Court has independent trustees in its sights

I want to thank all the members who supported me on the Gatvol issue from the bottom of my heart. I received so many mails that is not going to be possible to answer you all personally. However in this mail you will find many answers as well as the contact detail of the people who will answer all further questions.

Journalists, I have a message for you too at the bottom. See it at the seminar detail.

If you want to read the English version of the “Coert is Gatvol” mail, please go to:
http://www.lightminded.com/2010/02/07/coert-is-gatvol/

The Treoc Way is not a stagnant, antiquated model that stays the same year after year. As the market changes or as the laws change, so we change as well. That’s why the guys who imitate or attack us can’t keep up. By the time they’ve found out how we’re doing it now, we’re already doing it differently, and the old way has sometimes become obsolete and dangerous.

I see that every Tom, Dick and Harry is a “trust specialist” these days. I wonder whether they have the faintest idea of the kind of fire they’re playing with. When I say fire, I mean serious fire, as in possible jail-time if you don’t do it correctly. I don’t have much sympathy for the amateur “trust specialists”, but I have plenty of sympathy for the poor person who trusted the amateur and then suddenly lost all his personal assets.

As you know, we continually monitor court cases involving trusts in order to test our methods. So we know what the judges like and what they don’t like. A recent court investigation into a trust insolvency where Treoc was NOT the trustee once again highlighted to us a few places where we should strengthen our trusts.

This case has not gone to court yet, but the way the liquidator is questioning the witnesses in the preparatory investigation indicates very clearly where he is looking for the trust’s weak spots. The poor attorney acting as independent trustee in this case really battled in the questioning and actually came across as very inexperienced. He’s not really inexperienced, but the very experienced investigator made him look bad and tried to make a case out of the fact that the independent trustee is not really independent – because of course, if he can succeed at this, then the rest will be easy. A trust that doesn’t have a true independent trustee is nothing other than you yourself, and the trust assets are then regarded as part of your personal estate. But what constitutes a true independent trustee these days?

Our finding

In the past it was seen as sufficient if there was a separation between the control of the trust assets and the beneficiaries’ use thereof. In other words, if the independent trustee had no other connection with the founder and beneficiaries than that of being a trustee.

What is now coming to the fore in the above-mentioned investigation is that this on its own is no longer sufficient. In truth, what has been valid until now is dangerous for the trust.

I know everyone now wants to know what must be done then, but after recent newspaper reports in which I was quoted entirely out of context, I’ve decided to no longer send sensitive information out in emails. I will be discussing the solution fully at the Financial Freedom and Profidend Seminars in 2010, though.

Treoc-accredited trustees

I’m getting a lot of questions at the moment from members who’d like to know whether I approve of the independent trustee they’re currently using on their trusts. I refrain from commenting on their existing independent trustee, but what I do tell them is that I approve only of Treoc Trust Services (Pty) Ltd as Independent Trustee, and no-one else, because I can’t make pronouncements about other people’s independence, ethics or knowledge unless it appears in a public court enquiry as I did in the recent “Coert is Gatvol” letter. (By the way, thank you again for the overwhelming support and good wishes after that letter)

What I can confirm is that the professionalism, independence, values and knowledge of Treoc Trust Services as Independent Trustee are beyond reproach. What I can also confirm is that these things are essential to ensure the safety and continued existence of your trust.

Some members think that Treoc Trust Services contract their services out to accredited independent service providers, who therefore use names other than Treoc Trust Services on their documents. It also seems as though some independent operators are leading people to believe that they are accredited by Treoc. So I’d like to state unequivocally that no trust firm in South Africa other than Treoc Trust Services(Pty) Ltd is accredited or used by Treoc.

So how will you know if you are currently using Treoc’s only accredited Independent Trustee firm? Very easy. If you look at your trust’s Letter of Authority you will see a list of the trustees’ names on it. See whether one of the following trustees appears on that list:

Jacobus Oberholster
As nominee of Treoc Trust Services (Pty) Ltd

or

Sarah Simpson
As nominee of Treoc Trust Services (Pty) Ltd

or

Ryno Venter
As nominee of Treoc Trust Services (Pty) Ltd

If you don’t see one of the above-mentioned trustees on that Letter of Authority, then it is not a Treoc-accredited service provider and we can’t help you with any enquiries arising from the use of their services. However, they can be replaced!

If you’d like to know more about this issue and how to replace a trustee, you can get in touch with them:

Pretoria – Kobus Oberholster, kobuso@treoc.com, 012 991 1075
Johannesburg – Sarah Simpson, sarahs@treoc.com, 011 781 3713
Cape Town, PE & Durban – Ryno Venter, rynov@treoc.com, 021 910 4008

Take a look at my new life-changing seminar for 2010!

Financial Freedom Seminar.
On this popular full day seminar I also personally present my unique methods, software and structures that teaches step by step how to successfully invest in property and stock and create enormous tax-free wealth with the bank’s money. Training consist of trust structures, gearing, capitalization, area identification, valuation methods, deal planning, negotiation techniques, financing, tenant administration, tax and legal aspects and much, much more …

Click here for more detail:
Financial Freedom Seminars

Please note that the Financial Freedom seminars in 2010 start at 09h00 and finish at around 16h00. The registration table opens at 08h00.

Media invitation

Journalists, you are welcome to attend our seminars for free, as long as you arrange this in advance with Heidi Kilb at 021 851 2730. There is just one condition, and that is that you must attend the whole seminar. Then at least I’ll know that you have the real facts.

Lost your Password or Login detail?

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www.treoc.com – www.treocinvestor.com – www.treocserviceproviders.com – For these three websites you use the same login detail. If you lost it click here.

www.lightminded.com – For this website you need a separate set of login detail. If you lost it Click here.