Companies Amendment Act
This section says section 1 of Act 71 of 2008 is being amended.
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- Act 16 of 2024
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This section says section 1 of Act 71 of 2008 is being amended. This section amends section 1 by adding two definitions and replacing the definition of “securities”. A Notice of Amendment in this case takes effect 10 business days after the Commission receives it, unless the Commission endorses or rejects it with reasons earlier, or the notice states a later date. A company must file a notice about where its section 24 records are kept or accessible, and the Commission must publish that notice as prescribed. This section amends section 26 to add annual financial statements and the beneficial interest disclosure register to the records referenced, and it changes a person’s right to inspect and copy certain company records.
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Provisions of Companies Amendment Act
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No. 50991
AI-assisted research summary: This section says section 1 of Act 71 of 2008 is being amended.
4 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 4 BE IT ENACTED by the Parliament of the Republic of South Africa, as follows:— Amendment of section 1 of Act 71 of 2008, as amended by section 1 of Act 3 of 2011, section 111 of Act 19 of 2012 and section 55 of Act 22 of 2022 - 1 Verify source ↗
Section 1 of the Companies Act, 2008 (Act No. 71 of 2008), (hereinafter referred
AI-assisted research summary: This section amends section 1 by adding two definitions and replacing the definition of “securities”.
1. Section 1 of the Companies Act, 2008 (Act No. 71 of 2008), (hereinafter referred 5 to as the ‘‘principal Act’’), is hereby amended— (a) by the insertion after the definition of ‘‘Banks Act’’ of the following definitions: ‘‘ ‘B-BBEE Act’ means the Broad-Based Black Economic Empower- ment Act, 2003 (Act No. 53 of 2003); ‘B-BBEE Commission’ means the Broad-Based Black Economic Empowerment Commission as established in terms of the B-BBEE Act;’’; and (b) by the substitution for the definition of ‘‘securities’’ of the following definition: 10 15 ‘‘ ‘securities’, for the purposes of this Act, means any shares[,] or debentures [or other instruments], irrespective of their form or title, issued or authorised to be issued by a profit company;’’. Amendment of section 16 of Act 71 of 2008, as amended by section 11 of Act 3 of 2011 20 - 2 Verify source ↗
Section 16 of the principal Act is hereby amended by the substitution in subsection
AI-assisted research summary: A Notice of Amendment in this case takes effect 10 business days after the Commission receives it, unless the Commission endorses or rejects it with reasons earlier, or the notice states a later date.
2. Section 16 of the principal Act is hereby amended by the substitution in subsection (9) for paragraph (b) of the following paragraph: ‘‘(b) in any other case, [on the later of] — (i) (ii) [the date on, and time at, which the Notice of Amendment is filed] 10 business days after receipt of the Notice of Amendment by the Commission, unless endorsed or rejected with reasons by the Commis- sion prior to the expiry of the 10 business days period; or [the] such later date, if any, as set out in the Notice of Amendment.’’. 25 Amendment of section 25 of Act 71 of 2008 - 3 Verify source ↗
Section 25 of the principal Act is hereby amended by the substitution in subsection
AI-assisted research summary: A company must file a notice about where its section 24 records are kept or accessible, and the Commission must publish that notice as prescribed.
3. Section 25 of the principal Act is hereby amended by the substitution in subsection 30 (2) for the words preceding paragraph (a) of the following words: ‘‘A company must file a notice, which the Commission must publish as prescribed, setting out the location or locations at which any particular records referred to in section 24 are kept or from which they are accessible if those records—’’. Amendment of section 26 of Act 71 of 2008, as amended by section 17 of Act 3 of 2011 - 4 Verify source ↗
Section 26 of the principal Act is hereby amended—
AI-assisted research summary: This section amends section 26 to add annual financial statements and the beneficial interest disclosure register to the records referenced, and it changes a person’s right to inspect and copy certain company records.
4. Section 26 of the principal Act is hereby amended— (a) by the substitution in subsection (1) for paragraph (c) of the following paragraph: ‘‘(c) the reports to annual meetings [, and annual financial statements,] as mentioned in section 24(3)(c)(i) [and (ii)];’’; (b) by the insertion in subsection (1) after paragraph (c) of the following 35 40 paragraph: ‘‘(cA) the annual financial statements as contemplated in section 45 24(3)(c)(ii);’’; (c) by the deletion in subsection (1) of the word ‘‘and’’ at the end of paragraph (d), the substitution at the end of paragraph (e) for a full stop of a semicolon, the insertion of the word ‘‘and’’ at the end of paragraph (e), and by the addition of the following paragraph: ‘‘(f) the register of the disclosure of beneficial interest of the company as contemplated in section 56(7)(a).’’; (d) by the substitution for subsection (2) of the following subsection: ‘‘(2) A person not contemplated in subsection (1) has a right to inspect [or] and copy [the securities register of a profit company, or the members register of a non-profit company that has members, or the 50 55 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 STAATSKOERANT, 30 JuliE 2024 5 No. 50991 5 No. 16 van 2024 DAAR WORD BEPAAL deur die Parlement van die Republiek van Suid-Afrika, soos volg:— Wysiging van artikel 1 van Wet 71 van 2008, soos gewysig deur artikel 1 van Wet 3 van 2011, artikel 111 van Wet 19 van 2012 en artikel 55 van Wet 22 van 2022 - 1 Verify source ↗
Artikel 1 van die Maatskappywet, 2008 (Wet No. 71 van 2008), (hierna die
AI-assisted research summary: This provision amends definitions in the Companies Act, including new definitions for the B-BBEE Act, the B-BBEE Commission, and “securities.”
1. Artikel 1 van die Maatskappywet, 2008 (Wet No. 71 van 2008), (hierna die 5 ‘‘Hoofwet’’ genoem), word hierby gewysig— (a) deur die volgende omskrywings na die omskrywing van ‘‘Bankwet’’ in te voeg: ‘‘ ‘B-BBEE-wet’ die ‘Broad-Based Black Economic Empowerment Act, 2003’ (Wet No. 53 van 2003); ‘B-SEB-kommissie’ die Kommissie vir Breedgebaseerde Swart Ekonomiese Bemagtiging soos ingevolge die B-BBEE-wet ingestel;’’; en (b) deur die omskrywing van ‘‘sekuriteite’’ deur die volgende omskrywing te vervang: 10 15 ‘‘‘sekuriteite’, vir die doeleindes van hierdie Wet, enige aandele[,] of skuldbriewe [of ander instrumente], ongeag die vorm of titel, wat ’n maatskappy met winsoogmerk uitreik;’’. Wysiging van artikel 16 van Wet 71 van 2008, soos gewysig deur artikel 11 van Wet 3 van 2011 20 - 2 Verify source ↗
Artikel 16 van die Hoofwet word hierby gewysig deur in subartikel (9) paragraaf
AI-assisted research summary: This provision amends Article 16(9)(b) so that, in other cases, the Commission has 10 business days after receiving a Notice of Amendment to ratify or reject it with reasons, unless it does so sooner.
2. Artikel 16 van die Hoofwet word hierby gewysig deur in subartikel (9) paragraaf (b) deur die volgende paragraaf te vervang: ‘‘(b) in enige ander geval[, vanaf die laatste van]— (i) (ii) [die datum waarop en tyd waarteen die Kennisgewing van Wysiging ingedien word] 10 sakedae na ontvangs van die Kennisgewing van Wysiging deur die Kommissie, tensy dit met redes deur die Kommissie bekragtig of verwerp is voor die tydperk van 10 sakedae verstryk het; of [die] daardie latere datum, indien enige, [wat] soos in die Kennisgewing van Wysiging uiteengesit word.’’. Wysiging van artikel 25 van Wet 71 van 2008 - 3 Verify source ↗
Artikel 25 van die Hoofwet word hierby gewysig deur in subartikel (2) die woorde
AI-assisted research summary: A company must file a notice, and the Commission must publish it as prescribed.
3. Artikel 25 van die Hoofwet word hierby gewysig deur in subartikel (2) die woorde wat paragraaf (a) voorafgaan deur die volgende woorde te vervang: ‘‘ ’n Maatskappy moet ’n kennisgewing indien, wat die Kommissie moet publiseer soos voorgeskryf, wat die ligging of liggings uiteensit waar enige spesifieke rekords gehou word wat in artikel 24 genoem word, of vanwaar dit toeganklik is indien daardie rekords—’’. Wysiging van artikel 26 van Wet 71 van 2008, soos gewysig deur artikel 17 van Wet 3 van 2011 25 30 35 - 4 Verify source ↗
Artikel 26 van die Hoofwet word hierby gewysig—
AI-assisted research summary: This provision amends Article 26 by updating the items covered and giving certain persons a right of access to company registers.
4. Artikel 26 van die Hoofwet word hierby gewysig— (a) deur in subartikel (1) paragraaf (c) deur die volgende paragraaf te vervang: ‘‘(c) die verslae aan jaarvergaderings[, en finansiële jaarstate,] soos in 40 artikel 24(3)(c)(i) [en (ii)] genoem;’’; (b) deur in subartikel (1) die volgende paragraaf na paragraaf (c) in te voeg: ‘‘(cA) die finansiële jaarstate soos in artikel 24(3)(c)(ii) beoog;’’; (c) deur in subartikel (1) die woord ‘‘en’’ aan die einde van paragraaf (d) te skrap, aan die einde van paragraaf (e) ’n punt deur ’n kommapunt te vervang, die woord ‘‘en’’ aan die einde van paragraaf (e) in te voeg, en deur die volgende paragraaf by te voeg: ‘‘(f) die register van openbaarmaking van voordelige belang van die maatskappy soos in artikel 56(7)(a) beoog.’’; (d) deur subartikel (2) deur die volgende subartikel te vervang: 45 50 ‘‘(2) ’n Persoon wat nie in subartikel (1) beoog word nie, het ’n reg om [die sekuriteiteregister van ’n maatskappy met winsoogmerk, of die lederegister van ’n maatskappy sonder winsoogmerk wat lede het, of This gazette is also available free online at www.gpwonline.co.za - 6 Verify source ↗
No. 50991
AI-assisted research summary: A company must respond to certain requests within 10 business days, and the requester generally has a right to inspect or copy specified records, subject to listed company-type and public-interest-score exceptions.
