Business Live | 13 July 2023 The 2023 Sanlam Transformation Gauge report will provide a three-year comparative view of progress and trends affecting economic transformation in the country. It's been 20 years since the Broad-based Black Economic Empowerment (BBBEE) Act was introduced to address inequalities in SA. Now it's time to evaluate whether BBBEE has delivered the positive benefits it set out to achieve. Is the country positively transforming? Is it happening at pace, or being slowed down by a lack of commitment by corporate SA, corruption and narrow self-interests? The annual Sanlam Transformation Gauge Report aims to answer these questions. Published in partnership with the Sunday Times Business Times, it's the only consolidated, sector-focused research report that takes a holistic measurement of economic transformation in SA, accounting for all elements of BBBEE. The 2023 edition of the report will also provide a three-year comparative view of progress and trends affecting economic transformation in the country. Register now for the virtual Sanlam Transformation Gauge Conference on July 18, when the findings from this year's report will be unpacked. During this insightful event, Sanlam chair Elias Masilela will explore the evolution and impact of BBBEE since its inception, critically examining its efficacy in addressing historical injustices and fostering economic transformation. How transformation and economic inclusion reflects on a BBBEE scorecard, and how it plays out in the lives of real people, is often very different. In an effort to close the gap between data and the lived experience, a panel of experts will examine critical elements of the BBBEE scorecard including ownership, management control, skills development, enterprise and supplier development and socioeconomic development. Moderated by broadcaster Gugulethu Mfuphi, this panel will include: Mamkeli Jim, dealmaker: leveraged finance at RMB; Tabea Kabinde, chair of the Commission of Employment Equity and transformation consultant; Litha Kutta, co-chair: Enterprise & Supplier Development Community of Practise; Nozizwe Vundla, head of the Sanlam Foundation; and Disa Mpande, acting CEO of merSETA. For the full conference programme, visit the Sanlam Transformation Gauge website. Event details Date: 18 July 2023 Time: 9am — 12.30pm Venue: Online ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.businesslive.co.za/news/2023-07-13-native-register-virtual-sanlam-transformation-gauge-conference-to-scrutinise-progress-of-bbbee/

Western Cape Government | 13 July 2023 Premier of the Western Cape, Alan Winde, and provinical Minister of Finance and Economic Opportunities, Mireille Wenger, had the pleasure of joining the Bicycling Empowerment Network (BEN), one of the organisations currently funded through the Department of Economic Development and Tourism’s SMME Booster Fund. The visit was part of a showcase of the work done with four of its partner SMMEs in Langa this week. BEN’s objective is to promote sustainable social and economic empowerment by ensuring a reliable supply of donated and affordable bicycles to disadvantaged communities and institutions. “Skills development comes in many forms and BEN not only understood this but also embraced this reality. The organisation has for years been building on its own skills upliftment capabilities, with the aim of embedding itself in communities where skills development will have the most impact,” said Premier Winde. Minister Wenger added, “The Western Cape Government is on a mission to achieve break-out economic growth by enabling the private sector to grow, and thereby, to create many more jobs in the province. This is the heart of our bold new economic action plan, Growth for Jobs. Which is why it was truly wonderful to see the positive impact the SMME Booster Fund is having on enabling township-based business to get set up and to thrive. I particularly enjoyed speaking with some of the young people employed by Cloudy Deliveries, who deliver groceries directly to people’s homes in and around Langa.” With the funding provided by the SMME Booster Fund, BEN is providing basic mechanic training to young bike mechanics in four local businesses, including Cloudy Deliveries, Langa Bicycle Hub, iKhaya le Langa, and Langa Pump Track initiative. BEN is also supplying new bikes to both Cloudy Deliveries and the Langa Pump Track initiative. “Its aim to empower particularly young people with skills in the field of bicycle maintenance speaks to the growing realisation of the importance of this mode of transport in our province in connecting communities to economic opportunities and decongesting our roads. Our role as government is to create an environment that allows organisations like BEN and its initiatives to keep growing. This is the backbone to our Growth for Jobs Strategy. It is an honour to be able to help BEN and its partners in building up skills in a form of transport, a pastime and sport that is very close to my heart.” said Premier Winde. “Since 2019, this programme has assisted 860 SMMEs, thereby helping to sustain 4 977 jobs. In addition to this, the Booster Fund has also helped these SMMEs to grow, creating an additional 651 jobs. Applications for the 2023 iteration of Fund closed on Monday this week and I look forward to announcing the successful organisations soon as we continue to support entrepreneurs and SMMEs as the driving force behind economic growth and job creation in the Western Cape and South Africa,” concluded Minister Wenger. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.westerncape.gov.za/news/celebrating-smme-booster-fund%E2%80%99s-success-langa%E2%80%99s-bicycle-empowerment-network

