Fronting — the misrepresentation of black economic empowerment status and the falsification of certificates — will come to the fore at the Broad Based Black Economic Empowerment (B-BBEE) Commission\u2019s webinar.<\/p>\n
Deputy Minister of Trade, Industry and Competition, Nomalungelo Gina; Commissioner Zodwa Ntuli; representatives from the Special Investigating Unit, National Prosecuting Authority and Companies and Intellectual Property Commission will address the webinar today.<\/p>\n
The Commission will use the webinar to share with the public cases investigated since its establishment in 2016.<\/p>\n
The B-BBEE Commission was created following the 2013 amendments to the B-BBEE Act to oversee the implementation of the B-BBEE Act, which includes receiving complaints and acting on fronting practices and other violations of the B-BBEE Act.<\/p>\n
The B-BBEE Act requires all organs of State and public entities to include B-BBEE requirements in determining qualification criteria for the issuing of licences, concessions and other authorisations.<\/p>\n
Some non-compliant entities – aided by consultants or advisors, and with the involvement of rent seekers in most instances – devised structures and schemes to circumvent the requirements to access government opportunities, which amounts to fronting.<\/p>\n
The schemes range from basic ownership structures, with one or two shareholders, to complex structures involving thousands of people through multiple corporate vehicles that purport to have black ownership.<\/p>\n
In 2013, fronting and the misrepresentation of B-BBEE status became criminal offences.<\/p>\n
As at 30 September 2020, the Commission had 822 matters, with over 80% relating to fronting practices with mining, transport and construction accounting for the majority of the fronting complaints, with 386 cases having been finalised.<\/p>\n
\u201cThe session is therefore meant to provide an update on cases of fronting and misrepresentation of B-BBEE status that have been investigated. [This forms] part of the communication strategy of the B-BBEE Commission to raise awareness of these practices, which are detrimental to transformation and criminal in nature, with a view to identify and prevent them from occurring in our economy,\u201d said the Commission.<\/p>\n
Special focus will also be placed on the characteristics of these cases, investigation outcomes, as well as measures that government, companies and B-BBEE beneficiaries can put in place to ensure compliance. \u2013 SAnews.gov.za<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":" Fronting — the misrepresentation of black economic empowerment status and the falsification of certificates — will come to the fore at the Broad Based Black Economic Empowerment (B-BBEE) Commission\u2019s webinar. Deputy Minister of Trade, Industry and Competition, Nomalungelo Gina; Commissioner Zodwa Ntuli; representatives from the Special Investigating Unit, National Prosecuting Authority and Companies and Intellectual Property […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[38678],"class_list":{"0":"post-169373","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-sanews","8":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/169373","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=169373"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/169373\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=169373"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=169373"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=169373"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}