravention of the Financial Markets Act” said Brandon Topham, Divisional Executive for Investigation and Enforcement at the authority. 

It did not say who owned the accounts. 

The FSCA added it is continuing with an investigation into other accounts where R46m worth of shares were traded in the weeks leading up to the abrupt resignation of the company's former CEO Markus Jooste. "[A] press update will be issued upon finalisation of the investigation."

Steinhoff's share price plunged in early December 2017 after Jooste resigned and the group's auditors flagged accounting irregularities in its books. 

On Thursday at 10:00, Steinhoff shares were changing hands at R1.76 a share. 

ZAR/USD
17.35
(+0.20)
ZAR/GBP
22.73
(+0.11)
ZAR/EUR
20.56
(+0.07)
ZAR/AUD
12.46
(-0.06)
ZAR/JPY
0.16
(-0.11)
Gold
1943.35
(-0.68)
Silver
26.38
(-3.85)
Platinum
943.00
(-1.66)
Brent Crude
45.01
(-1.03)
Palladium
2109.00
(-2.75)
All Share
57077.48
(-0.60)
Top 40
52737.48
(-0.65)
Financial 15
10156.41
(-0.69)
Industrial 25
75107.47
(-0.84)
Resource 10
58926.78
(-0.40)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 1004 votes
It depends on how the funds are used.
74% - 6748 votes
No. We should have gotten the loan elsewhere.
15% - 1417 votes
Vote