Companies Amendment Bill has been adopted

Companies Amendment Bill adopted by the Portfolio Committee on Trade and Industry

11 Mar 2011

The Department of Trade and Industry (the dti) is pleased to announce that the Companies Amendment Bill has been adopted by the Portfolio Committee on Trade and Industry. This paves a way for the changing phase of doing business in South Africa, which will bring SA in line with and even beyond international trends in some respects.

The revolutionary changes to corporate laws bring

1) the enhanced protection for minority shareholders, particularly those BEE shareholders that are often ignored by majority shareholders and even directors of companies, get closer to their dream of exercising their rights fully without ignorance,

2) early turnaround of companies in distress which will save a lot of jobs,

3) less processes to registering a company which will encourage participation by all in the economy, as well as improved enforcement powers that will detect early any attempts to hijack or clone companies.

The Department of Trade Industry is geared to set proper and long awaited foundation for a corporate environment that is conducive to growth, development and transformation of market conduct. It is unacceptable and unjustifiable that a progressive country such as SA, which has the most progressive constitution in the world, still operates on a legislation passed in 1973.

Therefore any further delays in implementing this legislation will undermine the drive to transform this country and its systems, and will derail any attempts to unlock its potential as a destination for investment. The Department of Trade Industry has accommodated and addressed all legitimate concerns of stakeholders and believes that stakeholders have significantly enriched the process of completing this world class piece of legislation. The Bill will follow due parliamentary process in all relevant houses of Parliament and once all done, be sent to the President to assent.

For more information contact:
Sidwell Medupe
Tel: 012 394 1650
Cell: 079 492 1774
E-mail: MSMedupe@thedti.gov.za

Enquiries:
Clement Manoko
Tel: 012 394 1712
Cell: 082 311 8931
E-mail: NManoko@thedti.gov.za

Source: The Department of Trade Industry

Issued by: Department of Trade and Industry
11 Mar 2011

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Taking democracy out of Capitalism. I have no idea what the bill is about, but if you render protection for minority share holders you are clearly interfering with the size of the voting pool. I now see socialism finding its way into capitalism. Whether this is good or bad I would not comment on, because personally I do not seed well to bully tactics. I care not the size of the bully. I insist in being treated with respect at all times and I will speak out against a wrong decision.

Even if the company is not owned by me their decisions should not have a negative impact on my lifstyle or on my quality of life. Whether South Africa's violent democracy is up for the task ... only time would tell.

by Petrus Viviers