First National Bank (FNB) was granted leave on Friday to appeal a high court decision that outlawed a savings product which has created 27 millionaires.
Bank spokesperson Xolisa Vapi said the Supreme Court of Appeal granted the leave to appeal a high court decision against the ”million-a-month account”.
The Pretoria High Court granted the National Lotteries Board an order last December, stopping the bank from operating the product.
However, the account remained operational while the bank followed legal action, said Vapi.
The product is a 32-day notice savings account that requires no minimum opening deposit and attracts no bank fees.
Every R100 qualifies the account holder for entry into a guaranteed monthly draw with a chance to win R1-million.
The court action came after the board asked for the account offering to be declared illegal, saying it contravened the Lotteries Act.
The bank turned to the Appeal Court after an application for leave to appeal was denied in the high court.
”FNB is pleased with the Supreme Court of Appeal’s decision, as we have always believed in the merits of our case,” said savings and investment chief executive Robert Keip.
Vapi said the bank had paid out more than R40-million and created 27 millionaires since launching the product in January 2005. — Sapa