Briefing the media on Thursday, following Cabinet’s fortnightly meeting the day before, government spokesman Jimmy Manyi said the executive had approved the publication of the Broad-Based Black Economic Empowerment Act Amendment Bill for public comment.

Amendments to the act included, among other things, the introduction of penalties for non-compliance with certain elements of the broad-based black economic empowerment (B-BBEE) scorecard.

These penalties take the form of a “discount” from overall score.

Nomonde Mesatywa, trade and industry’s chief director for black economic empowerment, told journalists at the briefing that the bill also introduced, for the first time, “penalties for non-compliance” for companies found guilty of fronting.

Fronting occurs when companies misrepresent their contribution to the objectives of B-BBEE in order to gain preferential treatment  when it comes to access to licenses or business opportunities.

Asked what the penalty might be for those found guilty, Mesatywa said the size of the fine would depend on the severity of the offence, but would be “between two and 10% of the turnover of the company”.

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Wed Jun 19 22:10:54 SAST 2013 ::

Nov 24, 2011

SifisoHadebe

Companies will simply pay the fines just like Tiger Brands,
then continue profiteering to fund executive lifestyles of beaches with white sands!
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Nov 24, 2011

Nwanawamukalaha

I just love the ANC ship of late. First it was the Secrecy Bill and now this.

Since the introduction of BEE and BBEEE, most white-run companies have been using names of blacks they have employed as the directors in the services profile documents they submitted to the municipalities. Now that it might be punishable, i don't know what's going to happen to them.

Them private companies who need no tender or project from any government entity will trade with their fellow private companies.

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Nov 24, 2011

KatakataEmaotoAditshepe

Black people are always whites victims because the first thing to start a business is the money so how could they survive that FRONTING ?
Fronting made by whites to black people mostly.
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Nov 24, 2011

1tsotsi

They should start with this white guy i know he calls hiself Nel Mahlangu just to get tenders, bloody cheat
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Nov 24, 2011

jacksprat

They should also apply this legislation to anc cronyism and cadre deployment.and all irregularly awarded tenders, tenders awarded to friends of anc officials, companies that do business with government that have anc officials or their spouses as directors etc etc.... FUKK THE anc!!!!!
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Nov 24, 2011

REVO24

Useless people have to leech off another mans success, can you not do anything on your own, you only know how to take, Why are we so unlucky to be stuck with these corrupt bastards?

LEAVE THE WHITE MAN ALONE!!!! HE DOES NOT WANT TO BE WITH YOU!!! ALL YOU DO IS TAKE AND DEMAND< FUKING USELESS PEOPLE>


VIVA INDEPENDANT WESTERN CAPE !!!! KEEP THE FUKING REST OF AFRICA !!! JUST LEAVE US ALONE!!!
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Nov 24, 2011

defacto69

"South Africa is the only country in the world where affirmative action is in the favour of the majority who has complete political control. The fact that the political majority requires affirmative action to protect them against a 9% minority group is testament to a complete failure on their part to build their own successful financial structures, such that their only solution is to take it from others."

- London Times
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Nov 24, 2011

defacto69

BEE fronting - What else are these companies suppose to do ?? They just can't afford to carry anymore Dumb Deadwood. It's costing them millions to employ unqualified idiots, that watch their Screen Savers all day and chomp Kentucky, not to mention the effect on inflation that this unproductive Deadwood causes. And who suffers the most ? .....the poorest of the poor as usual.
- Viva ANC Viva - !!!
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Nov 24, 2011

BiBi

@1tsotsi
They should start with this white guy i know he calls hiself Nel Mahlangu just to get tenders, bloody cheat-----------------------------------------------------------------------------------------------------------------------------
that bloody nel mahlangu one is dangerous you stay far away from him period even the greeting is poisinous from that serpent

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Nov 24, 2011

defacto69

The Serpent ?? ...... Nel Mahlangu ( Mr Tenderpreneur ) Ha ha ha ha
Must be the only ' whiteboy ' left in SA being awarded tenders

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