Financial Advisor Gambles Away R2.6M In 7 Days After Taking Advantage Of Bank Error, Entire Estate Seized

Financial Advisor Gambles Away R2.6 Million After Bank Error In Just 7 Days

A Cape Town financial advisor blew more than R2.6 million in one week after discovering a bank glitch that allowed him spend money he didn’t have. Now the court has seized everything he owns.

Izak Petrus Van Zyl exploited an Investec error to fund a week-long betting spree on Hollywood Bets. The Western Cape High Court has provisionally sequestrated his estate, meaning his assets have been seized after he racked up debts he couldn’t pay.

What Actually Happened

Van Zyl had a R150 000 credit limit with Investec. On 4 February 2025, the bank refused his request to increase it. But the next day, something went wrong.

According to court documents, on 5 February 2025, Investec made a system change that disabled balance checks for certain transactions. This meant transactions were processed regardless of whether clients had sufficient funds.

When Van Zyl realised this, he jumped at the chance. Between 5 and 11 February 2025, he made multiple online bets on Hollywood Bets. These transactions left him with an outstanding balance of just over R2.6 million.

The court heard that every time a transaction went through, Investec sent him an SMS alert. He got seven days of warnings but kept betting.

He Admitted He Couldn’t Pay

When the bank demanded their money back, Van Zyl didn’t deny what he’d done. Instead, he did something that hurt him badly in court.

“On 14 February 2025, the respondent did not dispute the debt, instead he informed Investec’s attorneys that he was unable to comply with the demanded payment and sent two written proposal letters… requesting Investec to allow him to pay a portion of his debt and settle it by 1 April 2028.”

By offering to pay in instalments, he’d admitted he owed the debt and couldn’t pay it all at once.

Van Zyl tried blaming his wife, claiming she had “cottoned onto the fact that the credit limit was not being enforced by Investec, and unbeknown to me charged approximately R2.4 million to my account.”

The judge wasn’t buying it.

His Defence Made No Sense

Van Zyl argued that Investec was at fault for letting him spend that money. But he’d just asked for more credit and been told no. Why would the bank turn him down one day and secretly give him millions the next?

“Investec could not have granted credit that was never applied for.”

The judge also noted Van Zyl is a financial advisor. This is his job. He’s supposed to understand money and bank rules.

“The respondent is a financial adviser by profession; he is expected to have vast knowledge regarding financial matters.”

Where’s The Money Now?

Van Zyl’s debts, mainly the R2.6 million to Investec, are way bigger than his assets of about R468 342.10. He’s officially insolvent.

He claimed he sold his house in May 2025 and walked away with roughly R503 525. But he couldn’t tell the court where that money went or why he didn’t use any to pay Investec.

Why Seize His Estate If There’s No Money?

Even if Van Zyl has nothing now, the court still agreed to sequestrate his estate. When someone’s estate is sequestrated, a trustee is appointed to review their finances, chase hidden assets, and potentially uncover cash creditors never knew about.

“Even if there are none at all, but there are reasons for thinking that as a result of enquiry under the Act some may be revealed or recovered for the benefits of creditors, that is sufficient.”

The judge also made a bigger point: insolvency law protects the public from people who behave like this.

The Final Blow

On 17 February 2026, Acting Judge Yake granted a provisional sequestration order against Van Zyl’s estate. He now has until 25 March 2026 to convince the judge why his estate shouldn’t be permanently taken over.

The judge called his defence “neither bona fide nor sustainable” and said it was simply “an attempt to delay and frustrate Investec.”

A financial advisor spotted a bank error, gambled away R2.6 million in a week, and now the court has seized everything he owns. His career is almost certainly over.