The B-BBEE Commission issued a practice guide

The B-BBEE Commission issued a practice guide recently, which set to clarify the confusion around the validity of verification certificates, CIPC BEE certificates, and affidavits. B-BBEE Commission Practice Guide 1 of 2018

The guides us (amongst other things):

  1. on what constitutes a valid BEE verification certificate, CIPC BEE certificate, EME affidavit, and QSE affidavit.
  2. With confirmation that an EME affidavit is sufficient proof of BEE compliance for EMEs.
  • An EME will only have to follow a QSE scorecard and be verified by a SANAS accredited verification agency when it wants to improve its status.
  • Start-up businesses with contracts exceeding the EME/QSE threshold must also get a SANAS accredited agency to do a verification.
  1. on the implications of contravening the BEE Act by trading with a fraudulent/invalid BEE certificate:
  • Entities could be fined up to 10% of their annual turnover.
  • And individuals involved could face up to 10 years in prison and/or be fined

 

Click Here To read more.

 

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