IRBA Newsletter Issue 48

Issue 48 | October - December 2019 13 EFFECTS OF THE CIPC COMPLIANCE CHECKLIST ON REPORTABLE IRREGULARITIES REPORTING EFFECTS OF THE CIPC COMPLIANCE IRREGULARITIES REPORTING The Companies and Intellectual Property compliance checklist aimed at monitoring with the Companies Act. The checklist companies and requires declarations on various provisions of the Companies Act – bec January 2020. The introduction of the checklist has s piked confusion among registere its effects on RI reporting. The IRBA engaged the CIPC on the checklist and consensus wa declaration of any non-compliance with the provisions of the Companie absolve the RA of his/her obligations to report any identified RIs in Therefore, a company’s individual appointed auditor must still con declarations made to the CIPC constitute RIs, as per the requiremen those areas of non-compliance must then be reported to the IRBA. declaration to the CIPC. A presentation on the CIPC checklist can be accessed on the CIPC we Notices”. RAs are encouraged to send any queries relating to the compliance c following email: COR135.1complaints@cipc.co.za . REGISTRY Registrations, Re-registrations and Terminations REGISTRY MOVEMENTS QUARTER 3: 19/20 The Companies and Intellectual Property Commission (CIPC) introduced a compliance checklist aimed at monitoring and regulating proper compliance with the Companies Act. The checklist – which must be completed by companies and requires declarations on the company’s compliance with various provisions of the Companies Act – becomes mandatory with effect from 1 January 2020. The introduction of the checklist has spiked confusion among registered auditors (RAs), particularly, as to its effects on RI reporting. The IRBA e gaged the CIPC on the checklist and consensus was reached to the effect that, prior declaration of any non-compliance with the provisions of the Companies Act on the CIPC checklist will not absolve the RA of his/her obligations to report any identified RIs in line with Section 45 of the APA. Therefore, a company’s individual appointed auditor must still consider whether any non- compliance declarations made to the CIPC constitute RIs, as per the requirements of Section 45 of the APA. If so, those areas of non-compliance must then be reported to the IRBA. The RI report must reference prior declaration to the CIPC. A presentation on the CIPC checklist can be accessed on the CIPC website landing page under “Important Notices”. RAs are encouraged to send any queries relating to the compliance checklist directly to the CIPC via the following email: COR135.1complaints@cipc.co.za . LEGAL cont.