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Busi Kheswa | 13 July 2023 Stats SA’s latest Quarterly Labour Force Survey shows that youths aged 15-24 years and 25-34 years recorded the highest unemployment rates of all age groups at 62.1% and 40.7%, respectively. Levels of unemployment continue to engulf our thoughts and energy, more so as we believe that sustainable livelihoods programmes will bring about pride, joy and to some extent bestow and restore some level of dignity. With Gauteng being the most populous province in SA, this number will be quite significant due to a number of reasons including young people migrating from their home provinces in search of better opportunities in the province believed to offer better economic opportunities. According to the Quarterly Labour Force Survey, the youth unemployment rate, when measuring job-seekers between 15 and 24 years old, rose to 62.1% in the first quarter of 2023, the highest in a year, from 61% in the previous three-month period. Gauteng accounts for the most. The Gauteng government launched a programme called Tshepo 1 Million to ease pressure on youth. Various departments needed to contribute through various programmes to ensure this could be realised. As part of contributing to the programme, the Gauteng department of social development is implementing the Welfare-to-Work Programme (W2WP). This programme includes the recruitment and selection, assessment, placement and on-job development, case management, training and developmental education, support services and job retention services. It readies participants for the job market and provides them with work experience to get and keep jobs. Initially, the W2WP was developed to support young women who were recipients of child support and foster care grants, but was expanded to assist exiting foster care beneficiaries, victims of gender-based violence, recovering substance abuse patients, women exiting shelters, and all other beneficiaries to transit from welfare into the world of self-sustenance. The programme incubates individuals for a period of not more than three years, and based on their assessment and educational profile, individuals are linked to a programme aimed at ensuring they can move themselves out of the social security system. Beneficiaries are selected based on socio-economic factors such as: The age cohort (between 18 and 25 years old) Social status factor (from poor backgrounds – based on household profiling from GDSD) Passed matric Participants who are willing to, and are ready to, work Participants willing to, and are ready to, look and take a post-matric qualification/course Through the programme, the department provides accredited skills training through partnerships with accredited partners in the field of hospitality, fashion design, real estate, photography, beauty therapy and hair dressing, etc. This is done through partnering with non-profit organisations that train and offer unit standards and/or qualifications that fall within the primary focus area of the education and training quality assurance body of the relevant sector education and training authority or professional body. There is also job placement where participants are linked to job opportunities within the network of potential employers. June 28 saw 536 youngsters graduating from this programme. These young people got accredited training in hair, beauty and fashion design as class of 2022/23. One beneficiary, 30-year-old Thando Femmers who graduated in fashion design through the Sun Goddess Foundation, said he was happy to break the cycle of poverty at home as he’s now the owner of a growing high fashion brand. “I want to empower people in my community who are hopeless. I was once a member of the community with no aspirations, but I thank Sun Goddess Foundation and the Gauteng department of social development for giving us an opportunity to live a life with purpose.” Even though these interventions seem scanty given the magnitude of youth employment, the government continues to change lives one step at a time. Key to this change is being consistent and intentional in improving lives for the better through sustainable livelihood and developmental programmes. • Kheswa is with the Gauteng department of social development ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sowetanlive.co.za/opinion/columnists/2023-07-13-busi-kheswa--gauteng-youth-programme-helps-beneficiaries-transit-from-welfare-into-the-world-of-self-sustenance/

Nathaniel Lee | 12 July 2023 A not-so-new scourge of the so-called construction mafia is taking root across the country and poses a serious threat to national stability if not decisively dealt with. The term refers to groups that organise themselves as local business forums and invade construction sites across the country, demanding money or a stake in developmental projects. They are also known as the “amadelangokubona”, which means giving up only once having seen. They operate by invading construction sites while heavily armed and extorting a 30% stake from the established construction companies hired through the tender process. They sometimes extort protection money from these companies as a safeguard against further violent disruptions. In some cases these groups damage infrastructure and make it difficult for the project to continue until the owners give in to their demands. They are said to operate under the banner of Radical Economic Transformation. It would not be far-fetched to infer