Auctioneer Levitt Wins Court Battle

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THREE summonses issued to former Auction Alliance boss Rael Levitt and two other employees have been declared unacceptable and inconsistent with the constitution through the Western Cape High Court.

Acting Judge Rob Stelzner passed down verdict in the issue recently.

Levitt wasn't present during yesterday's court proceedings.

Levitt, Auction Alliance's chief financial officer and acting CEO, Bruce Sneddon and chairman Sango Ntsaluba, had challenged the credibility of the summonses, released in April. The summonses called on them to show up before the National Consumer Commission (NCC) for questioning on May 4.

While handing down verdict, Judge Stelzner said before the summonses, dated April 12, have been issued, these steps had been taken:

l On March 30, National Consumer Commissioner Mamodupi Mohlala delivered a media declaration regarding Auction Alliance.

In the news affirmation, it stated a panel set up by the commission to look into billionaire Wendy Appelbaum's issue about the auction of a wine estate, Quoin Rock, in December had found Levitt and Auction Alliance "guilty of performing a fake auction" using a ghost prospective buyer to drive up the price.

Mohlala had determined the media declaration by saying a conformity notice would be given to Auction Alliance.

l This compliance notice was agreed upon on April 4.

Judge Stelzner stated the grounds on which Rael Levitt and his two colleagues challenged the summonses included that since the hearing into the Quoin Rock matter was finalised, the NCC did not have the power to then soon after issue the summons to them for that similar matter, as it had already been wrapped up.

"The commissioner's decisions to issue the media statement and the conformity notice€¦ precluded the commissioner by providing the existing summonses against the applicants, on the grounds that she had currently decided their fate, was obviously biased and any additional enquiry would be an evidence gathering exercise for reasons like a criminal trial," the judgment said.

Mohlala did not have the legal right to conduct an investigation in to assumed crimes, as the National Prosecuting Authority and police were the regulators with these powers.

Judge Stelzner stated the NCC and Mohlala admitted in addressing papers that the NCC didn't have capability to make any costs order, and therefore summons couldn't be issued to question Levitt and his two colleagues about this.

He explained by conceding the summons had not been issued regarding Auction Alliance paying Appelbaum's legal costs, the NCC and Mohlala got "impliedly accepted" that the summons could not have been issued for any additional issue outside her legislation.

Judge Stelzner stated the judgement by the NCC and/or Mohlala to issue the three summonses was reviewed and set-aside. He ruled the NCC and Mohlala bear the expense of the application.

Auctioneer Levitt is active on many levels in the community in South Africa and believes firmly in giving back to this community.
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