Regulatory Alerts2018-07-04
C2/2018: Requirements related to a due diligence audit of the financial condition of a bank
The South African Reserve Bank's Prudential Authority issued Circular C2/2018 to enforce compliance with sections 7(3), 7(4), and 7(5) of the Banks Act regarding due diligence audits. The circular mandates that auditors must notify the Authority in writing before conducting an audit, submit the resulting report to the Authority, and maintain strict confidentiality of the findings. It highlights recent contraventions of these provisions and requires institutions to return a signed acknowledgement of receipt to ensure ongoing adherence to the legal requirements.
Share