FICA 2023 Round-Up Summary

FICA 2023 Round-Up Summary

• 10 January 2024
• Money Laundering
• South African Accounting Academy

2023 has been a year filled with changes to the FIC Act, updates within the financial crime and compliance landscape, and many more. However, it all came down to the “G” word, otherwise known as Greylisting, which formed the basis for the proactive amendments before South Africa’s greylisting designation and informed the reactive responses post-greylisting.

2023 also saw significant changes within South Africa’s Anti-Money Laundering (AML) environment. From cash threshold increases for reporting, Schedule 1 Accountable Institution additions, to considerable amendments to FICA in the form of the General Laws Amendment Act and new Directives 6, 7 and 8.

Many of these changes were proactively taken, aimed at preventing a greylisting designation but also as reactive responses based on the FATF’s recommendations after South Africa was greylisted.

This article discusses the following in a summarised format:

• Greylisting

• Cash Threshold Amendments

• New Accountable Institutions

• The General Laws Amendment Act

• Latest FIC Directives 6, 7 & 8

• CIPC Beneficial Ownership Register

Click here to access the Article for more details:

https://blog.docfox.co.za/a-summary-of-greylisting-new-fica-directives-amendments?utm_medium=email&_hsmi=79982092&_hsenc=p2ANqtz-_lyEo0psuoByKK8eDLjl42SGPg1R3bbGW3qwTLtjoy1FrEnZJToXfrf0A0stLeSpWIIsWY8vnKgzynnzjDrGstPWoICg&utm_content=79982092&utm_source=hs_email

Relevance to Auditors, Independent Reviewers & Accountants:

• The Financial Intelligence Centre Act (FICA) is yet another piece of legislation that your clients must comply with, and which you must assess compliance with.  If they don’t comply with the relevant laws and regulations, you have certain reporting obligations in terms of NOCLAR (Non-Compliance with Laws And Regulations) – this could include reporting to management, qualifying your audit opinion, reporting a Reportable Irregularity, etc.

• As an auditor and independent reviewer, you need to consider amendments, regulations and guidance that are published by the FIC and other relevant parties.

Relevance to Your Clients:

• Relevant entities (specifically accountable institutions) have to comply with the FIC Act, otherwise they could be held liable.

• Relevant entities should be aware of amendments, regulations and guidance that are published by the FIC and other relevant parties.

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