Taxpayers Beware the SARS Cheque Refund

Abstract

The theft of a cheque sent through the post is certainly not a new phenomenon. We live in difficult times. With the advance in computer technology the forgery of documents has become easier. It should be a concern to both banks and their customers to search for a safer method of payment of debts. Although there has been a huge increase in the number and value of electronic transactions one should bear in mind that there is no legislation in place that regulate these payments and the risks involved where these payment go wrong are borne by the customers of banks (Schulze “A final curtain call, but perhaps not the last word on the reversal of credit transfers: Nedbank Ltd v. Pestana” 2009 SA Merc LJ 396 403). It would be a grave mistake to think that electronic payments are problem-free (see eg Nissan South Africa (Pty) Ltd v. Marnitz NO (Stand 186 Aeroport (Pty) Ltd Intervening) 2005 1 SA 441 (SCA) and Malan and Pretorius “Credit transfers in South African law” 2006 THRHR 594ff and 2007 THRHR 1ff). There is an urgent need for the banking industry to regulate these payments.

Keywords: Cheques stolen in post