Companies Act, 1973, (No. 61 of 1973)

1. Definitions

external company means a company or other association of persons, incorporated outside the Republic, the memorandum of which was lodged with the Registrar under the repealed Act, or which, since the commencement of this Act, has established a place of business in the Republic and for purposes of this definition establishing a place of business shall include the acquisition if immovanle property.

[Definitions of ‘external company’ substituted by s 1 (a) of 35 of 1998.]

Financial Intelligence Centre Act 38 of 2001

1 Definitions

“money laundering” or “money laundering activity” means an activity which has or is likely to have the effect of concealing or disguising the nature, source, location, disposition or movement of the proceeds of unlawful activities or any interest which anyone has in such. proceeds, and includes any activity which constitutes an offence in terms of section 64 of this Act or section 4, 5 or 6 of the Prevention Act;

Prevention of Organised Crime Act, 1998 (Act No. 121 of 1998)

Sections 4, 5 and 6 of the Prevention Act read as follows:

“Money laundering
4. Any person who knows or ought reasonably to have known that property is or forms part of the proceeds of unlawful activities and-

(a) enters into any agreement or engages in any arrangement or transaction with anyone in connection with that property, whether such agreement, arrangement or transaction is legally enforceable or not: or

‘b) performs any other act in connection with such property, whether it is performed independently or in concert with any other person, which has or is likely to have the effect-

(i) of concealing or disguising the nature, source, location, disposition or movement of the said

(ii) of enabling or assisting any person who has committed or commits an offence, whether in the property or its ownership or any interest which anyone may have in respect thereof; or Republic or elsewhere-

(aa) to avoid prosecution; or

(bb) to remove or diminish any property acquired directly, or indirectly, as a result of the commission of an offence, shall be guilty of an offence.

4ssisting another to benefit from proceeds of unlawful activities

5. Any person who knows or ought reasonably to have known that another person has obtained the proceeds of unlawful activities, and who enters into any agreement with anyone or engages in any management or transaction whereby-

(a) the retention or the control by or on behalf of the said other person of the proceeds of unlawful activities is facilitated; or

(b) the said proceeds of unlawful activities are used to make funds available to the said other person or to acquire property on his or her behalf or to benefit him or her in any other way, shall be guilty of an offence.

Acquisition, possession or use of proceeds of unlawful activities

6. Any person who-

(a) acquires;

(b) uses; or

(c) has possession of, property and who knows or ought reasonably to have known that it is or forms part of the proceeds of unlawful activities of another person, shall be guilty of an offence.”

“proceeds of unlawful activities” has the meaning attributed to that term in section 1 of the Prevention Act;2

“property” has the meaning attribu1.ed to that term in section 1 of the Prevention Act;3

“reporting institution” means a person referred to in Schedule 3; 5

“single transaction” means a transaction other than a transaction concluded in the course of a business relationship;

“South African Revenue Service” means the South African Revenue Service established by section 2 of the South African Revenue Service Act, 1997 (Act No. 34 of 1997); 10

“supervisory body” means a functionary or institution referred to in Schedule 2;

“this Act” includes a regulation made in terms of section 77;

“transaction” means a transaction concluded between a client and an accountable institution in accordance with the type of business carried on by that institution;

“unlawful activity” has the meaning attributed to that term in section 1 of the 15 Prevention Act?

(a) the person has actual knowledge of that fact; or

(b) the court is satisfied that-

(2) For the purposes of this Act a person has knowledge of a fact if-

(i) the person believes that there is a reasonable possibility of the existence 20

(ii) the person fails to obtain information to confirm or refute the existence of

(3) For the purposes of this Act a person ought reasonably to have known or suspected of that fact; and that fact.

a fact if the conclusions that he or she ought to have reached, are those which would have be-n reached by a reasonably diligent and vigilant person having both-

(a) the general knowledge, skill, training and experience that may reasonably be

(b) the general knowledge, skill, training and experience that he or she in fact has expected of a person in his or her position; and

(b) the general knowledge, skill, training and experience that he or she in fact has.