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Process to repay 170,000 Defencex investors underway

As scheme’s mastermind launches new business opportunity.

CAPE TOWN – Investors in Defencex, the Ponzi scheme masterminded by Chris Walker, can now register claims to money they invested and subsequently lost in the scheme via a website. Walker, meanwhile, continues to promise high investment returns from a business selling holy water.

Investors – who purchased ‘points’ paying 2%-a-day returns via a Defencex-linked website trading as Net Income Solutions – are now able to register their claims on the Repayment Administration Web Application (RAWA), www.rawa.co.za.

To get the word out, a national advertising campaign will run across print, online and broadcast media and is set to launch on March 15.

SMSes will also be sent to the cellphone numbers listed in Defencex’s records. The SMS campaign kicks off on March 12 in batches of 10 000 a day.

According to an order granted in the Western Cape High Court this week, investors have three months from the date of finalisation of the court order (April 29) to register their claims on the RAWA site.

Among the ten names that Defencex investors may have encountered, all amounting to the same scheme, are EFT4me, Cycle4Dollars, Net Income Solutions, Online Mega Profits Academy and First Wealth is Health. 

‘Investors won’t get everything back’

Having amassed more than R800 million from 171 000 investors between April 2012 and February 2013, Defencex could account for approximately R352 million when its accounts were frozen by the South Africa Reserve Bank (Sarb) on February 28 2013.

It is thus highly unlikely that investors will receive their entire deposit back.

According to the order, the minimum dividend proposed to qualifying investors is 65% of the amount deposited.

How repayment works

In order to create a RAWA profile and register their claim, investors will need to provide their Defencex login details (such as username and password), as well as their cellphone numbers.

Once these details have been verified, the investor will be directed to provide proof of identification, either by way of a driver’s licence or ID book.

The final step to reclaiming an investment – after providing login details, a cellphone number and proof of identification – will be to provide proof of the original deposit via a deposit slip or EFT record. 

An e-wallet statement printed off the Defencex website is not acceptable as proof of investment, according to the court order.

That the onus will be on investors to provide proof of their investments may prove challenging, particularly where cash deposits were made and deposit slips have since been lost.

According to Sarb-appointed repayment administrators, PwC, many of the investors were based in townships and made direct cash deposits into the Defencex bank account. 

Investors can call 012 429 0033 for more information.

Where’s Walker?

Walker’s Defencex website (www.defencex.com) is now advertising a new business, launched towards the end of 2014.

Details of the new business are found on www.mightysoul.net, where you’ll read, “Mighty Soul is a sacred anointing liquid that has been consciously and carefully created to serve as a vehicle for the reception of universal conscious energy and Divine Blessing.”

Along with promises “to become, to do, and to have, all that you truly desire in life” when drinking “this holy libation”, Mighty Soul offers opportunities to become a distributor. Distributors earn money selling the product and via commission based on the sales of people who they introduce to the Mighty Soul business opportunity. The website refers to this as “fractal marketing”.

When entering the word “free” on the Mighty Soul website to become a distributor, the following message pops up: “Are you sure you want to join under: Christopher Walker, Username: free, Distributor Number: MS00-000-005.”

Users are advised to store their bottles of Mighty Soul out of direct sunlight. “The frequencies in the bottle are sensitive to sunlight so we cannot guarantee their efficacy if they have been exposed to direct sunlight,” according to the website.

PwC has referred a case against Walker to the Hawks, which had not responded to repeated requests for comment on whether it is pursuing a case. In February last year, the Hawks told Moneyweb it was not investigating Net Income Solutions.

COMMENTS   11

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Where is Chris Walker pictured as alluded to in the first paragraph?

The more outlandish the “scheme” the more people will fall for it. This is a real beaut. Walker should follow his own advice and store all his bottles out of sunlight, in a place where “the don’t shine”. Fractal? frequencies in the bottle?

I have just opened an account to enable me to follow the process of claiming my money but I don’t see the anything here…does anyone know how and what to do?

The man is now into holy water! More rich pickings to be conned from the uneducated faithful. Next he’ll be teaching them (for a fee, of course) how to walk on the water they’ve purchased. This man’s got chutzpah.

I dont think they really want people their money,some of them have lost their deposit slips and some they cant even remember their username and password,come up with a solution on how will they get the password and password and also you have to know that there should be a contact direct to Defencex that they can either call to request these details that you want for them to get their money.

Hmm point taken.I got lost only 2 deposit slips but am satisfied with 6 dat I submitted.Chris Walker is an evil man dealing with scams…www.mydeposit241.com known as Kipi

They first said Chris is a con and that he want to steal our money…now they want 35% from our funds. Why dont they allow chris to re-open the defencex website under their supervision so that all members can request their own funds on the website since Chris nows how to administer the process. All my claims have been rejected on rawa but now they have my username and password which means these corrupt officials can now claim my funds…WE ARE BEHIND U CHRIS

Hi Thabiso, thanks for your comment. The reason why a minimum payment of 65% is proposed (bear in mind, that would be the minimum) is simply because by the time Defencex was found to be a ponzi scheme and its accounts were frozen, more than half the money that had been invested in Defencex was missing. In other words, there simply isn’t enough left in the account to pay everyone the full amount that they invested. This is not the fault of the repayment administrators, it is likely the fault of the person/people behind Defencex…

For the first time in my life I had joined something that really worked, I made money, I introduced people and they all made money, everybody was happy, people saw their breakthrough. The reality is that if you don’t eat with them they will shut you down, if you do good for the children of God the devil goes crazy and the devil has his own in top positions, that why we see more bad than good happening. If we all had money who would vote, poverty is a farm for the government. How many officials steal money how many get fired or get punished instead they get another post and frankly some of us don’t care anymore we make our own means to make a living, RAWA must just leave our money alone No one of us opened a case against Chris so why do they want to control our money, why should they get 35% from our funds SHAME ON THESE PEOPLE. Isn’t IFA of Clientele Life a Pyramid Scheme? but we see adverts all over and poor people fall for that BULL but its fine because somebody somewhere is getting paid so its fine IFA is good SIS its disgusting. CHRIS WE HAVE YOUR BACK…

how to become a contributor for mightysoul.net

Sounds like drugs to me.

End of comments.

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