that these groups exist with the tacit approval of some of the ANC leadership. These mafias are believed to have started in KwaZulu-Natal around 2015 and spread to Gauteng and the rest of the country. It seems their motivation stems from the promulgation in 2017 of new regulations to the Preferential Procurement Policy Framework Act (PPPFA), which stipulate that 30% of all contract value on state construction must be allocated to certain designated groups, including black South Africans, women and people with disabilities. In their misinterpretation of the stipulations, these groups also invade private-sector construction. These groups operate illegally and are a threat to the rule of law. They are hooligans who have instilled terror in businesses across the country. The latest invasion of the construction mafia took place at Menzi High School in Umlazi in KwaZulu-Natal. The project was to build an additional 13 classrooms to relieve overcrowding and specialised laboratories at this school, which is known for producing excellent matric results in the province. According to a Sowetan report, the contractor had to abandon the project. The R37m project was expected to be completed by 2024, which has now been adjusted to 2025 due to the delays. Apparently there had been six attempts at derailing the project by armed gangs demanding to be paid 30% of the total project cost. KwaZulu-Natal MEC for public works Sipho Nkosi visited the school on Tuesday and expressed his concern about the disruptions. What is most disconcerting is the willingness of the MEC to negotiate with these unreasonable gangs. “We hope to get their names and advise them that the 30% they want is through negotiations with the main contractor to subcontract”, he said. It was therefore not surprising that none of the members of the construction mafia were present at the meeting called by the MEC to resolve the impasse. They are aware of the illegality of their actions and can only thrive in anonymity. The MEC seems not to comprehend that he is dealing with a criminal gang and not respectable business people. These are criminals who need to be stopped in their tracks before they sow even more mayhem. No respectable state can plead and negotiate with criminals who terrorise citizens. It is for this reason the US and the UK have an unyielding stance of not negotiating with terrorists. Criminals have to be arrested, tried and convicted to protect citizens. It is clear that the construction mafia are hell-bent on creating a parallel state which will undermine the rule of law and state security. Giving in to the demands of these gangs would be tantamount to feeding a monster which would swallow all of us later. We should therefore not compromise or negotiate with these hoodlums. According to a 2022 report by Jenni Irish-Qhobosheane from the Global Initiative Against Transnational Organised Crime, in 2019 alone, at least 183 infrastructure and construction projects worth more than R63b had been affected by these kinds of disruptions across the country. This is economic sabotage by any account. It is time for law enforcement to take the initiative back from the mafias and reaffirm the rule of law by making them see that harassment, violence and extortion are not the means to achieve transformation in the construction industry or any other endeavour. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sowetanlive.co.za/opinion/columnists/2023-07-12-nathaniel-lee--respectable-state-cant-discuss-business-with-mafia-groupings/

Investec | 11 July 2023 South Africa faces a dual economic imperative – finding solutions to address the highest unemployment rate in the world, along with the crippling effects of Eskom's rolling power cuts that are hobbling the economy and constraining growth. Investec and its commercial and developmental partners are pioneering a new impact investment model that does both. This video shows how consolidating infrastructure and social investment into one community maximises economic development. Hear from some of the youths who’ve been liberated from unemployment. According to the most recent Stats SA Quarterly Labour Force Survey, South Africa’s unemployment rate in the first quarter of 2023 stood at 42,4% based on the expanded definition. While this figure represents a slight improvement (+0.2%) over Q4:2022, the deepening employment crisis caused by multiple global and local economic headwinds continues to disproportionately impact South African youths. In the first three months of 2023, unemployed South Africans aged between 15 and 34 increased by 241 000 to 4.9 million, effectively increasing the youth unemployment rate to 46.5% in the first quarter. Rural unemployment a dire situation Yet these startling figures paint only half the picture, with the situation in rural areas being worse. Touws River (Touwsrivier) in the central Karoo, once an economically thriving town along the main Cape Town to Kimberly railway line, is one of the more extreme examples, as most of the town’s roughly 8,000 inhabitants live under the breadline. When the railway line fell into disrepair due to disuse, underinvestment and a transition to road freight, the Touws River community became impoverished. An estimated 85% of those who live in the town today do not earn an income. Those who do earn, rely almost exclusively on seasonal citrus fruit farming in the nearby De Doorns area from November to March. Private sector investment delivers broad impact With little government support in the town, the private sector has stepped in to help address the unemployment and