Legal Compliance

With the proliferation of increasingly complex and compliance-orientated legislation, the board view this function as essential to ensure compliance within the group. The purpose of this function is to provide the board with assurance that the group remains compliant with applicable legislation. The compliance function is currently split into two distinct areas – one focus area is compliance with laws that affect credit granting and the other on general compliance within the group.

The impact of the National Credit Act (NCA) is significant, and a group business review forum meets weekly to address all NCA issues within the group.

Similarly, there is a group forum monitoring the progress of the Consumer Protection Bill. This forum will ensure that the provisions relevant to the group will be implemented upon the finalisation and promulgation of the Bill.

The developments regarding the Companies Bill and the Protection of Personal Information (concept) Bill are also being closely monitored to ensure that the group is able to comply with this legislation once promulgated in final form.

The group compliance officer reports to the audit committee.

The responsibilities of the compliance function include inter alia:

• identifying and advising the group on existing and new legislation that is applicable to the group’s business;
• facilitating compliance with relevant legislation and assigning responsibility for areas of compliance;
• facilitating compliance with internal policies, rules, guidelines and procedures;
• maintaining a register of internal policies, rules, guidelines and procedures; and
• monitoring of compliance.

Internal audit and the group compliance officer work closely together. Where significant compliance issues are identified, these are considered for independent review by outsourced experts.