This practice note is issued in terms of Section 138(1) of the Companies Act of 2008 and is applicable to the licensing of Business Rescue Practitioners for companies and close corporations under supervision.
Section 138 of the Companies Act reads as follows:
A person may be appointed as a business rescue practitioner of a company only if the person-
- (a) is a member in good standing of a legal. accounting or business management profession accredited by the Commission:
- (b) has been licensed as such by the Commission in terms of subsection(2);
- (c) is not subject to an order of probation in terms of section 162(7);
- (d) would not be disqualified from acting as a director of the company in terms of section69(8);
- (e) does not have any other relationship with the company such as would lead a reasonable and informed-third party to conclude that the integrity, impartiality or objectivity of that person is compromised by that relationship; and
- (f) is not related to a person who has a relationship contemplated in paragraph(d).
Therefore section 138(1)(a)-(f) should be read cumulatively. Read more
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