Wrap Text
Net1 Announces Conclusion of SEC Investigation
Net 1 UEPS Technologies, Inc.
Registered in the state of Florida, USA
(IRS Employer Identification No. 98-0171860)
Nasdaq share code: UEPS
JSE share code: NT1
ISIN: US64107N2062
(“Net1” or “the Company”)
Net1 Announces Conclusion of SEC Investigation
Johannesburg, June 8, 2015 – Net 1 UEPS Technologies, Inc. (NasdaqGS: UEPS; JSE: NT1)
today announced that it has received a letter from the Foreign Corrupt Practices Act unit of the
Division of Enforcement of the U.S. Securities and Exchange Commission (“SEC”), advising
the Company as follows:
“We have concluded the investigation as to Net 1 UEPS Technologies, Inc. Based on the
information we have as of this date, we do not intend to recommend an enforcement action by
the Commission against Net 1 UEPS Technologies, Inc. We are providing this notice under the
guidelines set out in the final paragraph of Securities Act Release No. 5310, which states in part
that the notice “must in no way be construed that the party has been exonerated or that no
action may ultimately result from the staff’s investigation” (The full text of Release No. 5310
can be found at: http://www.sec.gov/divisions/enforce/wells-release.pdf)”.
“The investigation commenced in December 2012 following the award of the SASSA national
contract to us in January 2012,” said Dr. Serge Belamant, Chairman and CEO of Net1. “It
commenced largely as a result of one of the losing bidders for the contract, Barclays Africa’s
subsidiary AllPay, referring unsubstantiated South African press articles alleging irregularities
in the tender process to the U.S. Department of Justice. We believe that AllPay was
responsible for instigating those media allegations. This resulted in the DOJ and SEC initiating
investigations into alleged FCPA and disclosures violations. This letter from the SEC is an
important step in the Company clearing its name and is in line with the total absence of any
findings of irregularities against Net1 by any South African Court or Regulator resulting from
actions pursued by AllPay over the past three years,” he concluded.
The separate investigation into these matters initiated by Net1 itself with the South African
Police’s Commercial Crimes unit is expected to be concluded shortly.
It is the Company’s understanding that the DOJ investigation remains open at this time.
About Net1 (www.net1.com)
Net1 is a leading provider of alternative payment systems that leverage its Universal Electronic
Payment System (“UEPS”) or utilize its proprietary mobile technologies. The Company
operates market-leading payment processors in South Africa and the Republic of Korea.
UEPS permits the Company to facilitate biometrically secure, real-time electronic transaction
processing to unbanked and under-banked populations of developing economies around the
world in an online or offline environment. Net1’s UEPS/EMV solution is interoperable with
global EMV standards that seamlessly enable access to all the UEPS functionality in a
traditional EMV environment. In addition to payments, UEPS can be used for banking,
healthcare management, payroll, remittances, voting and identification.
Net1's mobile technologies include its proprietary mobile payments solution - MVC, which
offers secure mobile-based payments, as well as mobile banking and prepaid value-added
services in developed and emerging countries. The Company intends to deploy its varied
mobile solutions through its Zazoo business unit, which is an aggregation of innovative
technology companies and is based in the United Kingdom.
Net1 has a primary listing on the NASDAQ and a secondary listing on the Johannesburg Stock
Exchange.
Forward-Looking Statements
This press release contains forward-looking statements. All statements, other than statements of
historical fact, including the Company's expectations about allegations made against the
Company, are forward-looking statements, and future events may differ from such
expectations. Please refer to the "Risk Factors" section of our Annual Report on Form 10-K for
the fiscal year ended June 30, 2014, as they may be updated from time to time in future
reports. The Company does not assume any obligation to update any forward-looking
statements, whether as a result of new information, future events or otherwise.
Investor Relations Contact:
Dhruv Chopra
Head of Investor Relations
Phone: +1-917-767-6722
Email: dchopra@net1.com
Johannesburg
June 8, 2015
Sponsor:
Deutsche Securities (SA) Proprietary Limited
Date: 08/06/2015 01:30:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