6 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 6 register of directors of a company, upon payment of an amount not exceeding the prescribed maximum fee for any such inspection] the information contained in the records referred to in subsection (1)(a), (b), (cA), (e) and (f), upon payment of the prescribed fee for any such inspection and copy.’’; (e) by the insertion after subsection (2) of the following subsection: ‘‘(2A) The right to inspect and copy information contained in the records referred to in subsection (1)(cA), as contemplated in subsection (2), does not apply to a private company, non-profit company or personal liability company, wherein— (a) an annual financial statement is internally prepared in a company with a public interest score of less than 100; or (b) an annual financial statement is independently prepared in a company with a public interest score of less than 350.’’; 5 10 (f) by the substitution in subsection (4) for paragraph (a) of the following paragraph: 15 ‘‘(a) for a reasonable period during business hours at a location contemplated in section 25(1);’’; (g) by the substitution for subsection (5) of the following subsection: ‘‘(5) Where a company receives a request [in terms of], as contemplated in subsection (4)(b), it must within [14] 10 business days comply with the request by providing the requester an opportunity to inspect or copy the register or the records concerned [to the person making such request].’’; and (h) by the deletion of subsection (6). Amendment of section 30 of Act 71 of 2008, as amended by section 20 of Act 3 of 2011 - 5 Verify source ↗
Section 30 of the principal Act is hereby amended—
AI-assisted research summary: This amendment requires each individual director and prescribed officer’s remuneration and benefits to be named, and says certain company policies or the remuneration report’s background statement must not be audited when the remuneration report is audited.
5. Section 30 of the principal Act is hereby amended— (a) by the substitution in subsection (4) for paragraph (a) of the following paragraph: ‘‘(a) the remuneration, as defined in subsection (6), and benefits received by each individual director, [, or] and [individual holding any prescribed office] prescribed officer in the company, both of whom must be named;’’; and (b) by the insertion after subsection (4) of the following subsection: ‘‘(4A) Where any provisions of the directors’ remuneration report, as contemplated in section 30B, becomes subject to an audit in terms of this section, any company policies or the background statement of the remuneration report must not be made subject to such audit.’’. Insertion of sections 30A and 30B in Act 71 of 2008 - 6 Verify source ↗
The following sections are hereby inserted in the principal Act after section 30:
AI-assisted research summary: Public companies and state-owned companies must prepare a remuneration policy and get shareholder approval, with reapproval every three years.
6. The following sections are hereby inserted in the principal Act after section 30: ‘‘Duty to prepare and present company’s remuneration policy 30A. (1) All public companies and state-owned companies must prepare and present for approval a remuneration policy as contemplated in subsection (2). (2) The remuneration policy— (a) must be presented to and approved by shareholders at the annual general meeting by an ordinary resolution and if not approved must be presented at the next annual general meeting or at a shareholders meeting called for such purpose; (b) will remain in force for a period of three years from approval and must be approved every three years thereafter; and (c) may be amended prior to the end of the three-year period provided that any material amendment can only be implemented after it is approved by the shareholders by an ordinary resolution at a shareholders meeting called for this purpose or at an annual general meeting. 20 25 30 35 40 45 50 55 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 7 STAATSKOERANT, 30 JuliE 2024 No. 50991 7 No. 16 van 2024 die register van direkteure van ’n maatskappy,] die inligting in die rekords bedoel in subartikel (1)(a), (b), (cA), (e) en (f) te inspekteer [of] en te kopieer, by betaling van [’n bedrag wat nie die maksimum voorgeskrewe gelde vir enige sodanige inspeksie oorskry nie] die voorgeskrewe gelde vir enige sodanige insae en kopie.’’; (e) deur die volgende subartikel na subartikel (2) in te voeg: ‘‘(2A) Die reg op insae tot en kopieë van inligting in die rekords bedoel in subartikel (1)(cA), soos in subartikel (2) beoog, is nie van toepassing nie op ’n privaat maatskappy, maatskappy sonder winsoogmerk of maatskappy met persoonlike aanspreeklikheid, waar— ’n finansiële jaarstaat intern voorberei word in ’n maatskappy met ’n openbare belang-telling van minder as 100; of ’n finansiële jaarstaat onafhanklik voorberei word in ’n maatskappy met ’n openbare belang-telling van minder as 350.’’; (a) (b) (f) deur in subartikel (4) paragraaf (a) deur die volgende paragraaf te vervang: ‘‘(a) vir ’n redelike tydperk tydens besigheidsure by ’n ligging in artikel 25(1) beoog;’’; (g) deur subartikel (5) deur die volgende subartikel te vervang: ‘‘(5) Waar ’n maatskappy ’n versoek [ingevolge] soos beoog in subartikel (4)(b) ontvang, moet hy binne [14] 10 sakedae voldoen aan die versoek deur die [persoon wat sodanige versoek gerig het, die] versoeker ’n geleentheid te gee om die betrokke register of rekords te inspekteer of te kopieer.’’; en (h) deur subartikel (6) te skrap. Wysiging van artikel 30 van Wet 71 van 2008, soos gewysig deur artikel 20 van Wet 3 van 2011 - 5 Verify source ↗
Artikel 30 van die Hoofwet word hierby gewysig—
AI-assisted research summary: If the director’s remuneration report is audited under article 30, the company policy or background statement must not be included in that audit.
5. Artikel 30 van die Hoofwet word hierby gewysig— (a) deur in subartikel (4) paragraaf (a) deur die volgende paragraaf te vervang: ‘‘(a) die vergoeding soos omskryf in subartikel (6), en die voordele wat ontvang word deur elke individuele direkteur [of individu wat enige] en voorgeskrewe [amp] beampte in die maatskappy [beklee], wie se name beide genoem moet word;’’; en (b) deur die volgende subartikel na subartikel (4) in te voeg: ‘‘(4A) Waar enige bepalings van die direkteur se vergoedingsverslag, soos in artikel 30B beoog, ingevolge hierdie artikel aan ’n oudit onderwerp word, moet enige maatskappybeleid of die agtergrondstelling van die vergoedingsverslag, nie aan daardie oudit onderwerp word nie.’’. Invoeging van artikels 30A en 30B in Wet 71 van 2008 5 10 15 20 25 30 35 - 6 Verify source ↗
Die volgende artikels word hierby na artikel 30 in die Hoofwet ingevoeg:
AI-assisted research summary: Public companies and state-owned companies must prepare a compensation policy, table it for shareholder approval, and re-approve it every three years.
6. Die volgende artikels word hierby na artikel 30 in die Hoofwet ingevoeg: 40 ‘‘Plig om maatskappy se vergoedingsbeleid voor te berei en voor te lê 30A. (1) Alle openbare maatskappye en maatskappye in staatsbesit, moet ’n vergoedingsbeleid voorberei en vir goedkeuring voorlê soos in subartikel (2) beoog. (2) Die vergoedingsbeleid— (a) moet by die algemene jaarvergadering aan aandeelhouers voorgelê word en goedgekeur word deur ’n gewone besluit en indien dit nie goedgekeur word nie, moet dit by die volgende algemene jaarvergadering of by ’n aandeelhouersvergadering wat vir daardie doel belê is, voorgelê word; (b) bly van krag vir ’n tydperk van drie jaar vanaf goedkeuring en moet elke drie jaar daarna goedgekeur word; en (c) kan gewysig word voor die einde van die driejaartydperk, met dien verstande dat enige wesenlike wysiging slegs in werking gestel kan word nadat dit deur die aandeelhouers by ’n gewone besluit goedgekeur word by ’n aandeelhouersvergadering of by ’n algemene jaarvergadering. 45 50 55 This gazette is also available free online at www.gpwonline.co.za - 8 Verify source ↗
No. 50991
AI-assisted research summary: Public and state-owned companies must prepare an annual remuneration report for the previous financial year and present it at the annual general meeting.
8 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 8 Duty to prepare and present company’s remuneration report 30B. (1) In this section— (a) (b) (c) ‘total remuneration’ means all salary and benefits received including any employer contributions to benefit funds and any short-term or long-term incentives including share options and incentive awards; ‘employee’ means an employee as defined in section 213 of the Labour Relations Act, 1995 (Act No. 66 of 1995); and ‘committee’ means the remuneration committee of the company or any other committee of the company responsible for remuneration matters. 5 10 (2) Each year all public companies and state-owned companies must prepare a remuneration report in respect of the previous financial year for presentation and approval at the annual general meeting. (3) The remuneration report must consist of the following parts: (a) Background statement; (b) a copy of the company’s remuneration policy as contemplated in 15 section 30A(2); and an implementation report containing details of: (c) (i) (ii) (iii) (iv) the total remuneration received by each director and prescribed officer in the company; the total remuneration in respect of the employee with the highest total remuneration; the total remuneration in respect of the employee with the lowest total remuneration in the company; and the average total remuneration of all employees, median remuneration of all employees and the remuneration gap reflecting the ratio between the total remuneration of the top five per cent highest paid employees and the total remunera- tion of the bottom five per cent lowest paid employees of the company. (4) If at the annual general meeting the remuneration report is not (b) approved by ordinary resolution as contemplated in subsection (2)— (a) the committee must, at the next annual general meeting, present an explanation on the manner in which the shareholders’ concerns have been taken into account; and subject to subsection (6), the directors who are not involved in the day-to-day management of the business of the company and who serve on the committee must stand for re-election as members of the committee at the annual general meeting at which the explanation is presented. (5) Subject to subsection (6), if at the annual general meeting in the year immediately following the year contemplated in subsection (4), the remuneration report in respect of the previous financial year is also not approved by ordinary resolution of shareholders— (a) the directors who are not involved in the day-to-day management of the business of the company and who serve on the committee may continue to serve as directors provided they successfully stand for re-election at that annual general meeting; and (b) will not be eligible to serve on the committee for a period of two years thereafter. (6) The provisions of subsections (4)(b), (5)(a) and (b) do not apply to members of the committee who have served for a period of less than 12 months in the year under review.’’. 20 25 30 35 40 45 50 Amendment of section 33 of Act 71 of 2008, as amended by section 23 of Act 3 of 2011 and section 56 of Act 22 of 2022 55 - 7 Verify source ↗
Section 33 of the principal Act is hereby amended by the substitution for subsection
AI-assisted research summary: Every company must file an annual return with the Commission. Public companies and state-owned companies must also prepare a yearly compensation report for shareholder approval, and there are follow-up rules if that report is not approved.
