Critics of the proposed changes argued that the amendments to FICA are too broad in their definitions and would include activities that pose no risk of money laundering or terrorist funding.
Keigan Hart, a spokesperson for Outsurance, said that the draft amendments could affect how business in the insurance sector is conducted with the extra costs of compliance ultimately falling on the consumer. The South African Institute of Chartered Accountants said that the accounting industry could face some challenges if the draft amendments are implemented. SAICA said that the amendments lack clarity and do not factor into account the cost of compliance.
The proposed amendments were said to be a blunt instrument in a broad kneejerk reaction to the possible ‘greylisting’ and sufficient thought has not been given to the impact such regulations could have on business in the country.
How about changes to laws that ensure governments and politicians don't launder money and finance terrorists? No? Too close for comfort, I guess?
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