Tight Companies Act deadline slated
Published: 21 April 2011 11:03:54
Source: Unknown Source
Johannesburg - Companies have only four working days to review regulations released ahead of the new Companies Act which comes into effect on May 1, said Grant Thornton SA national chairperson Leonard Brehm on Thursday.
"After an initial review of the 173 pages of regulations released this (Wednesday) afternoon, I'm concerned about the significant changes and new sections therein," Brehm said.
"South African businesses require reasonable time to absorb, review and understand the implications of the act and to carry out the requirements according to the new act."
The Companies Amendment Act of 2010, which took seven years to complete, replaces the Companies Act 71 of 2008.
The regulations were released on Wednesday afternoon, leaving only four working days, factoring in the public holidays, to review before the May 1 implementation.
Earlier this week, Trade and Industry Minister Rob Davies said there was no need to "spend more time debating hypothetical scenarios", which may or may not affect minorities.
It was time to implement the new act.
"As we implement, we are committed to sorting out problems as they arrive," he said on Monday at the launch of the Companies and Intellectual Property Commission, which comes into force under the new act.
Davies said the department had "done quite a bit of work to inform stakeholders about what these new provisions will entail".