7. Section 33 of the principal Act is hereby amended by the substitution for subsection (1)(a) of the following subsection: ‘‘(1) Every company must file an annual return with the Commission in the prescribed [form with the prescribed fee, and within the prescribed period] This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 STAATSKOERANT, 30 JuliE 2024 9 No. 50991 9 No. 16 van 2024 Plig om maatskappy se vergoedingsverslag voor te berei en voor te lê 30B. (1) In hierdie artikel beteken— (a) (b) inbegrip van aandeelopsies ‘totale vergoeding’ alle salaris en voordele ontvang, met inbegrip van enige werkgewersbydraes aan voordelefondse en enige korttermyn of langtermyn aansporings, met en aansporingsbelonings; ‘werknemer’ ’n werknemer soos beoog in artikel 213 van die Wet op Arbeidsverhoudinge, 1995 (Wet No. 66 van 1995); en ‘komitee’ die vergoedingskomitee van die maatskappy of enige ander komitee van die maatskappy wat vir vergoeding verantwoordelik is. (2) Elke jaar moet alle openbare maatskappye en maatskappye in staatsbesit ’n vergoedingsverlsag ten opsigte van die vorige finansiële jaar voorberei vir voorlegging en goedkeuring by die algemene jaarvergadering. (c) (3) Die vergoedingsverslag moet uit die volgende dele bestaan: (a) Agtergrondstelling; (b) ’n afskrif van die maatskappy se vergoedingsbeleid soos in subartikel 30A(2) beoog; en ’n inwerkingstellingsverslag wat besonderhede bevat van: (c) (i) die totale vergoeding wat elke direkteur en voorgeskrewe beampte in die maatskappy ontvang; (ii) die totale vergoeding ten opsigte van die werknemer met die hoogste totale vergoeding; (iii) die totale vergoeding ten opsigte van die werknemer met die laagste totale vergoeding in die maatskappy; en vergoeding (iv) die gemiddelde totale vergoeding van alle werknemers, mediaan die van vergoedingsgaping wat die verhouding weerspieël tussen die totale vergoeding van die top vyf persent hoogs betaalde werknemers en die totale vergoeding van die onderste vyf persent laags betaalde werknemers van die maatskappy. alle werknemers en (4) Indien die vergoedingsverslag nie by die algemene jaarvergadering by gewone besluit goedgekeur word soos in subartikel (2) beoog nie— (a) moet die komitee, by die volgende algemene jaarvergadering, ver- duidelik hoe die aandeelhouers se bekommernisse in ag geneem is; en (b) behoudens subartikel (6), moet die direkteure wat nie in die daaglikse bestuur van die sake van die maatskappy betrokke is nie en wat op die komitee dien, by die algemene jaarvergadering waar die verduide- liking voorgelê word, staan vir herverkiesing as lede van die komitee. (5) Behoudens subartikel (6), indien, by die algemene jaarvergadering in die jaar wat onmiddellik volg op die jaar in subartikel (4) beoog, die vergoedingsverslag ten opsigte van die vorige finansiële jaar ook nie by gewone besluit van die aandeelhouers goedgekeur word nie— (a) kan die direkteure wat nie by die daaglikse bestuur van die sake van die maatskappy betrokke is nie en wat op die komitee dien, voortgaan om as direkteure te dien, met dien verstande dat hulle suksesvol vir herverkiesing by daardie algemene jaarvergadering staan; en sal vir ’n tydperk van twee jaar daarna nie kwalifiseer om op die komitee te dien nie. (b) (6) Die bepalings van subartikels (4)(b), (5)(a) en (b) is nie van toepassing nie op die lede van die komitee wat in die jaar onder oorsig vir ’n tydperk van minder as 12 maande gedien het.’’. Wysiging van artikel 33 van Wet 71 van 2008, soos gewysig deur artikel 23 van Wet 3 van 2011 en artikel 56 van Wet 22 van 2022 - 7 Verify source ↗
Artikel 33 van die Hoofwet word hierby gewysig deur subartikel (1)(a) deur die
AI-assisted research summary: Every company must file an annual return.
7. Artikel 33 van die Hoofwet word hierby gewysig deur subartikel (1)(a) deur die volgende subartikel te vervang: ‘‘(1) Elke maatskappy moet ’n jaarlikse opgawe [in] op die voorgeskrewe [formaat en met die voorgeskrewe geld en binne die voorgeskrewe tydperk] 5 10 15 20 25 30 35 40 45 50 55 This gazette is also available free online at www.gpwonline.co.za - 10 Verify source ↗
No. 50991
AI-assisted research summary: Some companies must include their latest approved annual financial statements in the annual return.
10 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 10 manner after the end of the anniversary of the date of its incorporation, including in that return— (a) a copy of its [annual financial statements, if it is required to have such statements audited in terms of] latest annual financial statements approved by the board for the public company, state-owned company or any other profit or non-profit company whose public interest score exceeds the limits set out in section 30(2) or the regulations contemplated in section 30(7);’’. 5 Insertion of section 38A in Act 71 of 2008 - 8 Verify source ↗
The following section is hereby inserted in the principal Act after section 38:
AI-assisted research summary: A court may validate an invalid share creation, allotment, or issue if asked by the company or an interested party and if it is just and equitable to do so.
8. The following section is hereby inserted in the principal Act after section 38: 10 ‘‘Validation of irregular creation, allotment or issuing of shares 38A. (1) Where a company purports to create, allot or issue shares by virtue of any provision of this Act, the Memorandum of Incorporation of the company, any other law or otherwise, where the creation, allotment or issuing of those shares is invalid or the terms of creation, allotment or issue are inconsistent with, or not authorised by those provisions, a court may— (a) upon receipt of an application made by the company or by any party who holds an interest in the company; and (b) after satisfying itself that it is just and equitable to do so, make an order validating the creation, allotment or issue of these shares or confirming the terms of the creation, allotment or issue, subject to such conditions as may be imposed by the court. (2) After the payment of all prescribed fees by the company, the shares are deemed to have been validly created, allotted or issued upon the terms of the creation, allotment or issue of the shares and subject to the conditions as may be imposed by the court.’’. 15 20 25 Amendment of section 40 of Act 71 of 2008, as amended by section 28 of Act 3 of 2011 - 9 Verify source ↗
Section 40 of the principal Act is hereby amended—
AI-assisted research summary: Section 40 is amended to replace references to a third party and trust with stakeholder and stakeholder agreement, and it defines those terms.
9. Section 40 of the principal Act is hereby amended— (a) by the substitution in subsection (5)(b) for subparagraph (ii) of the following 30 subparagraph: ‘‘(ii) cause the issued shares to be transferred to a [third party] stakeholder, to be held in [trust] terms of a stakeholder agreement, and later transferred to the subscribing party in accordance with [a trust] the stakeholder agreement.’’; (b) by the substitution in subsection (6) for the words preceding paragraph (a) of the following words: ‘‘(6) Except to the extent that a [trust] stakeholder agreement contemplated in subsection (5)(b) provides otherwise—’’; and (c) by the insertion after subsection (6) of the following subsection: ‘‘(6A) For the purposes of subsections (5) and (6)— (a) (b) ‘stakeholder’ means an independent third party, who has no interest in the company or the subscribing party, who may be in the form of an attorney, notary public or escrow agent; and ‘stakeholder agreement’ means a written contract between the stakeholder and the company.’’. 35 40 45 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 11 11 wyse na die einde van sy finansiële jaar by die Kommissie indien, en by daardie opgawe insluit— (a) ’n kopie van sy [finansiële jaarstate, indien daar ingevolge] jongste finansiële jaarstate wat goedgekeur is deur die raad vir die openbare maatskappy, maatskappy in staatsbesit of enige ander maatskappy met of sonder winsoogmerk waarvan die openbare belang-telling die beperkings oorskry, artikel 30(2) of die regulasies in artikel 30(7) beoog [vereis word dat die maatskappy sodanige state moet opstel];’’. 5 Invoeging van artikel 38A in Wet 71 van 2008 - 8 Verify source ↗
Die volgende artikel word hierby na artikel 38 in die Hoofwet ingevoeg:
AI-assisted research summary: A court may ratify or confirm an invalid or unauthorized share creation, allotment, or issue if it is fair and equitable to do so.
8. Die volgende artikel word hierby na artikel 38 in die Hoofwet ingevoeg: 10 ‘‘Bekragtiging van onreëlmatige skepping, toekenning of uitreiking van aandele 38A. (1) Waar ’n maatskappy voorgee om aandele te skep, toe te ken of uit te reik uit hoofde van enige bepaling van hierdie Wet, die Akte van Oprigting van die maatskappy, enige ander wet of andersins, waar die skepping, toekenning of uitreiking van daardie aandele ongeldig is of die bepalings van skepping, toekenning of uitreiking teenstrydig is met, of nie deur daardie bepalings gemagtig is nie, kan ’n hof— (a) by ontvangs van ’n aansoek gedoen deur die maatskappy of deur enige party wat ’n belang in die maatskappy hou; en (b) nadat die hof oortuig is dat dit regverdig en billik is om dit te doen, ’n bevel gee wat die skepping, toekenning of uitreiking van hierdie aandele bekragtig of die bepalings van die skepping, toekenning of uitreiking bevestig, onderworpe aan die voorwaardes wat deur die hof opgelê kan word. (2) Nadat die maatskappy alle voorgeskrewe gelde betaal het, word die skepping, toekenning of uitreiking van die aandele geag geldig te wees op die voorwaardes van die skepping, toekenning of uitreiking van die aandele en onderworpe aan die voorwaardes wat deur die hof opgelê kan word.’’. 15 20 25 Wysiging van artikel 40 van Wet 71 van 2008, soos gewysig deur artikel 28 van Wet 3 van 2011 30 - 9 Verify source ↗
Artikel 40 van die Hoofwet word hierby gewysig—
AI-assisted research summary: This section inserts definitions for “belanghebbende” and “belanghebbende-ooreenkoms” for use in subsections (5) and (6).
