Ithala Bank depositors assured of access to money before Christmas
Premier Thami Ntuli says Ithala Bank depositors will be able to access their funds before Christmas.
He says agreements enabling repayments have been finalised after months of negotiations with the national government.
Ithala depositors’ accounts have been frozen since January after the Reserve Bank's Prudential Authority took the institution to court for a precautionary liquidation application linked to its operation without a valid exemption to take deposits.
Speaking on Monday, Ntuli said support teams will be deployed to rural areas where most of the more than 200,000 depositors live.
“We move decisively into the operational phase. In the coming days, the provincial government, working together with Ithala, the national treasurer, and the appointed payment administrator, will issue detailed instructions outlining when and where depositors may access their funds, which branches and service points will be activated, what documentation will be required for verification and support arrangements for vulnerable depositors.”
In September, the provincial government announced that it had approved a R300 million rescue package to stabilise the entity.
It stated that the funding is intended to protect jobs, ensure clients can access their funds, and maintain operations.
It followed a ruling by the Pietermaritzburg High Court in May, which gave Ithala the green light to resume core business operations.
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