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Financial Sector Regulation Act Regulations Amended

August 6, 2020

National Treasury

Financial Sector Regulation Act Regulations have been amended.

National treasury published the amendments in Government Gazette 43581.

Regulation 1 of the Regulations is amended by the deletion of the definition of “Ministerial Panel”.

Regulation 3 is amended by the insertion of paragraphs on a transitional management committee.

The committee, once established, continues in existence until a date determined by the minister by notice in the Gazette.

The notice must be published at least 30 days before the date to be determined by the notice.

The amendments also stipulate that, until a member of the transitional management committee is appointed by the minister to perform the functions of the Commissioner, the person who was the last Chairperson of the Financial Services Board must perform the functions of the Commissioner.

Any person may be seconded from another organ of state to a position in the Financial Sector Conduct Authority.

A new Regulation 10 on appointment by the minister is also inserted.

The amendments came into effect on the date of publication.

Meanwhile, in Gazette 43582, treasury has exempted municipalities and municipal entities for the 2019/2020 financial year from complying with deadlines set out in the Local Government: Municipal Finance Management Act.

The deadlines focus on the submission and auditing of annual financial statements, submission and tabling of annual reports, oversight reports on annual reports and consequences of non-compliance with certain provisions.

Municipalities and municipal entities are expected to comply with the respective provisions within two months after the deadline in the applicable provision.