AMLTF Anti-Money Laundering and Combating Terrorism Financing
This notice also serves as a reminder to those entities that have not complied with their mandatory securities register filing obligations and or beneficial ownership filing obligations.
This notice follows the one issued in September 2023 (Notice 53 of 2023).
The Commission would like to thank the entities that heeded the call to file their beneficial ownership information in line with the General Laws (Anti-Money Laundering and Combating Terrorism Financing) Amendment Act 22 of 2022 as given effect by the amended Companies Regulations 2023.
CIPC implemented a beneficial ownership register on 1 April 2023 voluntarily. The filing of beneficial ownership filings and securities registers became mandatory from 24 May 2023 upon promulgation of the Amended Companies Regulations. In terms of the amended Companies regulations, entities incorporated after their promulgation thereof, have to file beneficial ownership information within 10 business days after the date of incorporation. The same timelines apply concerning the updating of beneficial ownership records when there are changes.
Pre-existing entities, which had their anniversary date after the promulgation of the amended Companies Regulations are required also to file their beneficial ownership information. CIPC has noted that a huge number of entities still have yet to file their securities register and beneficial ownership information.
As of 1 April 2024, the Commission will be introducing a hard-stop functionality that will prevent entities that have not complied with beneficial ownership filing requirements from completing the process of filing their annual returns. The Commission will also be taking further and necessary enforcement actions against entities that continue to be non-compliant.
All entities in CIPC’s register need to have filed their beneficial ownership information by 24 May 2024 as this will be the anniversary date of publication of the amended Companies Regulations which made the filing of beneficial ownership information mandatory.
Click here to download Notice 5 of 2024:
https://www.cipc.co.za/wp-content/uploads/2024/02/Beneficial-Ownership-Enforcement-Notice_2024.pdf
Relevance to your choice of Auditors, Independent Reviewers & Accountants:
The Companies Act and Regulations is yet another piece of legislation that your business needs to comply with. Non-compliance is not an option in this fiscal year. There has been a massive increase in compliance regulations to various bodies in the past 3 years. And we forsee there to be more in the pipeline in the next 12-24 months.
Using an appropriate accounting professional has become more applicable now than ever before. They are there to pick up on irregularities and advise you on what to do – remember prevention is better than losing everything. Including your freedom in some instances.
If you are not 100% sure of what you need to do, reach out to us today for a consult.
