Draft Financial Matters Amendment Bill
21 February 2022
Members,
The National Treasury has published the attached draft Financial Matters Amendment Bill 2022, and is requesting comment.
The Bill proposes one relevant amendment to the Land and Agricultural Development Bank Act, 2002, to replace the provision for judicial management with business rescue in terms of the Companies Act, 2008.
Details about commenting are available here: Financial Matters Amendment Bill, 2022 – draft
The relevant section of the published bill has been highlighted for ease of reference.
This amendment is to be welcomed – though it seems to indicate that chapter 6 business rescue, as a restructuring tool, is only available to the Land Bank on application by the Minister or the board of Land Bank. Does this amendment have the effect of precluding an affected person – an employee or creditor – from seeking to place the Land Bank under business rescue? SARIPA will be submitting its comments on behalf of its members. Your comments on the draft bill will be welcomed. Please send them to me.
Kindly sent to us by Haroon Laher of Fasken’s Inc.
Take care
René Bekker
Chief Operating Officer