Over P400,000 Remains Unclaimed in Dafritech Illegal Deposit Scheme Case

Over P400,000 Remains Unclaimed in Dafritech Illegal Deposit Scheme Case. More than three years after the Bank of Botswana shut down Dafritech Proprietary Limited for operating an illegal deposit-taking scheme, over P437,000 remains unclaimed by affected depositors.

Dafritech, uncovered in 2021, was found to be unlawfully accepting public deposits in violation of Section 3(1) of the Banking Act, which prohibits any unlicensed entity from conducting banking business in Botswana. Although the company appeared to present itself as a legitimate investment provider, the nature of its operations raised serious regulatory red flags, suggesting features of a Ponzi-like or unregulated financial scheme.

Funds from unsuspecting individuals were funneled into an account at First National Bank of Botswana (FNBB), prompting swift action by the Bank of Botswana once the breach was identified. The central bank ordered an immediate freeze of the account, which contained P832,338 at the time, and secured a High Court ruling for the funds to be transferred to the central bank for safekeeping.

In 2024, the Bank of Botswana issued a public call inviting affected individuals to submit claims for refunds. Despite efforts to trace and notify depositors, only 26 of the 116 affected parties responded by the deadline of 31 December 2024. A total of P393,262 was reimbursed, leaving a significant balance of P437,983 still unclaimed.

Authorities continue to urge depositors who were involved with Dafritech to come forward. The incident underscores the importance of public awareness regarding unlicensed financial operators and the need for regulatory vigilance to protect consumers from fraudulent schemes.