Subject: Important Notice:
Directors' Roles and Responsibilities under the Companies (Amendment) Act 2024
Dear Director,
I hope this email finds you well. I am writing to inform you of the recent amendments to the Companies Act and to outline the roles and responsibilities that directors must adhere to.
Amendment Overview:
The Companies Amendment Act has introduced significant changes, particularly concerning the obligation to obtain, verify, and record beneficial ownership information. It is imperative that all directors are fully informed about their duties regarding compliance with these amendments.
Roles and Responsibilities:
1. Board of Directors:
- The board of directors holds ultimate responsibility for ensuring that the company complies with the provisions outlined in the Companies Amendment Act.
- Directors must oversee the process of obtaining and recording beneficial ownership information accurately in the register of beneficial owners.
- It is the duty of the board to ensure timely updates to the register and to take necessary actions in case of changes or discrepancies in the information provided.
2. Shareholders of the Company:
- Shareholders who receive notices under subsections 60C(1) or (3) must promptly inform the company whether they are beneficial owners and provide relevant information.
- Shareholders are also obligated to indicate any other persons who may be beneficial owners of the company.
3. Other Involved Parties:
- Non-members who receive notices under subsections 60C(2) or (3) are required to confirm their status as beneficial owners or provide information on other potential beneficial owners.
- Company secretaries are responsible for maintaining the register of beneficial owners and lodging any changes with the Registrar.
- Beneficial owners must notify the company of any changes to their particulars and respond to notices issued by the company.
Penalties for Non-Compliance:
Non-compliance with the Companies Amendment Act may result in penalties as specified under the legislation. It is crucial for all directors to ensure strict adherence to the requirements outlined to avoid any legal consequences.
Conclusion:
In conclusion, I urge all directors to familiarize yourselves thoroughly with the roles and responsibilities outlined in the Companies Amendment Act. Compliance with these regulations is essential to uphold the integrity and transparency of our company's operations.
Attached is a copy of Simplification Toolkit for Directors (click to download 6 pages PDF file)
Should you have any questions or require further clarification regarding these amendments, please do not hesitate to reach out to the legal department for assistance or contact your company secretary.
Thank you for your attention to this matter.
Sincerely,
Your Company Secretary
Read more here Telegram Channel https://t.me/BeneficialOwnerSSM
By AmazingCFO Your CFO | Compliance, Finance, Outsourcing