New investigation into manipulation of controversial JSE-listed company’s share price

The Financial Sector Conduct Authority (FSCA) is investigating a series of trades in Africa Bitcoin Corporation (ABC) shares for price manipulation. 

This follows the FSCA’s debarment of ABC’s Warren Wheatley, his wife, Tatum Wheatley, and Akshay Karan for share price manipulation. 

All three individuals have resigned from their executive positions at the company and maintain their innocence. 

Wheatley said the trades amounted to only R301.00 and were intended to test a new stockbroking platform. 

The FSCA’s investigation found otherwise, saying that the three individuals artificially inflated ABC’s share price when it was trading under the Altvest name. 

Now, the regulator has notified ABC of a separate investigation into share price manipulation during April and May 2026. 

In a statement, the company said it received correspondence from the FSCA notifying of the investigation into particular transactions involving ABC securities. 

The investigation concerns possible contraventions of section 80 of the Financial Markets Act 19 of 2012, relating to market manipulation. The subjects of the investigation are individual market participants. 

ABC said the notification does not identify the individuals under investigation, allege that ABC or its board engaged in market manipulation, or communicate any findings of wrongdoing.

“The investigation remains ongoing, and ABC has not been notified of any final determination or enforcement action arising from it,” the company said.

ABC made it clear that the investigation concerns a different period of trading from the previous investigation into the trading activity of the Wheatleys and Karan. 

“The notification of this investigation does not establish any connection between the two matters, nor should the existence of an investigation be interpreted as evidence of wrongdoing by any individual or entity.”

ABC said it remains committed to cooperating with the FSCA and will respond to any requests for information or assistance. 

“Notwithstanding the recent regulatory and governance developments, ABC’s executive management team remains focused on maintaining operational continuity and fulfilling the Company’s responsibilities,” it said. 

Two months, two CEO resignations

The revelation of this second investigation comes in the same week that ABC’s board told shareholders that interim CEO Stafford Masie tendered his resignation. 

Masie’s final day of service will be February 2027, and his resignation comes a month after Wheatley tendered his. 

The announcement of Masie’s resignation was followed by a slew of resignations from ABC board members, who are leaving the company with immediate effect. 

These members include: 

• Norma Sephuma, Independent Non-executive Chairperson and member of the Group’s Audit and Risk and Social and Ethics Committees
• Snowy Masakale, Independent Non-executive Director and member of the Group’s Audit and Risk, Remuneration and Nomination Committees
• GG Alcock, Independent Non-executive

Following the resignation of these three individuals, Masie, the Wheatleys, and Karan, ABC will be left with two board members. 

However, the board is likely to be beefed up by the looming appointment of two new members, subject to a vote on the matter. 

On 8 October, WGW Capital Proprietary Limited sent a letter to ABC’s board demanding a shareholders’ meeting to vote on the appointment of two new non-executive directors. 

WGW is Wheatley’s investment vehicle and made the demand with the backing of shareholders who own 76% of ABC. WGW itself holds 35% of the company. 

ABC’s board is yet to reveal the details of the two proposed candidates. However, there is speculation that it would be representatives of Wheatley and his wife. 

The board made it clear in its announcement that it does not support the proposed appointments.

“The board’s position should not be interpreted as a general comment on the professional experience or capability of the proposed candidates,” it said. 

“Rather, the board’s concern relates primarily to governance and regulatory integrity, given the exceptional circumstances currently facing the group.”