unfolding hunger crisis, with Investec and its commercial and developmental enterprise partners attempting to spark an economic revival. Investec is maximising the impact of a commercial investment in a solar concentrator photovoltaic (CPV) in the area with an accompanying enterprise development investment. Touws River is the host community for the 36 MW CPV1 Renewable Energy Independent Power Producer Procurement Programme (REIPPPP) solar power plant developed by Pele Green Energy. Investec provided group-level acquisition funding to help Pele Green Energy secure a 35% stake in the CPV1 project in 2011. As one of the first REIPPPP projects to go live, CPV1 has been feeding electricity into the national grid to augment the shortfall from Eskom’s predominantly coal-fired power generation fleet since 2015. “We are really connected to the community because the community hosts us,” explains Fumani Mthembi. MD at Knowledge Pele, the socio-economic development arm of the Pele Energy Group. “We see this asset as a catalyst for development in this community. Many employees at the site came from Touws River, and we have a genuine sense of social responsibility towards those who live there.” Creating enduring economic impact While the asset has the ability to create jobs and support downstream activities, the lifecycle of solar projects does not typically generate a large number of long-term employment opportunities after the construction phase. Fumani Mthembi, MD at Knowledge Pele, the socio-economic development arm of the Pele Energy Group: “Knowing that we would form part of the community for 20 years, it was imperative that we created other opportunities to build enterprises and industries that would have positive knock-on effects,” continues Mthembi. “After our corporate banking team financed the asset, Pele approached us to fund some development opportunities in the Touwsrivier community,” explains Margaret Arnold, who oversees enterprise development initiatives for Investec. “Communities around solar plants are typically very remote, with very few opportunities available for people who live in these areas. It was an absolute no-brainer for us to see how we could blend our commercial investment with a developmental aspect to generate greater impact for the community.” Technologically-enhanced farming Investec provided a R5-million grant fund, which Knowledge Pele deployed to develop the Touwsrivier Commercial Hydroponics Farm (TCHF). “We chose hydroponic farming because it is highly sustainable, using less water and land than conventional farming to reduce the environmental impact. The technology also provides a high degree of certainty in crop supply and quality,” explains Mthembi. “Importantly, we chose an asset that was aligned to the skills profile of the community so that we could create jobs.” Generating impactful social return The farm is owned by Knowledge Pele and the Touwsrivier Solar Community Trust, in which 50% of equity is held by the community. This ownership structure provides an impactful social return on investment for the community coupled with financial income that seeks to uplift households. The TCHF produces over 4,000 kg of leafy green vegetables a month, focusing mainly on seven types of lettuce. The farm has off-take agreements in place with reputable retailers and plans to erect additional tunnels to expand the operation once additional funding is secured. “We wanted to build something that was technologically advanced and would meet numerous Sustainable Development Goals by creating industrial and social infrastructure, while also working in the local context,” elaborates Mthembi. The TCHF project initially employed 19 people from Touwsrivier, with Investec’s Youth Employment Service (YES) program paying all farm workers who were under 35 for the first year. There are now12 community members from Touwsrivier permanently employed at the TCHF, five of which have come from the Investec YES program, including Theodeline Bosman, who manages quality control. “I learned all of my horticulture and hydroponics skills during my Investec-funded YES internship program. I am now part of the process of getting food to my nation, and I don’t think there is anything more honourable than that.” And her employment at TCHF has given Theodeline a measure of economic freedom, providing income that has enabled her to complete a course and support her and her son. “I have been able to move away from my mother. I am looking into starting a little business. The farm has opened so many doors for me and it continues to open new avenues by broadening my perception of agriculture.” Extending reach for greater inclusivity To extend its social impact in the area, Investec also sponsored 30 learnerships for interns at the National Institute for Development and Training (NID), who are all from Touws River. “The institute was established to address the 85% unemployment rate amongst people with disabilities,” explains NID CEO Dr. Lientjie van Rensburg. The NID aims to change lives through the holistic development of people with disabilities, with a focus in rural areas where the organisation trains beneficiaries and then connects them with workplaces in the corporate industry. To date, 75% of the youth that finish the programmes at the institute find employment. “For the Touws River community, we have selected programmes where there is job opportunities, including the agriculture, hospitality and IT sectors,” explains Dr. van Rensburg. A replicable model for impact “We at Investec look for enterprise development opportunities to