Fraudster fined for promising to turn R300 into R1 000 in eight days

An investment scam that promised huge returns in just days has landed its operator with a hefty penalty.

The man promised to turn R300 into R1 000 in just eight days. Members of the public paid a total of R129 000 into his personal bank accounts.

**The Financial Sector Conduct Authority (FSCA) **has debarred Joy Praise Kgaphola for 20 years, and imposed an administrative penalty of R300 000.

A man named Joy Praise Kgaphola and his company, Datum RS, have been fined R300,000 and debarred for 20 years.https://t.co/BJl6ao2eQm

— Daily Investor (@DailyInvestorSA)

October 28, 2026

HOW THE INVESTMENT SCAM WORKED

The FSCA investigated Kgaphola and Datum RS (Pty) Ltd, the company of which he was the sole director.

According to the FSCA, he used Datum’s social media accounts to solicit investments from the public.

He offered to trade in derivative instruments and crypto assets on clients’ behalf, despite not being authorised to provide those financial services.

The accounts advertised investment packages that the FSCA described as offering “unrealistically high returns” within five or eight days.

One package promised a return of R1 000 within eight days on an investment of R300.

That’s a return of more than 230% in just over a week.

WHERE THE MONEY WENT

According to the FSCA, clients deposited R129 000 into Kgaphola’s personal bank accounts.

The regulator found that he used clients’ money for personal purchases.

WHAT THE FSCA FOUND

The FSCA found that Datum and Kgaphola had:

• provided and promoted financial services without authorisation
• and made misleading representations about the services they offered

These breached the Financial Advisory and Intermediary Services (FAIS) Act.

NOT THE FIRST WARNING

The FSCA had already warned the public about Datum RS in May 2023.

HOW TO SPOT AN INVESTMENT SCAM

• Check that the provider is authorised.

  Search for the company or person on the FSCA’s website before handing over any money.

• Be wary of guaranteed or unusually high returns,

  especially within days or weeks.

• Be cautious of investment offers on social media,

  particularly from people you don’t know.

• Never pay into a personal bank account.

  Legitimate financial services providers use business accounts.

• Check the FSCA’s warnings list

  for companies it has already flagged.

HOW TO REPORT A SCAM

If you suspect an investment scam, report it to the FSCA.

HAVE YOU EVER BEEN OFFERED AN INVESTMENT THAT SEEMED TOO GOOD TO BE TRUE?

Let us know in the comments below …