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Failing to payout, masingcwabane boss in trouble

Jacob Veldman(40) and his company Alpha Star Funeral Services are in trouble after they failed to pay the family of a deceased person. The family reported to police and the matter ended up in court after investigations showed that he was operating without a license.

Hawks spokeswoman Zinzi Hani said Hawks investigated the matter leading to the prosecution of Veldman and his company. He was dragged to Oudtshoorn Regional Court were he was fined. The incident happened after they failed to R10 000 policy benefit to the family that lost their loved one whose policy was paid up.

β€œThe accused acted as a financial service provider without having a license, misleading members of the public, especially the poor in the local community. Alpha Star Funeral Services did not pay the R10 000 policy benefit to the family although the policy was paid up. However, the funeral service was rendered by another funeral parlour which was covered by a secondary policy,” said Hani.

She added that investigations revealed that the company was found guilty of contravening Section 7(1) of the Financial Advisory Intermediary Act 37 of 2002. Oudtshoorn Regional Court fined the entity for R50 000 fine or 5 years imprisonment suspended for 5 years on condition that Alpha Star Funeral Services pays R10 000 to the victim before 15 September 2023.

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