maximise the impact in one area. It’s much better than having dispersed initiatives scattered all over the place. Touws River has certainly been an incredible case study- where you combine a commercial asset, with developing the surrounding community for significantly more impact,” concludes Arnold. Mthembi echoes her sentiment, “We see the Touwsrivier Commercial Hydroponics Farm (TCHF) as a blueprint to build public-private infrastructure partnerships in other sectors and a model for tackling the unemployment crisis,” concludes Mthembi. Investec, together with its REIPPPP commercial and developmental enterprise partners are investing for impact to create jobs in the forgotten town of Touws River (Touwsrivier) ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.dailymaverick.co.za/article/2023-07-11-youth-development-to-spark-economic-revival-in-touws-river/

Cape Business News | 11 July 2023 GABSTEN Technologies, a data management consulting, support and services provider, has launched internship and learnership programmes aimed at addressing the shortage of data management skills in South Africa. The programmes are designed to provide practical work experience to unemployed graduates, including internationally recognised training in data management, and to offer learnership opportunities to students currently studying towards a qualification in the Information Technology field. The learnership focusses on offering Work Integrated Learning (WIL) opportunities for students studying towards a qualification in IT, and who have completed the theoretical requirements for their course. The learnership is tailored to provide workplace experience and help students obtain their qualification, whilst it also offers access to recognised training in data management. The organisation has collaborated with the Media, Information and Communication Technology Sector Education and Training Authority (MICT SETA) for thee learnership, with the aim of supporting MICT SETA’s skills development initiatives focussing on scarce skills and addressing youth unemployment. The internship programme, which is separate from the learnership programme, is designed for unemployed graduates who have completed their IT studies. The internship is an opportunity for suitable candidates with an interest in data management to gain work experience and to have access to specialised training in data management, on a fixed duration contract basis. This enables interns to gain valuable work experience and develop skills in data management. “The organisation offers the interns specialised, globally recognised data management skills training in order to assure the program’s success,” says Hemant Harie, Managing Director of Gabsten Technologies. Harie also highlights that the training and development programmes are in line with the objective of producing employable youth with pertinent and current qualifications, making them an asset to any organisation. The minimum qualification requirements for the internship programme includes CompTia A+ and N+ (essential), with MCSA (preferred) or alternatively certificates in IT technical support, IT systems support, and IT database or system administration. A diploma in IT and network management or a higher certificate in IT and support services is a definite advantage. The interns will learn and apply basic data management administration and support skills, with a specialisation in Commvault and its cloud version, Metallic. They will also learn about remote system support, customer communication, Virtual Private Network (VPN) and Remote Desktop Protocol (RDP) concepts, and analytical thinking and problem-solving skills. Gabsten Technologies is engaging directly with Technical Universities and tertiary academic institutions to recruit suitable students and graduates seeking learnership and internship opportunities. The aim of the programmes is to empower unemployed youth, with a focus on employment equity. “The internship program offers a hands-on learning setting that enables interns to put their newly acquired skills to use in a genuine working environment. This ensures more skills will be provided to the Information Communication Technology (ICT) sector, new and innovative ideas will be brought to the data management arena, and young talent will be empowered to enter the profession”, concludes Harie. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.cbn.co.za/industry-news/skills-training-development/internship-programme-addresses-data-management-skills-shortage/

Clause 2.4.2 of statement 400 of the Generic Codes of Good Practice allocates Bonus Points for creating one or more jobs as a direct result of a Supplier Development or Enterprise Development intervention. The necessary evidence varies between B-BBEE Rating Agencies. Generally, however, a letter confirming job creation from the Beneficiary will serve as such evidence. The letter of confirmation must affirm that the intervention created at least one new job. Some confirmations may include being administered by a Commissioner of Oaths. This must be undertaken by the Beneficiary and must include: An organisation’s full name, physical address, postal address and registration number; A Beneficiary’s full company name, physical address, postal address, and registration number; The Enterprise Development or Supplier Development commenced; The date of the contribution; The number of new positions due to the intervention; and The names of the new employees; Enterprise & Supplier Development Services are available to assist Members meeting requirements for Job Creation.

