Companies Act, 1973 (Act No. 61 of 1973)Chapter XVB: Financial reporting standards440X. Appointment and removal of members of Panel |
| 1) | The Minister shall appoint as members of the Panel- |
| a) | the persons nominated under section 440W(:3)(e) and (f); and |
| b) | persons selected in terms of subsection (2). |
| 2) | The Minister shall- |
| a) | advertise vacancies under section 440W(3)(a) to (d) and allow at least one month for nominations; |
| b) | select candidates who-- |
| i) | have the qualifications, knowledge and experience necessary to further the objective of the Panel; |
| ii) | are not full-time employees of government or of a statutory body; |
| c) | appoint a chairperson and deputy chairperson from members nominated under section 440W(c) and (e). |
| 3) | Members appointed under subsection (2) shall be appointed every three years and may not serve for more than six consecutive years. |
| 4) | For the sake of continuity, the Minister shall ensure that five or more of the candidates appointed- |
| a) | at the time the Panel is established, shall be members of the GAAP Monitoring Panel of the JSE Limited; and |
| b) | at every subsequent appointment, shall be former members of the Panel. |
| 5) | The Minister- |
| a) | must remove a member of the Panel who- |
| i) | becomes insolvent, |
| ii) | is certified as mentally unfit; |
| iii) | is convicted of an offence and sentenced to imprisonment without the option of a fine; |
| iv) | fails to disclose a conflict of interests; or |
| v) | is permanently incapacitated; and |
| b) | may remove a member of the Panel if the member- |
| i) | regularly declines nomination to an investigation committee; |
| ii) | is not conscientious in the performance of an investigation; |
| iii) | engages in an activity that may undermine the integrity or objective of the Panel. |
| 6) | A vacancy arising at any time other than the close of a three-year cycle shall be filled in the manner described in subsection (2). |