Editor double standard, South Africa, tenders

Pointing fingers at myself: Why an organ of state should not rely on its own unlawful conduct to avoid compensating innocent contracting parties

By Brandon Cole On 2 October 2024, the Constitutional Court handed down a significant judgment addressing a just and equitable remedy under Section 172(1)(b) of the Constitution. The case exemplifies a broader phenomenon in which organs of state, including the applicant in this matter, the Greater Tzaneen Municipality, attempt to rely on their own unlawful … Continue reading Pointing fingers at myself: Why an organ of state should not rely on its own unlawful conduct to avoid compensating innocent contracting parties

Editor South Africa

Don’t Jump the Gun: Substantial Implementation Notices in Business Rescue Proceedings

By Brandon Cole In a recent decision handed down by the High Court of South Africa, Western Cape Division, Cape Town, on 16 August 2024, the court granted an interdict preventing the business rescue practitioner of Cambridge Services (Pty) Ltd from filing a notice of substantial implementation of the published and approved business rescue plan … Continue reading Don’t Jump the Gun: Substantial Implementation Notices in Business Rescue Proceedings

Editor Legislation, South Africa

Understanding Draft PCC 121A: A New Chapter in Beneficial Ownership.

By Brandon Cole Introduction On 14 June 2024, the South African Financial Intelligence Centre (FIC) issued draft public compliance communication 121A (PCC 121A) for a second round of consultation. This draft aims to provide comprehensive guidance on the definition of beneficial ownership and the practical application of section 21B of the Financial Intelligence Centre Act, … Continue reading Understanding Draft PCC 121A: A New Chapter in Beneficial Ownership.

Editor Legislation, South Africa

Who is a ‘Creditor’? Post-Commencement Creditors’ Voting Rights Under Section 152 of the Companies Act

By Brandon Cole In the pivotal judgment of Wescoal Mining (Pty) Ltd v Mkhombo N.O and Others,[1] the  Johannesburg High Court has taken a significant stance on the rights of post-commencement creditors in business rescue proceedings, particularly concerning their ability to vote on a business rescue plan as outlined in Section 152 of the Companies … Continue reading Who is a ‘Creditor’? Post-Commencement Creditors’ Voting Rights Under Section 152 of the Companies Act

Editor culture of compliance, Directors' Liability, Full Article, South Africa

The Section 218(2) Conundrum? Navigating Director Liability with Insights from Venator Africa (Pty) Ltd v Watts and Another

By Brandon Cole In a recent judgment by the Supreme Court of Appeal of South Africa (“SCA”) on 24 April 2024, the case of Venator Africa (Pty) Ltd v Watts and Another[1]  (“Venator Africa) has clarified and redefined earlier interpretations of section 218(2) of the Companies Act 71 of 2008 (“the Act”). Section 218(2) reads … Continue reading The Section 218(2) Conundrum? Navigating Director Liability with Insights from Venator Africa (Pty) Ltd v Watts and Another

Editor culture of compliance, FATF, South Africa

Who Owns What? Mandatory publication of companies’ beneficial owners in RSA

The CIPC's new beneficial owner registry: An effective mechanism to combat illicit flow of funds or another wasted opportunity? By Jemma Muller and Nicola Taljaard, Primerio On 1 March 2023, the South African Companies and Intellectual Property Commission (“CIPC”) announced its plan to establish a register of beneficial ownership (“BO”), which would be implemented upon … Continue reading Who Owns What? Mandatory publication of companies’ beneficial owners in RSA

Editor culture of compliance, ECONafrica, FATF, Full Article, outside investment, politics, public sector corruption, South Africa

Greyed-Out by FATF: South Africa officially placed on the grey-list; where to from here?

By Jemma Muller and Tyla Lee Coertzen Despite the noteworthy progress South Africa has made in response to the deficiencies identified in the Financial Action Task Force’s (“FATF”) Mutual Evaluation Report released in June 2021, the FATF placed South Africa on the ‘grey-list’ on 24 February 2023. In order to understand the consequences of being … Continue reading Greyed-Out by FATF: South Africa officially placed on the grey-list; where to from here?

Editor Banking & Accounts, crypto, Ponzi, South Africa

African crypto exchanges rush to distance from FTX

As we previously reported in the immediate aftermath of FTX's multi-jurisdictional bankruptcy filings here, its corporate fallout affected not only Bahamian and U.S. entities, but allegedly also many crypto-related companies on the African continent. Further detailed and often shocking (and as of recently even prurient) news about the fraudulent ponzi exchange have by now reached … Continue reading African crypto exchanges rush to distance from FTX

Editor enforcement, Legislation, Minister, South Africa

A new anti-corruption enforcer on the South African horizon?

RSA Minister of Justice gives insights into developments surrounding new agency By Nicola Taljaard On 13 October 2022, South African Minister of Justice, Ronald Lamola, provided a brief update on the developing discussion in relation to the establishment of a multidisciplinary agency dedicated to fighting corruption. The talks among the Department of Justice and the … Continue reading A new anti-corruption enforcer on the South African horizon?

Editor FATF, money laundering, South Africa, Terrorism

Greyed-Out by FATF: Consequences and opportunities of potential grey-listing

Is the Republic of South Africa on the watchdog's grey-list chopping block? By Jemma Muller and Tyla Lee Coertzen The risk of South Africa being placed on the Financial Action Task Force’s (“FATF”) so-called “grey list” has been the subject of much debate and speculation, as well as a focal point for South African law … Continue reading Greyed-Out by FATF: Consequences and opportunities of potential grey-listing