9. Artikel 40 van die Hoofwet word hierby gewysig— (a) deur in subartikel (5)(b) subparagraaf (ii) deur die volgende subparagraaf te vervang: ‘‘(ii) die uitgereikte aandele aan ’n [derde party] belanghebbende laat uitreik, om [in trust] ingevolge ’n belanghebbende-ooreenkoms gehou te word en later in ooreenstemming met die voorwaardes van [’n trustooreenkoms] die belanghebbende-ooreenkoms na die inskrywende party oorgedra te word.’’; 35 (b) deur in subartikel (6) die woorde wat paragraaf (a) voorafgaan deur die 40 volgende woorde te vervang: ‘‘(6) Buiten in die mate wat ’n [trustooreenkoms] belanghebbende- ooreenkoms beoog in subartikel (5)(b) anders bepaal—’’; en (c) deur die volgende subartikel na subartikel (6) in te voeg: ‘‘(6A) By die toepassing van subartikels (5) en (6) beteken— 45 (a) (b) ‘belanghebbende’ ’n onafhanklike derde party, wat geen belang in die maatskappy of die inskrywende party het nie, wat in die vorm van ’n prokureur, notaris of borgagent kan wees; en ‘belanghebbende-ooreenkoms’ ’n skriftelike kontrak tussen die belanghebbende en die maatskappy.’’. 50 This gazette is also available free online at www.gpwonline.co.za - 12 Verify source ↗
No. 50991
AI-assisted research summary: This section is a heading for an amendment to section 45 of the Companies Act, 2008.
12 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 12 Amendment of section 45 of Act 71 of 2008, as amended by section 31 of Act 3 of 2011 - 10 Verify source ↗
Section 45 of the principal Act is hereby amended—
AI-assisted research summary: Section 45 is amended so that it is titled “Financial assistance,” and the section does not apply to a company giving financial assistance to its subsidiaries.
10. Section 45 of the principal Act is hereby amended— (a) by the substitution for the heading of the following heading: ‘‘[Loans or other financial assistance to directors] Financial assis- tance’’; and 5 (b) by the insertion after subsection (2) of the following subsection: ‘‘(2A) The provisions of this section do not apply to the giving by a company of financial assistance to or for the benefit of its subsidiaries.’’. Amendment of section 48 of Act 71 of 2008, as amended by section 32 of Act 3 of 2011 10 - 11 Verify source ↗
Section 48 of the principal Act is hereby amended by the substitution for
AI-assisted research summary: A board decision on certain share acquisitions must be approved by a special resolution of the company’s shareholders, unless the acquisition falls within stated exceptions.
11. Section 48 of the principal Act is hereby amended by the substitution for subsection (8) of the following subsection: ‘‘(8) A decision by the board of a company, contemplated in subsection (2)(a), (b) must be approved by a special resolution of the shareholders of the company— (a) if any shares are to be acquired by the company from— (i) a director of the company; (ii) a prescribed officer of the company; or (iii) a person related to a director of the company or a prescribed officer; or if it entails the acquisition of shares in the company, other than shares acquired as a result of— (i) a pro rata offer made by the company to all shareholders of the company or a particular class of shareholders of the company, notwithstanding that the pro rata offer made to all shareholders may also include shareholders who are one or more of the persons referred to in paragraph (a); or transactions effected on a recognised stock exchange on which the shares of the company are traded, being a licenced exchange as contemplated in the Financial Markets Act, 2012 (Act No. 19 of 2012).’’. (ii) 15 20 25 Amendment of section 61 of Act 71 of 2008, as amended by section 39 of Act 3 of 2011 30 - 12 Verify source ↗
Section 61 of the principal Act is hereby amended—
AI-assisted research summary: This section amends section 61 of the principal Act by changing the listed subparagraphs and adding references to a social and ethics committee report and a remuneration report.
12. Section 61 of the principal Act is hereby amended— (a) by the deletion in subsection (8)(a) of the word ‘‘and’’ at the end of subparagraph (ii) and the addition of the following subparagraphs, respec- tively: ‘‘(iv) a social and ethics committee report; and (v) a remuneration report;’’; and 35 (b) by the deletion in subsection (8)(c) of the word ‘‘and’’ at the end of subparagraph (i) and by the addition of the following subparagraph: ‘‘(iii) social and ethics committee; and’’. Amendment of section 72 of Act 71 of 2008, as amended by section 47 of Act 3 of 2011 40 - 13 Verify source ↗
Section 72 of the principal Act is hereby amended—
AI-assisted research summary: A qualifying company may ask the Tribunal for an exemption from appointing a social and ethics committee, but it must first publish its intention to apply and submit the application in the prescribed manner and form.
13. Section 72 of the principal Act is hereby amended— (a) by the substitution for subsection (5) of the following subsection: ‘‘(5) A company that falls within the category of companies that are required in terms of this section and the regulations to appoint a social and ethics committee may apply to the Tribunal for an exemption from that requirement in the following manner: (a) The company must publish the intention to lodge an application for exemption with the Tribunal in the prescribed manner; and (b) apply to the Tribunal, in the prescribed manner and form, for an exemption from the requirement, and the Tribunal may grant such exemption if it is satisfied that— 45 50 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 13 13 Wysiging van artikel 45 van Wet 71 van 2008, soos gewysig deur artikel 31 van Wet 3 van 2011 - 10 Verify source ↗
Artikel 45 van die Hoofwet word hierby gewysig—
AI-assisted research summary: This amendment changes the heading of Article 45 and says that Article 45 does not apply when a company gives financial assistance to its subsidiaries or for their benefit.
10. Artikel 45 van die Hoofwet word hierby gewysig— (a) deur die opskrif deur die volgende opskrif te vervang: ‘‘[Lenings of ander finansiële bystand aan direkteure] Finansiële bystand’’; en 5 (b) deur die volgende subartikel na subartikel (2) in te voeg: ‘‘(2A) Die bepalings van hierdie artikel is nie van toepassing op die gee deur ’n maatskappy van finansiële bystand aan, of tot voordeel van, die maatskappy se filiale nie.’’. 10 Wysiging van artikel 48 van Wet 71 van 2008, soos gewysig deur artikel 32 van Wet 3 of 2011 - 11 Verify source ↗
Artikel 48 van die Hoofwet word hierby gewysig deur subartikel (8) deur die
AI-assisted research summary: A company board decision in the stated circumstances must be approved by a special resolution of the shareholders.
11. Artikel 48 van die Hoofwet word hierby gewysig deur subartikel (8) deur die volgende subartikel te vervang: ‘‘(8) ’n Besluit deur die raad van ’n maatskappy, soos beoog in subartikel (2)(a), moet goedgekeur word by spesiale besluit van die aandeelhouers van die maatskappy— (a) indien enige aandele deur die maatskappy verkry gaan word van— (i) (ii) (iii) ’n direkteur van die maatskappy; ’n voorgeskrewe beampte van die maatskappy; of ’n persoon verwant aan ’n direkteur van die maatskappy of ’n voorgeskrewe beampte; of (b) indien dit die verkryging van aandele in die maatskappy behels, behalwe aandele verkry as gevolg van— (i) ’n pro rata-aanbod gemaak deur die maatskappy aan alle aandeelhouers van die maatskappy of ’n bepaalde klas aandeelhouers van die maatskappy, ten spyte daarvan dat die pro rata-aanbod gemaak aan alle aandeelhouers ook aandeelhouers kan insluit wat een of meer van die persone is waarna in paragraaf (a) verwys word; of transaksies bewerkstellig op ’n erkende aandelebeurs waarop die aandele van die maatskappy verhandel word, synde ’n gelisensieerde beurs soos in die ‘Financial Markets Act, 2012’ (Wet No. 19 van 2012), beoog.’’. (ii) Wysiging van artikel 61 van Wet 71 van 2008, soos gewysig deur artikel 39 van Wet 3 van 2011 - 12 Verify source ↗
Artikel 61 van die Hoofwet word hierby gewysig—
AI-assisted research summary: This section amends Article 61 of the principal Act by updating the listed documents and committee references in subarticle 8.
12. Artikel 61 van die Hoofwet word hierby gewysig— (a) deur in subartikel (8)(a) die woord ‘‘en’’ aan die einde van subparagraaf (ii) te skrap en die volgende subparagrawe onderskeidelik by te voeg: ‘‘(iv) ’n verslag van die maatskaplike en etiekkomitee; en (v) ’n vergoedingsverslag;’’; en 15 20 25 30 35 (b) deur in subartikel (8)(c) die woord ‘‘en’’ aan die einde van subparagraaf (i) te 40 skrap en die volgende subparagraaf by te voeg: ‘‘(iii) maatskaplike en etiekkomitee; en’’. Wysiging van artikel 72 van Wet 71 van 2008, soos gewysig deur artikel 47 van Wet 3 van 2011 - 13 Verify source ↗
Artikel 72 van die Hoofwet word hierby gewysig—
AI-assisted research summary: A qualifying company may apply to the Tribunal for exemption from appointing a social and ethics committee, but it must first publish its intention to apply.
13. Artikel 72 van die Hoofwet word hierby gewysig— (a) deur subartikel (5) deur die volgende subartikel te vervang: ‘‘(5) ’n Maatskappy wat binne die kategorie maatskappye val waarvan ingevolge hierdie artikel en die regulasies vereis word om ’n maatskaplike en etiekkomitee aan te stel, kan op die volgende wyse by die Tribunaal aansoek doen om vrystelling van daardie vereiste: (a) Die maatskappy moet die voorneme om ’n aansoek om vrystelling by die Tribunaal in te dien, op die voorgeskrewe wyse publiseer; en (b) op die voorgeskrewe wyse en vorm by die Tribunaal aansoek doen om ’n vrystelling van die vereiste, en die Tribunaal kan sodanige vrystelling toestaan indien die Tribunaal oortuig is dat— 45 50 55 This gazette is also available free online at www.gpwonline.co.za - 14 Verify source ↗
No. 50991
AI-assisted research summary: This section sets rules for when a company must have a social and ethics committee, how it is composed, and when it must be appointed or elected.