The most critical element of an Enterprise Development loan is that it is a loan and not a grant disguised as one. An organisation must record a loan in their Financial Statements to confirm its origin. The following is a non-exhaustive list of evidence necessary for a B-BBEE Rating Agency at the time of a B-BBEE Verification: Signed Loan Agreement including the type of loan and the terms of repayment; Proof of the valid B-BBEE status of the Beneficiary; Evidence that an organisation paid the loan in full as per the agreement; Presentation of the loan account, ledger or a journal that determines the outstanding amount. Acknowledgement from the Beneficiary that the loan was received as per the agreement; As the necessary evidence slightly differs between B-BBEE Rating Agencies, an organisation should confirm before their B-BBEE Verification what their evidence requirements are. Enterprise & Supplier Development Services are available to assist Members with the creation & implementation of Enterprise & Supplier Development initiatives.

At the time of B-BBEE Verification, a Measured Entity needs to produce all relevant evidence or documentation to substantiate their B-BBEE claims. From a Measured Entity perspective, it is often misunderstood that confidential documentation cannot form a part of the B-BBEE Verification whereas a B-BBEE Rating Agency would require this based on the procedures that they need to follow. Reference is made to clause 2.6 under Statement 000 of the Amended General B-BBEE Codes of Good Practice which states: 2.6 Any representation made by an Entity about its B-BBEE compliance must be supported by suitable evidence or documentation. A Measured Entity that does not provide evidence or documentation supporting any initiative must not receive any recognition for that initiative. B-BBEE Verification Services are available to assist Members with their B-BBEE Verification Requirements.

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Staff Writer | 10 July 2023 The Companies and Intellectual Property Commission (CIPC) has released its new ‘Beneficial Ownership Register’ platform that companies must fulfil, says Micaela Paschini, an attorney at Tax Consulting SA. Paschini said that businesses are now required to declare their beneficial ownership to the CIPC before October 2023, following concerns raised by the Financial Action Task Force (FATF) over the country’s failings in terms of financial crime and anti-money laundering. This means the ‘warm body’ that sits behind a company can no longer remain off the record. She said this has far-reaching implications for anyone who owns an asset which is either of value or has a more complex ownership structure. Failure to update and maintain this information will result in the CIPC considering the company as non-compliant, but more importantly, it weakens the company in almost every aspect of doing business, including placing the banking relationships at risk, Paschini said. The FATF, of which the government has adhered to its recommendations, said that sanctions should be applied to companies that breach their beneficial ownership obligations. The functionality for the declaration of Beneficial Ownership has been added to the CIPC’s e-services landing page. Although there have been a handful of new documents companies must complete to comply with the CIPC, beneficial ownership registration is probably the most urgent, she said. Companies and close corporations are now required to establish and maintain a Beneficial Ownership Register, including: Profit companies Non-profit companies External companies Non-exempt state-owned companies Close corporations Listed companies who qualify as affected companies are, however, subject to a slightly different set of requirements, but the concept of Beneficial Ownership remains the same, said Paschini. “Beneficial Ownership”, in relation to a company, refers to a person who, either directly or indirectly, “ultimately owns that company or exercises effective control of that company,” said Paschini. Some examples of Beneficial Ownership include where a person: Has a beneficial interest in the shares of a company; Exercises, or controls the exercise of, voting rights associated with shares of a company; Exercises, or controls the exercise of, the right to appoint or remove directors of a company; Is able to exercise control, including through a chain of ownership or control, of: a legal entity, body of persons, partnership, or a person acting under the provisions of a trust agreement (i.e. a trustee or beneficiary); Can materially influence the management of a company in any other manner. To comply with regulations, individuals holding more than 5% Beneficial Ownership in a company must submit their information to the CIPC. Furthermore, any changes in Beneficial Ownership must be updated within five days of the change. Once the information has been captured on the CIPC’s platform, it is processed, and a confirmation certificate will be issued. “Failing to establish and maintain a Beneficial Ownership Register may prove dire for companies and their directors alike. One may face investigations, a compliance notice, severe penalties and fines, and directors of companies may be disqualified,” said Tax Consulting SA. Paschini said that the compliance burden ultimately rests on shareholders, directors and owners of companies to comply with the CIPC’s new requirements. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://businesstech.co.za/news/trending/702921/big-change-for-businesses-in-south-africa-with-3-months-to-comply/