FSCA Enforcement on Illegal Forex Operations: Bhaca Green With R9M Fine, 20‑Year Ban for Principal

The Financial Sector Conduct Authority (FSCA) of South Africa has taken regulatory action against Bhaca Green (Pty) Ltd and its principals, following serious financial misconduct and unauthorized forex business.

Mr Songeziwe Mbalo has been debarred from the financial services industry for 20 years. Mbalo and Bhaca Green face R9 million in administrative penalties, jointly and severally. Mr Lungile Mgilane has been fined R50,000.

FSCA’s investigation revealed that between January 2019 and December 2020, Mbalo and Bhaca Green solicited funds from investors under the guise of forex trading. Instead of genuine trading, most funds were diverted to pay fake “returns” to other investors and cover Mbalo’s personal expenses. Mgilane rendered financial services to clients on behalf of Bhaca Green and Mbalo. 

Neither Mbalo nor Bhaca Green was licensed as a financial services provider (FSP) by the FSCA. They acted unlawfully as unauthorised Category II FSPs by offering advice and intermediary services in forex products.

Given the scale and seriousness of the misconduct, FSCA has decided to refer the matter to the South African Police Service (SAPS) and to provide all evidence gathered during its investigation.

Recently, the FSCA has permanently withdrawn Afrimarkets Capital’s license after finding serious financial misconduct, echoing earlier action against Banxso.

BrokersView Reminds You

Before investing, check whether a company or individual is licensed as a financial services provider on the official registers of regulators. Many fraudulent operators misuse forex trading as a cover to run Ponzi‑style schemes. Do not rely on promotional material or social media claims. 

If you suspect any broker misconduct, report it to your local regulator immediately. You can also submit a complaint through BrokersView.