COMPANIES BILL - Department of Trade and Industry

204Act No. and Year Short title Extent of amendment or repealAmendment of section 47 of Act 66 of 1984,as amended by section 11 of Act 26 of 1997,section 13 of Act 22 of 2001 and substitutedby section 36 of Act 12 of 2004(2) Section 47 of the principal Act isamended by—(a) the repeal of subparagraphs (ii) and (iii) ofparagraph (b) of subsection(1);(b) the substitution for paragraph (c) of subsection(1) the following paragraph:‘‘(c) any person is [subject to any order ofa court under] disqualified from beinga director of a company in termsof section 69(8) to (11) of the CompaniesAct, subject to subsection (1B)[disqualifying him from being a directorof a company].’’;and(c) the insertion of the following subsectionsafter subsection (a):‘‘(1A) A person who has beenplaced under probation by a court interms of section 162 of the CompaniesAct or subsection (1C), must notparticipate in the management of thebusiness of a corporation, except tothe extent permitted in the order ofprobation.(1B) Despite being disqualified interms of section 69(8)(b) of the CompaniesAct, read with subsection(1)(c), a person may participate in themanagement of a corporation if 100%of the members’ interest in the corporationis held by—(a) that person; or(b) that person and other persons,all of whom are related to thatdisqualified person, and each suchperson has consented in writing tothat disqualified person participatingin the management of the corporation.(1C) Section 162 of the CompaniesAct, read with the changes required by thecontext, applies to a corporation, but areference in that section to—(a) a company must be regarded as referringto a company or a corporation; or(b) a director, must be regarded as referringto a director of a company, or amember participating in the managementof a corporation.’’.Repeal of section 55 of Act 69 of 1984(3) Section 55 of the principal Act is herebyrepealed.5101520253035404550