14 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 14 (i) (ii) the company has a formal mechanism within its structures, which substantially performs the functions of the social and ethics committee in terms of this section and the regulations; or it is not reasonably necessary, having regard to the nature and extent of the structures and activities of the company and the public interest, to require the company to have a social and ethics committee;’’. 5 (b) by the insertion after subsection (6) of the following subsections: ‘‘(6A) A social and ethics committee is not required where— 10 (a) (b) the company is a subsidiary of another company that has a social and ethics committee, and the existing social and ethics committee will perform the functions required by this section on behalf of the subsidiary company; or the company has been exempted by the Tribunal in terms of subsections (5) and (6). (6B) The Minister may prescribe the minimum qualifications, skills and experience requirements for members of the social and ethics committee that he or she may consider necessary to ensure that any such committee comprises persons with adequate relevant knowledge and experience to equip the committee to perform its functions.’’; (c) by the insertion after subsection (7) of the following subsection: ‘‘(7A) The social and ethics committee of a company must comprise not less than three members: Provided that— (a) (b) in the case of a public company and state-owned company, the majority of the members must be directors who are not involved in the day-to-day management of the business of the company and must not have been so involved at any time during the previous three financial years; and in the case of any other company, not being a public company or state-owned company, the members must consist of not less than three directors or prescribed officers, at least one of whom must be a director, who is not involved in the day-to-day management of the business of the company and must not have been so involved within the previous three financial years.’’; (d) by the insertion after subsection (8) of the following subsection: ‘‘(8A) A board of a company that is required to have a social and ethics committee that— (a) exists on the effective date, must appoint the first members of the committee within 12 months after— (i) (ii) the effective date; or the determination by the Tribunal of the company’s application, if any, and the Tribunal has not granted the company an exemption; and 15 20 25 30 35 40 (b) is incorporated on or after the effective date, must constitute a social and ethics committee within 12 months after— 45 (i) (ii) in the case of a public its date of incorporation, company or state-owned company; or in the case of any other company, not being a public company or state-owned company, the date the com- pany first met the criteria determined in terms of subsection (4)(a).’’; (e) by the insertion after subsection (9) of the following subsection: ‘‘(9A) Thereafter— (a) at each annual general meeting of a public company or state-owned company, such company must elect a social and ethics committee; or (b) a social and ethics committee must be appointed annually by the board of the company where such company is any other 50 55 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 15 15 (i) die maatskappy ’n formele meganisme binne sy strukture het, wat wesenlik die werksaamhede van die maatskaplike en etiekkomitee ingevolge hierdie artikel en die regulasies verrig; of (ii) dit nie redelikerwys nodig is, met inagneming van die aard en omvang van die struktuur en aktiwiteite van die maatskappy en die openbare belang, om te vereis dat die maatskappy ’n maatskaplike en etiekkomitee moet hê nie;’’; 5 (b) deur die volgende subartikels na subartikel (6) in te voeg: ‘‘(6A) ’n Maatskaplike en etiekkomitee word nie vereis waar— 10 (a) die maatskappy ’n filiaal van ’n ander maatskappy is wat ’n maatskaplike en etiekkomitee het nie, en die bestaande maat- skaplike en etiekkomitee sal namens die filiaalmaatskappy die werksaamhede verrig wat deur hierdie artikel vereis word; of (b) die maatskappy ingevolge subartikels (5) en (6) deur die Tribunaal vrygestel is. (6B) Die Minister kan die minimum kwalifikasies, vaardighede en ondervindingsvereistes vir lede van die maatskaplike en etiekkomitee voorskryf wat hy of sy nodig mag ag om te verseker dat enige sodanige komitee uit persone met voldoende toepaslike kennis en ervaring bestaan om die komitee toe te rus om die komitee se werksaamhede te verrig.’’; (c) deur die volgende subartikel na subartikel (7) in te voeg: ‘‘(7A) Die maatskaplike en etiekkomitee van ’n maatskappy moet uit nie minder as drie lede bestaan nie: Met dien verstande dat— (a) (b) in die geval van ’n openbare maatskappy en maatskappy in staatsbesit, moet die meerderheid van die lede direkteure wees wat nie betrokke is by die daaglikse bestuur van die sake van die maatskappy nie en moes nie te eniger tyd gedurende die vorige drie finansiële jare aldus betrokke gewees het nie; en in die geval van enige ander maatskappy, wat nie ’n openbare maatskappy of maatskappy in staatsbesit is nie, moet die lede bestaan uit nie minder nie as drie direkteure of voorgeskrewe beamptes, van wie ten minste een ’n direkteur moet wees, wat nie betrokke is by die daaglikse bestuur van die sake van die maatskappy nie en binne die vorige drie finansiële jare nie aldus betrokke moes gewees het nie.’’; 15 20 25 30 35 (d) deur die volgende subartikel na subartikel (8) in te voeg: ‘‘(8A) ’n Raad van ’n maatskappy waarvan vereis word om ’n maat- skaplike en etiekkomitee te hê, wat— (a) op die inwerkingtredingsdatum bestaan, moet die eerste lede 40 van die komitee aanstel binne 12 maande na— (i) die inwerkingtredingsdatum; of (ii) die bepaling deur die Tribunaal van die maatskappy se indien enige, en die Tribunaal nie ’n aansoek, vrystelling aan die maatskappy verleen het nie; en (b) op of na die inwerkingtredingsdatum ingelyf word, moet ’n maatskaplike en etiekkomitee saamstel binne 12 maande na— (i) die datum van inlywing, in die geval van ’n openbare (ii) maatskappy of maatskappy in staatsbesit; of in die geval van enige ander maatskappy, wat nie ’n openbare maatskappy of maatskappy in staatsbesit is nie, die datum waarop die maatskappy die eerste keer voldoen het aan die maatstawwe ingevolge sub- artikel (4)(a) bepaal.’’; (e) deur die volgende subartikel na subartikel (9) in te voeg: ‘‘(9A) Daarna— (a) moet sodanige maatskappy by elke algemene jaarvergadering van ’n openbare maatskappy of maatskappy in staatsbesit ’n maatskaplike en etiekkomitee verkies; of (b) moet ’n maatskaplike en etiekkomitee jaarliks deur die raad van die maatskappy aangestel word waar sodanige maat- skappy enige ander maatskappy is wat nie ’n openbare 45 50 55 60 This gazette is also available free online at www.gpwonline.co.za - 16 Verify source ↗
No. 50991
AI-assisted research summary: If a vacancy arises in a social and ethics committee, the board must appoint someone within 40 days. The committee must also prepare a report for shareholders and present it at the required meeting or by the stated resolution process.
16 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 16 company, not being a public company or state-owned com- pany, required to have a social and ethics committee.’’; and (f) by the insertion after subsection (10) of the following subsections: ‘‘(11) Where a vacancy arises in the social and ethics committee, the board must appoint a person within 40 days after the vacancy arises, to fill such vacancy. (12)(a) A social and ethics committee must prepare for shareholders a social and ethics committee report in the prescribed manner and form describing how the committee performed its functions in terms of this Act and the regulations. (b) The social and ethics committee must present its report— (i) (ii) in the case of a public company or state-owned company, at its next annual general meeting; or in the case of any other company, not being a public company or state-owned company, annually at a shareholders meeting or with a resolution as contemplated in section 60(1).’’. 5 10 15 Amendment of section 90 of Act 71 of 2008, as amended by section 55 of Act 3 of 2011 - 14 Verify source ↗
Section 90 of the principal Act is hereby amended—
AI-assisted research summary: Some companies must appoint an auditor at the shareholders’ meeting when the audit requirement first applies, and then annually at shareholders’ meetings.
14. Section 90 of the principal Act is hereby amended— (a) by the substitution for subsection (1A) of the following subsection: 20 ‘‘(1A) A company referred to in section 84(1)(c)(i), or a company that is required only in terms of its Memorandum of Incorporation to have its annual financial statements audited as contemplated in sections 34(2) and 84(1)(c)(ii), must appoint an auditor [— (a) in accordance with subsection (1), if the requirement to have its annual financial statements audited applies to that company when it is incorporated; or (b) at the annual general meeting at which the requirement first applies to the company, and each annual general meeting thereafter.] at a shareholders meeting at which the requirement first applies to the company, and thereafter annually at the shareholders meeting.’’; and (b) by the substitution in subsection (2)(b) for subparagraph (v) of the following subparagraph: ‘‘(v) a person who, at any time during the [five] two financial years immediately preceding the date of appointment, was a person contem- plated in any of subparagraphs (i) to (iv); or’’. 25 30 35 Amendment of section 95 of Act 71 of 2008, as amended by section 58 of Act 3 of 2011 - 15 Verify source ↗
Section 95 of the principal Act is hereby amended by the substitution in subsection
AI-assisted research summary: This section amends section 95 of the principal Act by replacing wording about subparagraph (i) to state that shares in the company may be issued or purchased.
15. Section 95 of the principal Act is hereby amended by the substitution in subsection 40 (1)(c) for subparagraph (i) of the following subparagraph: ‘‘(i) by means of the issue or purchase of shares in the company; or’’. Amendment of section 118 of Act 71 of 2008, as amended by section 73 of Act 3 of 2011 - 16 Verify source ↗
Section 118 of the principal Act is hereby amended—
AI-assisted research summary: The board must fill a social and ethics committee vacancy within 40 days. The committee must prepare a report for shareholders and present it at the required meeting or resolution. The Panel may exempt a private-company transaction under section 119(6).
16. Section 118 of the principal Act is hereby amended— (a) by the substitution in subsection (1)(c) for subparagraph (i) of the following subparagraph: ‘‘(i) it has 10 or more shareholders with a direct or indirect share- holding in the company and meets or exceeds the financial threshold of annual turnover or asset value determined in terms of subsection (2): Provided that the Panel may exempt any particular transaction affecting a private company in terms of section 119(6);’’; and 45 50 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 17 17 maatskappy of maatskappy in staatsbesit maatskaplike en etiekkomitee moet hê nie.’’; en is wat ’n (f) deur die volgende subartikels na subartikel (10) in te voeg: ‘‘(11) Waar ’n vakature in die maatskaplike en etiekkomitee ontstaan, moet die raad ’n persoon binne 40 dae nadat die vakature ontstaan het, aanstel om sodanige vakature te vul. (12)(a) ’n Maatskaplike en etiekkomitee moet vir aandeelhouers ’n maatskaplike en etiekkomiteeverslag op die voorgeskrewe wyse en vorm opstel wat beskryf hoe die komitee die komitee se werksaamhede ingevolge hierdie Wet en die regulasies verrig. (b) Die maatskaplike en etiekkomitee moet sy verslag voorlê— (i) (ii) in die geval van ’n openbare maatskappy of maatskappy in staatsbesit, op die komitee algemene jaarvergadering; of in die geval van enige ander maatskappy, wat nie ’n openbare maatskappy of maatskappy in staatsbesit is nie, jaarliks by ’n aandeelhouersvergadering of by ’n besluit soos in artikel 60(1) beoog.’’. se volgende 5 10 15 Wysiging van artikel 90 van Wet 71 van 2008, soos gewysig deur artikel 55 van Wet 3 van 2011 20 - 14 Verify source ↗
Artikel 90 van die Hoofwet word hierby gewysig—
AI-assisted research summary: Certain companies must appoint an auditor at the shareholders’ meeting when the audit requirement first applies, and then every year afterward.
