Regulatory Alerts2019-06-03
Directive PF No. 8: Prohibition on the Acceptance of Gratification
The Financial Services Board issued Directive PF No. 8 to prohibit board members, officers, employees, auditors, valuators, administrators, and service providers of South African retirement funds from accepting any gratification that creates a conflict of interest or exceeds regulatory limits. The directive explicitly bans gifts over R500 annually, travel or accommodation for due diligence and entertainment, and conference expenses, while broadly defining gratification to encompass money, favors, and privileges. It further mandates these individuals to immediately report any known or suspected corrupt activities, material financial prejudices, or directive breaches to the Registrar of Pension Funds or the Directorate for Priority Crime Investigation.