I was fined R5m and debarred over R301 in test trades, says Wheatley

Warren Wheatley has issued an open letter following his resignation as Africa Bitcoin Corporation (ABC) CEO after being debarred for 20 years and slapped with a R5 million administrative penalty by the Financial Sector Conduct Authority (FSCA).

The letter provides Wheatley’s version of what led to the penalty and debarment, and relates to what he says was R301 in test trades conducted four years ago in Altvest shares – the name of the company before it became ABC.

“Fifty shares. Three hundred and one rand. A fine of millions. Debarment,” says the open letter from a clearly aggrieved Wheatley.

Wheatley’s claims

Moneyweb approached the FSCA to comment on the proportionality of the recent ruling and to respond to Wheatley’s claims. The story will be updated once a reply be received.

Wheatley says he has asked the Financial Services Tribunal to reconsider the FSCA ruling, without admitting any wrongdoing.

“On 28 August 2026, the FSCA debarred me and imposed a R5 million administrative penalty for conduct relating to orders and trades in Altvest shares in September 2022. I will apply to the Financial Services Tribunal to reconsider the decision of the FSCA and for the sanction to be suspended while the reconsideration is dealt with,” he writes.

“The FSCA’s findings relate to events from four years ago.

“At the time, I was testing a stockbroker trading platform that had historically not functioned correctly,” he says.

“During the testing, three trades for a combined 50 shares worth a total of R301 were executed. That was the total sale price received, and I have not since sold shares in the company.”

Changes

Wheatley officially resigned as CEO of ABC this week after being placed on precautionary leave following the FSCA ruling.

Well-known tech entrepreneur Stafford Masie, an executive director of ABC, has stepped in as interim CEO.

The FSCA issued no findings, penalties, or debarment orders against ABC or any of its subsidiaries.

The FSCA also issued rulings against chief investment officer Akshay Karan and Tatum Wheatley, head of media and investor relations, whose services were provided through a consulting company.

The board initially placed all three executives on precautionary leave for one month, subject to review. The services of Tatum Wheatley, Warren’s wife and a co-founder of the company, were also suspended.

Voluntary resignation

ABC is Africa’s first bitcoin treasury company and also provides debt financing to SMEs. The company is listed on the JSE, with secondary listings on the Namibia Stock Exchange and A2X.

“Stepping away from the company is deeply difficult,” says Wheatley.

“I, with many others, built this company from the ground up. We did it through a pandemic, using our own capital and countless hours.

“Our team believed in its purpose long before success was assured. That same commitment is why the company’s best interests must come before my interests,” he writes.

“Since the FSCA’s decision communicated to us at the end of August 2026, my role in leading the company has stood in abeyance. That is not in the best interests of the company, which must have active leadership.

“The process before the Financial Services Tribunal will take time. The company cannot wait for that process to be finalised. The company, its staff, its shareholders, the investors in our funds, and its SME clients and their employees are better served by active leadership rather than by me staying in office.

“My resignation is voluntary and without any admission of wrongdoing, and without giving up my rights before the Financial Services Tribunal. I will pursue those applications and answer every question put to me.

“The Board can now appoint a new Chief Executive Officer, and I will support that process wherever I can.”

Wheatley says he remains confident in the company’s future.

This article was republished from Moneyweb. Read the original here.