14. Artikel 90 van die Hoofwet word hierby gewysig— (a) deur subartikel (1A) deur die volgende subartikel te vervang: ‘‘(1A) ’n Maatskappy in artikel 84(1)(c)(i) bedoel, of ’n maatskappy waarvan slegs ingevolge die maatskappy se Akte van Oprigting vereis word om sy finansiële jaarstate te laat ouditeer soos beoog in artikels 34(2) en 84(1)(c)(ii), moet ’n ouditeur aanstel[— (a) ooreenkomstig subartikel (1), indien die vereiste om finansiële jaarstate te laat ouditeer op die maatskappy van toepassing is wanneer hy geïnkorporeer word; of (b) by die algemene jaarvergadering waarby die vereiste vir die eerste keer op die maatskappy van toepassing is, en elke algemene jaarvergadering daarna] by ’n aandeelhouersverga- dering waar die vereiste die eerste keer op die maatskappy van toepassing is, en daarna jaarliks by die aandeelhouersverga- dering.’’; en (b) deur in subartikel (2)(b) subparagraaf (v) deur die volgende subparagraaf te vervang: ‘‘(v) ’n persoon wees wat op enige tydstip gedurende die [vyf] twee finansiële jaar onmiddellik voor die aanstellingsdatum ’n persoon was soos beoog in enige van subparagrawe (i) tot (iv) hierbo nie; of’’. 25 30 35 40 Wysiging van artikel 95 van Wet 71 van 2008, soos gewysig deur artikel 58 van Wet 3 van 2011 - 15 Verify source ↗
Artikel 95 van die Hoofwet word hierby gewysig deur in subartikel (1)(c)
AI-assisted research summary: This provision amends Article 95 of the Main Act by replacing subparagraph (i) in subarticle (1)(c) with wording about issuing or buying shares in the company.
15. Artikel 95 van die Hoofwet word hierby gewysig deur in subartikel (1)(c) subparagraaf (i) deur die volgende subparagraaf te vervang: ‘‘(i) deur middel van ’n uitgifte of aankoop van aandele in die maatskappy; of’’. 45 Wysiging van artikel 118 van Wet 71 van 2008, soos gewysig deur artikel 73 van Wet 3 van 2011 - 16 Verify source ↗
Artikel 118 van die Hoofwet word hierby gewysig—
AI-assisted research summary: A company falls within the amended rule when it has 10 or more shareholders with direct or indirect shareholding and meets the financial threshold for annual turnover or asset value under subarticle (2).
16. Artikel 118 van die Hoofwet word hierby gewysig— (a) deur in subartikel (1)(c) subparagraaf (i) deur die volgende subparagraaf te vervang: ‘‘(i) die maatskappy 10 of meer aandeelhouers met ’n direkte of indirekte aandeelhouding in die maatskappy het en aan die finansiële drempel van jaarlikse omset of batewaarde soos bepaal ingevolge subartikel (2) voldoen of dit oorskry: Met dien verstande dat die Paneel enige spesifieke transaksie wat ’n privaat maatskappy raak ingevolge artikel 119(6) kan vrystel;’’; en 50 55 This gazette is also available free online at www.gpwonline.co.za - 18 Verify source ↗
No. 50991
AI-assisted research summary: The Minister must set financial thresholds, after consulting the Panel, to identify private companies covered by Part B and Part C.
18 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 18 (b) by the substitution for subsection (2) of the following subsection: ‘‘(2) The Minister, in consultation with the Panel, must determine the financial thresholds based on the annual turnover or asset value of the company in the Republic, in general or in relation to specific industries, for purposes of determining or identifying the private companies to which the provisions of Part B and Part C of this Chapter apply.’’. Amendment of section 135 of Act 71 of 2008, as amended by section 86 of Act 3 of 2011 - 17 Verify source ↗
Section 135 of the principal Act is hereby amended—
AI-assisted research summary: This section changes how certain claims are ranked in business rescue proceedings, including claims tied to unpaid landlord amounts for public utility services.
17. Section 135 of the principal Act is hereby amended— (a) by the insertion after subsection (1) of the following subsection: ‘‘(1A) To the extent that any amounts due to the landlord, subject to a contract by the company which is placed in business rescue proceedings, are not paid to the landlord during business rescue proceedings, in respect of and not exceeding the aggregate for all public utility services, such as, the company’s share of rates and taxes, electricity, water, sanitation and sewer charges paid by the landlord to third parties during the business rescue period referred to in this section, is regarded as post-commencement financing and will be paid as contemplated in subsection (1).’’; and 5 10 15 (b) by the substitution for subsection (3)(a) of the following subsection: 20 ‘‘After payment of the practitioner’s remuneration and expenses referred to in section 143, post-commencement financing, and other claims arising out of the costs of the business rescue proceedings, all claims contemplated— (a) in subsection (1) will be treated equally, but will have preference over— 25 (i) (ii) all claims contemplated in subsection (2), irrespective of whether or not they are secured; and all unsecured claims against the company[; or], in subsection (1A) will rank below the claims contemplated in subsection (1), but ahead of all the secured and unsecured claims against the company; and’’. 30 Amendment of section 160 of Act 71 of 2008, as amended by section 99 of Act 3 of 2011 - 18 Verify source ↗
Section 160 of the principal Act is hereby amended by the insertion after
AI-assisted research summary: If the Companies Tribunal issues an administrative order, that order must state the company’s compliance date. If the company misses the deadline, the applicant may ask the Commission to replace the respondent’s name with its registration number and a specified company suffix.
18. Section 160 of the principal Act is hereby amended by the insertion after 35 subsection (4) of the following subsection: ‘‘(5)(a) Where the Companies Tribunal has issued an administrative order in terms of subsection (3)(b)(ii), the administrative order must stipulate the date for compliance by the company. (b) Where the company fails to change its name within the determined period in terms of the administrative order of the Companies Tribunal, the applicant may approach the Commission, after the expiration of the determined period, to substitute the name of the respondent with its company’s registration number followed by ‘Inc’, ‘(Pty) Ltd’, ‘Limited’ or ‘SOC Ltd’, as the case may be.’’. 40 Amendment of section 166 of Act 71 of 2008, as amended by section 105 of Act 3 of 2011 45 - 19 Verify source ↗
Section 166 of the principal Act is hereby amended—
AI-assisted research summary: The Minister must set financial thresholds, in consultation with the Panel, for identifying private companies covered by Part B and Part C. A person entitled to seek relief or complain under the Act may instead send the matter to mediation, conciliation, or arbitration.
19. Section 166 of the principal Act is hereby amended— (a) by the substitution for subsection (1) of the following subsection: ‘‘(1) As an alternative to applying for relief to a court, or filing a complaint with the Commission in terms of Part D, a person who would be entitled to apply for relief, or file a complaint in terms of this Act, may refer a matter that could be the subject of such an application or complaint for resolution by mediation, conciliation or arbitration to[— 50 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 19 19 (b) deur subartikel (2) deur die volgende subartikel te vervang: ‘‘(2) Die Minister moet, in oorleg met die Paneel, die finansiële drempels bepaal op grond van die jaarlikse omset of batewaarde van die maatskappy in die Republiek, in die algemeen of met betrekking tot spesifieke bedrywe, vir doeleindes van die bepaling of identifisering van die privaat maatskappye waarop die bepalings van Deel B en Deel C van hierdie Hoofstuk van toepassing is.’’. Wysiging van artikel 135 van Wet 71 van 2008, soos gewysig deur artikel 86 van Wet 3 van 2011 - 17 Verify source ↗
Artikel 135 van die Hoofwet word hierby gewysig—
AI-assisted research summary: Some landlord-paid utility-related amounts in business rescue are treated as post-commencement finance and paid accordingly; related claim-ranking rules are also adjusted.
17. Artikel 135 van die Hoofwet word hierby gewysig— (a) deur die volgende subartikel na subartikel (1) in te voeg: ‘‘(1A) In die mate dat enige bedrae verskuldig aan die verhuurder, onderhewig aan ’n kontrak deur die maatskappy wat in ondernemingred- dingsverrigtinge geplaas word, nie aan die verhuurder betaal word tydens ondernemingreddingsverrigtinge nie, ten opsigte van en minder as die totaal vir alle openbare nutsdienste, soos die maatskappy se in tariewe en belasting, elektrisiteit-, water-, sanitasie- en aandeel rioolheffings wat deur die verhuurder aan derde partye betaal is gedurende die ondernemingsreddingstydperk waarna in hierdie artikel verwys word, word as na-aanvangsfinansiering beskou en sal betaal word soos in subartikel (1) beoog.’’; en (b) deur subartikel (3)(a) deur die volgende subartikel te vervang: ‘‘Na betaling van die praktisyn se vergoeding en koste bedoel in artikel 143, na-aanvangsfinansiering en ander eise voortspruitend uit die uitgawes van die ondernemingreddingsverrigtinge, sal alle eise beoog— (a) in subartikel (1) dieselfde behandel word, maar voorkeur geniet bo— (i) (ii) alle eise beoog in subartikel (2), ongeag of hulle gesekureer is al dan nie; en alle ongesekureerde eise teen die maatskappy[; of], in subartikel (1A) sal laer op die ranglys wees as die eise in subartikel (1) beoog, maar bo al die gesekureerde en ongeseku- reerde eise teen die maatskappy; en’’. 5 10 15 20 25 30 Wysiging van artikel 160 van Wet 71 van 2008, soos gewysig deur artikel 99 van Wet 3 van 2011 35 - 18 Verify source ↗
Artikel 160 van die Hoofwet word hierby gewysig deur die volgende subartikel by
AI-assisted research summary: If the Company Tribunal issues an administrative order, that order must set a compliance date. If the company does not change its name in time, the applicant may go to the Commission after the deadline to request a replacement name format.
