FINANCIAL SERVICES & THE LAW

The financial services environment is undergoing a process of drastic change through the Financial Advisory and Intermediary Services (FAIS) Bill. This Bill serves to regulate the industry – it covers areas that are not regulated by other legislative institutions in South Africa. FAIS service providers must be licensed and professional conduct is regulated by enforceable codes of conduct. The purpose of the Act is for the protection of clients.

The Prevention of Organised Crime Act (POCA) declares money laundering a crime, with guilty parties being elegible for a R10 million fine or a ofsentence of 15 years imprisonment. The Financial Intelligence Centre Act (FICA) has made provision for the establishment of a financial intelligence centre to control money laundering. FICA's main requirements are identification and verification of clients, record keeping, reporting, formulation and implementation of rules and training regarding money laundering.

We welcome the changes made by government and wholeheartedly ascribe to a policy of transparency within the industry. As such, we have contracted Moonstone Refinery (Pty) Ltd to ensure our company's compliance within the law. Monthly visits ensure that legal requirements are met on a continuous basis and that the business is managed on a sound, professional basis, giving you as client peace of mind when it comes to how your money is being invested.