18. Artikel 160 van die Hoofwet word hierby gewysig deur die volgende subartikel by te voeg: ‘‘(5)(a) Waar die Maatskappytribunaal ’n administratiewe bevel ingevolge subartikel (3)(b)(ii) uitgereik het, moet die administratiewe bevel die datum vir voldoening deur die maatskappy bepaal. (b) Waar die maatskappy versuim om sy naam binne die bepaalde tydperk ingevolge die administratiewe bevel van die Maatskappytribunaal te verander, kan die aansoeker die Kommissie nader, na die verstryking van die vasgestelde tydperk, om die naam van die respondent te vervang met die maatskappyregi- strasienommer gevolg deur ‘Geïnk’, ‘(Edms) Bpk’, ‘Beperk’ of ‘MSB Bpk’, na gelang van die geval.’’. Wysiging van artikel 166 van Wet 71 van 2008, soos gewysig deur artikel 105 van Wet 3 van 2011 - 19 Verify source ↗
Artikel 166 van die Hoofwet word hierby gewysig—
AI-assisted research summary: A person entitled to seek relief or lodge a complaint may instead refer the matter to mediation, conciliation, or arbitration.
19. Artikel 166 van die Hoofwet word hierby gewysig— (a) deur subartikel (1) deur die volgende subartikel te vervang: ‘‘(1) As ’n alternatief vir ’n aansoek om verligting by ’n hof, of die indiening van ’n klagte by die Kommissie kragtens Deel D, kan ’n persoon wat kragtens hierdie Wet daarop geregtig sou wees om verligting aansoek te doen, of ’n klagte in te dien, ’n aangeleentheid wat die onderwerp van sodanige aansoek of klagte sou kon wees, verwys vir oplossing deur bemiddeling, konsiliasie of arbitrasie na[— 40 45 50 55 This gazette is also available free online at www.gpwonline.co.za - 20 Verify source ↗
No. 50991
AI-assisted research summary: If mediation or conciliation fails, the Companies Tribunal must issue a certificate of non-resolution. The affected person may then refer the matter to arbitration, a party may object to the same member hearing the arbitration, and the Tribunal must appoint a different member if there is an objection.
20 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 20 (a)] the Companies Tribunal[; (b) an accredited entity, as defined in subsection (3); or (c) any other person].’’; (b) by the substitution for subsection (2) of the following subsection: ‘‘(2) If the Companies Tribunal,[or an accredited entity,] to whom a matter is referred for [alternative dispute resolution] mediation or conciliation, concludes that either party to the conciliation[,] or mediation [or arbitration] is not participating in that process in good faith, or that there is no reasonable probability of the parties resolving their dispute through that process, the Companies Tribunal [or accredited entity] must issue a certificate of non-resolution in the prescribed form [stating that the process has failed].’’; (c) by the insertion after subsection (2) of the following subsection: ‘‘(2A)(a) Where the Companies Tribunal has issued a certificate of non-resolution stating that the mediation or conciliation process in terms of this Act has failed, the affected person may refer the matter further to the Companies Tribunal for arbitration. (b) A party who wants to object to the arbitration also being conducted by a member of the Companies Tribunal who had attempted to resolve the matter through mediation or conciliation may do so by filing an objection in that regard with the Companies Tribunal. (c) When the Companies Tribunal receives an objection it must appoint another member to substitute the member in terms of whom the objection was filed. 5 10 15 20 (d) In the event of arbitration, the arbitrator’s award is final and 25 binding on the parties.’’; and (d) by the deletion of subsections (3), (4) and (5). Amendment of section 167 of Act 71 of 2008 - 20 Verify source ↗
Section 167 of the principal Act is hereby amended by the substitution in
AI-assisted research summary: This section amends section 167 of the principal Act and refers to the Companies Tribunal or an accredited entity resolving disputes under the Part.
20. Section 167 of the principal Act is hereby amended by the substitution in subsection (1) for the words preceding paragraph (a) of the following words: 30 ‘‘If the Companies Tribunal [, or an entity accredited in terms of section 166,] has resolved, or assisted parties in resolving, a dispute in terms of this Part, the Tribunal [or accredited entity] may—’’. Amendment of section 194 of Act 71 of 2008, as amended by section 112 of Act 3 of 2011 35 - 21 Verify source ↗
Section 194 of the principal Act is hereby amended by the insertion after
AI-assisted research summary: This section gives the Tribunal chairperson responsibility for Tribunal administration and financial oversight, lets the chairperson appoint a Chief Operating Officer and senior managers, and sets the process for non-resolution certificates, objections, and arbitration.
21. Section 194 of the principal Act is hereby amended by the insertion after subsection (1) of the following subsection: ‘‘(1A)(a) The chairperson of the Tribunal is the accounting authority of the Tribunal and is responsible for— (i) (ii) (iii) (iv) (v) the control and management of the Tribunal; the effectiveness and efficiency of the Tribunal; all the income and expenditure of the Tribunal; all assets and the discharge of liabilities of the Tribunal; and the proper diligent implementation of the Public Finance Management Act, 1999 (Act No. 1 of 1999), with respect to the Tribunal. 40 45 (b) In order to assist him or her with the functions contemplated in this subsection, the chairperson may appoint— (i) a Chief Operating Officer for a period of five years, who may be reappointed for a further period of five years; and (ii) one or more senior managers, under such terms and conditions as 50 determined by the chairperson. (c) The Chief Operating Officer is responsible to perform as the Chief Operating Officer of the Tribunal, subject to— this Act and its regulations; the Public Finance Management Act and its regulations; and the policies and directions of the Tribunal. (i) (ii) (iii) 55 This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 21 21 (a)] die Maatskappytribunaal[; (b) (c) ’n geakkrediteerde entiteit, soos in subartikel (3) omskryf; of enige ander persoon].’’; (b) deur subartikel (2) deur die volgende subartikel te vervang: ‘‘(2) Indien die Maatskappytribunaal[, of ’n geakkrediteerde entiteit,] na wie ’n aangeleentheid vir [alternatiewe geskiloplossing] bemiddeling of versoening verwys is, tot die gevolgtrekking kom dat een van die partye by die konsiliasie[,] of bemiddeling [of arbitrasie] nie te goeder trou aan daardie proses deelneem nie, of dat daar geen redelike waarskynlikheid is dat die partye hul geskil deur daardie proses sal kan oplos nie, moet die Maatskappytribunaal [of geakkrediteerde entiteit] ’n sertifikaat van nie-oplossing in die voorgeskrewe vorm uitreik [wat verklaar dat die proses misluk het].’’; (c) deur die volgende subartikel na subartikel (2) in te voeg: ‘‘(2A)(a) Waar die Maatskappytribunaal ’n sertifikaat van nie-oplos- sing uitgereik het wat verklaar dat die bemiddelings- of versoenings- proses ingevolge hierdie Wet misluk het, kan die geraakte persoon die aangeleentheid na die Maatskappytribunaal verwys vir arbitrasie. (b) ’n Party wat beswaar wil maak dat die arbitrasie ook uitgevoer word deur ’n lid van die Maatskappytribunaal wat gepoog het om die saak deur middel van bemiddeling of versoening op te los, kan dit doen deur ’n beswaar in daardie verband by die Maatskappytribunaal in te dien. (c) Wanneer die Maatskappytribunaal ’n beswaar ontvang, moet hulle ’n ander lid aanstel om die lid oor wie die beswaar ingedien is, te vervang. (d) In die geval van arbitrasie, is die arbiter se toekenning finaal en bindend op die partye.’’; en (d) deur subartikels (3), (4) en (5) te skrap. Wysiging van artikel 167 van Wet 71 van 2008 - 20 Verify source ↗
Artikel 167 van die Hoofwet word hierby gewysig deur in subartikel (1) die
AI-assisted research summary: This section amends the wording of section 167 of the Hoofwet and refers to section 194 of Act 71 of 2008, as amended.
20. Artikel 167 van die Hoofwet word hierby gewysig deur in subartikel (1) die woorde wat paragraaf (a) voorafgaan deur die volgende woorde te vervang: ‘‘Indien die Maatskappytribunaal[, of ’n entiteit wat kragtens artikel 166 geakkrediteer is,] ’n geskil kragtens hierdie Deel opgelos het of partye bygestaan het om ’n geskil kragtens hierdie Deel op te los, kan die Tribunaal [of geakkrediteerde entiteit]—’’. Wysiging van artikel 194 van Wet 71 van 2008, soos gewysig deur artikel 112 van Wet 3 van 2011 - 21 Verify source ↗
Artikel 194 van die Hoofwet word hierby gewysig deur die volgende subartikel na
AI-assisted research summary: The Tribunal’s chairperson is its accounting authority and may appoint a CEO and senior managers; the CEO must act subject to the Act, PFMA, regulations, and Tribunal policy and directives.
21. Artikel 194 van die Hoofwet word hierby gewysig deur die volgende subartikel na subartikel (1) in te voeg: ‘‘(1A)(a) Die voorsitter van die Tribunaal is die rekenpligtige gesag van die Tribunaal en is verantwoordelik vir— (i) die beheer en bestuur van die Tribunaal; (ii) die doeltreffendheid en effektiwiteit van die Tribunaal; al die inkomste en uitgawes van die Tribunaal; (iii) (iv) alle bates en die delging van laste van die Tribunaal; en (v) die behoorlike nougesette inwerkingstelling van die Wet op Openbare Finansiële Bestuur, 1999 (Wet No. 1 van 1999), met betrekking tot die Tribunaal. 5 10 15 20 25 30 35 40 45 (b) Ten einde hom of haar by te staan met die werksaamhede wat in hierdie 50 subartikel beoog word, kan die voorsitter— (i) (ii) ’n Bedryfshoof vir ’n tydperk van vyf jaar aanstel, wat vir ’n verdere tydperk van vyf jaar heraangestel kan word; en een of meer senior bestuurders aanstel, kragtens sodanige bepalings en voorwaardes soos deur die voorsitter bepaal. (c) Dit is die Bedryfshoof se verantwoordelikheid om as die Bedryfshoof van die Tribunaal op te tree, onderworpe aan— (i) hierdie Wet en die regulasies daarvan; (ii) die Wet op Openbare Finansiële Bestuur en die regulasies daarby; en (iii) die beleid en opdragte van die Tribunaal. 55 60 This gazette is also available free online at www.gpwonline.co.za - 22 Verify source ↗
No. 50991
AI-assisted research summary: The Chief Operating Officer appoints needed Tribunal employees, and the Minister sets pay and appointment conditions for Tribunal members and the Chief Operating Officer, in consultation with the Minister of Finance.
22 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 22 (d) The Chief Operating Officer is responsible for appointing such other employees as may be required for the proper functioning of the Tribunal: Provided in consultation with the Minister, may determine the that remuneration, allowances, employment benefits and other terms and conditions of employees appointed in terms of this paragraph. the chairperson, (e) The Minister must, in consultation with the Minister of Finance, determine the remuneration, allowances, benefits and conditions of appointment of— 5 (i) members of the Tribunal; and (ii) the Chief Operating Officer.’’. Amendment of section 195 of Act 71 of 2008, as amended by section 113 of Act 3 of 2011 10 - 22 Verify source ↗
Section 195 of the principal Act is hereby amended by the deletion in subsection
AI-assisted research summary: This provision amends section 195 of the principal Act by changing punctuation and adding new paragraphs (d) and (e).
22. Section 195 of the principal Act is hereby amended by the deletion in subsection (1) of the word ‘‘and’’ at the end of paragraph (b), the substitution for the full stop of a semi-colon at the end of paragraph (c), and the addition of the following paragraphs: ‘‘(d) conciliate, mediate, arbitrate or adjudicate on any administrative matters affecting any person in terms of this Act as may be referred to it in the prescribed manner by the B-BBEE Commission in terms of the B-BBEE Act; and (e) make an appropriate order.’’. Amendment of section 204 of Act 71 of 2008 - 23 Verify source ↗
Section 204 of the principal Act is hereby amended—
AI-assisted research summary: The Financial Reporting Standards Council must consider relevant information and adapt international reporting standards for local circumstances, and it may issue and publish financial reporting pronouncements in the Gazette.
23. Section 204 of the principal Act is hereby amended— (a) by the substitution for subsection (1)(a) of the following subsection: ‘‘(1) The Financial Reporting Standards Council must— (a) receive and consider any relevant information relating to the reliability of, and compliance with, financial reporting standards and adapt international reporting standards for local circumstances through the issue of financial reporting pronouncements and consider information from the Commission as contemplated in section 187(3)(b);’’; and (b) by the addition of the following subsections: ‘‘(2) For the purposes of this section, financial reporting pronounce- ments may be issued by the Financial Reporting Standards Council and published in the Gazette, from time to time, in relation to international reporting standards which require adaptation for local circumstances: Provided that such pronouncements are not in conflict with the International Financial Reporting Standards or the International Finan- cial Reporting Standards for Small and Medium-sized Entities. (3) ‘financial reporting pronouncements’ means standards, guide- lines and circulars developed, adopted, issued, or prescribed by the Financial Reporting Standards Council.’’. 15 20 25 30 35 40 Amendment of arrangement of sections of Act 71 of 2008 - 24 Verify source ↗
The arrangement of sections of the principal Act is hereby amended—
AI-assisted research summary: This section amends the principal Act by inserting a new item 30A about a company’s remuneration policy.
24. The arrangement of sections of the principal Act is hereby amended— (a) by the insertion after item 30 of the following items: ‘‘30A. Duty to prepare and present company’s remuneration policy - 30B Verify source ↗
Duty to prepare and present company’s remuneration report’’;
AI-assisted research summary: The Minister must set Tribunal and Chief Executive Officer remuneration and appointment conditions with the Minister of Finance, and the chairperson may set pay and conditions for employees appointed under this paragraph with the Minister’s consultation.
30B. Duty to prepare and present company’s remuneration report’’; 45 (b) by the insertion after item 38 of the following item: ‘‘38A. Validation of irregular creation, allotment or issuing of shares’’; (c) by the substitution for item 45 of the following item: ‘‘45. [Loans or other financial assistance to directors] Financial 50 assistance’’; and (d) by the substitution for the heading to Part C of Chapter 7 of the following heading: ‘‘[Voluntary] Resolution of disputes’’. This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 23 23 (d) Die Bedryfshoof is verantwoordelik vir die aanstelling van sodanige ander werknemers wat nodig mag wees vir die behoorlike funksionering van die Tribunaal: Met dien verstande dat die voorsitter, in oorleg met die Minister, die vergoeding, toelaes, diensvoordele en ander bepalings en voorwaardes kan bepaal van werknemers wat ingevolge hierdie paragraaf aangestel is. (e) Die Minister moet, in oorleg met die Minister van Finansies, die vergoeding, 5 toelaes, voordele en voorwaardes van aanstelling bepaal van— lede van die Tribunaal; en (i) (ii) die Bedryfshoof.’’. Wysiging van artikel 195 van Wet 71 van 2008, soos gewysig deur artikel 113 van Wet 3 van 2011 10 - 22 Verify source ↗
Artikel 195 van die Hoofwet word hierby gewysig deur in subartikel (1) die woord
AI-assisted research summary: This section amends Article 195 of the Hoofwet to add powers for the B-BSEB commission to reconcile, mediate, arbitrate, or adjudicate certain administrative matters and make an appropriate order.
22. Artikel 195 van die Hoofwet word hierby gewysig deur in subartikel (1) die woord ‘‘en’’ aan die einde van paragraaf (b) te skrap, die punt deur ’n kommapunt aan die einde van paragraaf (c) te vervang, en deur die volgende paragrawe by te voeg: ‘‘(d) versoen, bemiddel, arbitreer of bereg oor enige administratiewe aangeleent- hede wat enige persoon ingevolge hierdie Wet raak, soos op die voorgeskrewe wyse deur die B-BSEB-kommissie ingevolge die B-BBEE-wet daarna verwys word; en ’n gepaste bevel maak.’’. (e) Wysiging van artikel 204 van Wet 71 van 2008 - 23 Verify source ↗
Artikel 204 van die Hoofwet word hierby gewysig—
AI-assisted research summary: The Financial Reporting Standards Board must receive and consider relevant information and adapt international reporting standards to local circumstances. It may also issue and publish financial reporting statements, but those statements must not conflict with the specified international standards.
23. Artikel 204 van die Hoofwet word hierby gewysig— (a) deur subartikel (1)(a) deur die volgende subartikel te vervang: ‘‘(1) Die Raad vir Finansiële Verslagdoeningstandaarde moet— (a) enige toepaslike inligting met betrekking tot die betroubaarheid van, en voldoening aan, finansiële verslagdoeningstandaarde ontvang en oorweeg en internasionale verslagdoeningstandaarde vir plaaslike omstandighede aanpas deur finansiële verslagdoenings- uitsprake en inligting van die Kommissie oorweeg soos beoog in artikel 187(3)(b);’’; en (b) deur die volgende subartikels by te voeg: ‘‘(2) By die toepassing van hierdie artikel kan finansiële verslag- doenings-uitsprake deur die Raad vir Finansiële Verslagdoening- standaarde uitgereik word, en van tyd tot tyd in die Staatskoerant gepubliseer word, met betrekking tot internasionale verslagdoening- standaarde wat aanpassing by plaaslike omstandighede vereis: Met dien verstande dat sulke uitsprake nie in stryd is met die Internasionale Finansiële Verslagdoeningstandaarde of die Internasionale Finansiële Verslagdoeningstandaarde vir Klein en Mediumgrootte Entiteite nie. (3) ‘finansiële verslagdoenings-uitsprake’ beteken standaarde, riglyne en omsendbriewe wat ontwikkel, aangeneem, uitgereik of voor- geskryf is deur die Raad vir Finansiële Verslagdoeningstandaarde.’’. 15 20 25 30 35 40 Wysiging van indeling van artikels van Wet 71 van 2008 - 24 Verify source ↗
Die indeling van artikels van die Hoofwet word hierby gewysig—
AI-assisted research summary: This section amends the principal Act by inserting a new item about preparing and laying a company’s remuneration policy.
24. Die indeling van artikels van die Hoofwet word hierby gewysig— (a) deur die volgende items na item 30 in te voeg: ‘‘30A. Plig om maatskappy se vergoedingsbeleid voor te berei en voor 45 te lê - 30B Verify source ↗
Plig om maatskappy se vergoedingsverslag voor te berei en voor
AI-assisted research summary: This provision amends the act by inserting item 38A, replacing item 45, and changing the heading of Part C of Chapter 7.
30B. Plig om maatskappy se vergoedingsverslag voor te berei en voor te lê’’; (b) deur die volgende item na item 38 in te voeg: ‘‘38A. Bekragtiging van onreëlmatige skepping, toekenning of 50 uitreiking van aandele’’; (c) deur item 45 deur die volgende item te vervang: ‘‘45. [Lenings of ander finansiële bystand aan direkteure] Finan- siële bystand’’; en (d) deur die opskrif by Deel C van Hoofstuk 7 deur die volgende opskrif te 55 vervang: ‘‘[Vrywillige oplossing] Oplossing van geskille’’. This gazette is also available free online at www.gpwonline.co.za - 24 Verify source ↗
No. 50991
AI-assisted research summary: Section 24 is headed “Short title and commencement.”
24 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 Act No. 16 of 2024 Companies Amendment, Act 2024 Short title and commencement 24 - 25 Verify source ↗
This Act is called the Companies Amendment Act, 2024, and comes into operation
AI-assisted research summary: This section gives the Act its short title and says it starts on a date the President fixes by proclamation in the Gazette.
25. This Act is called the Companies Amendment Act, 2024, and comes into operation on a date to be fixed by the President by proclamation in the Gazette. This gazette is also available free online at www.gpwonline.co.za Maatskappywysigingswet , 2024 No. 16 van 2024 STAATSKOERANT, 30 JuliE 2024 No. 50991 25 Kort titel en inwerkingtreding 25 - 25 Verify source ↗
Hierdie Wet heet die Maatskappywysigingswet, 2024, en tree in werking op ’n
AI-assisted research summary: This section says the Act is called the Companies Amendment Act, 2024, and it starts on a date set by the President by proclamation in the Gazette.
25. Hierdie Wet heet die Maatskappywysigingswet, 2024, en tree in werking op ’n datum deur die President by proklamasie in die Staatskoerant vasgestel. This gazette is also available free online at www.gpwonline.co.za - 26 Verify source ↗
No. 50991
AI-assisted research summary: This excerpt is publication/footer text for Government Gazette No. 50991 and does not set out a substantive legal rule.
26 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 This gazette is also available free online at www.gpwonline.co.za STAATSKOERANT 30 JULIE 2024 No. 50991 27 This gazette is also available free online at www.gpwonline.co.za 28 No. 50991 GOVERNMENT GAZETTE, 30 July 2024 This gazette is also available free online at www.gpwonline.co.zaPrinted by and obtainable from the Government Printer, Bosman Street, Private Bag X85, Pretoria, 0001Contact Centre Tel: 012-748 6200. eMail: info.egazette@gpw.gov.zaPublications: Tel: (012) 748 6053, 748 6061, 748 6065
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