National Payment System Act, 1998 (Act No. 78 of 1998)

Notices

Directive in respect of issuing of Electronic Funds Transfer Credit Payment instructions on behalf of the payer in the National Payment System

6. Supervision and compliance monitoring
Purchase cart Previous page Return to chapter overview Next page

 

6.1 A representative of the SARB may conduct a supervisory on-site or off-site inspection on the person issuing electronic funds transfer credit payment instructions on behalf of the payer, to promote compliance with this directive.

 

6.2 Subject to paragraphs 6.5.3 and 6.5.4, the SARB must provide prior written notification to the person whose business premises will be inspected.

 

6.3 The supervisory on-site inspection notification will specify:
6.3.1 date(s) of the intended supervisory on-site inspection;
6.3.2 names of the SARB representatives;
6.3.3 period under review; and
6.3.4 any other information/documentation required for inspection purposes.

 

6.4 Each SARB representative must produce a letter of authority and an identity document upon entry at the premises of a person issuing electronic funds transfer credit payment instructions on behalf of the payer, which officials must view for verification purposes and are prohibited to produce copies thereof.

 

6.5 The SARB representatives may enter any premises:
6.5.1 without prior consent in the case of business premises operated by a person issuing electronic funds transfer credit payment instructions on behalf of the payer; or
6.5.2 with prior consent:
6.5.2.1in the case of a private residence, where the business of the person issuing electronic funds transfer credit payment instructions on behalf of the payer is reasonably believed to be conducted at the private residence; or
6.5.2.2in the case of persons not registered to issue electronic funds transfer credit payment instructions on behalf of the payer after informing that person that:
a. granting consent will enable the SARB representative to enter the premises and for the SARB to subsequently search the premises; and
b. he or she is under no obligation to admit the SARB representative in the absence of a warrant; or
6.5.3 without prior consent and without prior notice to any person issuing electronic funds transfer credit payment instructions on behalf of the payer if the entry is authorised by a warrant in terms of paragraph 6.16; or
6.5.4 with the prior authority of a senior staff member of the SARB, if the senior staff member on reasonable grounds believes that:
6.5.4.1 a warrant will be issued if applied for, in terms of paragraph 6.16;
6.5.4.2 the delay in obtaining the warrant is likely to defeat the purpose for which entry of the premises is sought; and
6.5.4.3it is necessary to enter the premises to conduct the inspection and search the premises.

 

6.6 While on the premises, the SARB representatives, for the purpose of conducting the inspection, have the right of access to any part of the premises and to any document or item on the premises, and may do any of the following:
6.6.1 open or cause to be opened any strongroom, safe, cabinet or other container in which the SARB representatives reasonably suspect there is a document or item that may be relevant to the inspection;
6.6.2 examine, make extracts from and copy any document on the premises;
6.6.3 question any person on the premises to find out information relevant to the inspection;
6.6.4 require a person on the premises to produce to the SARB representatives any document or item that is relevant to the investigation and is in the possession or under the control of the person;
6.6.5 require a person on the premises to operate any computer or similar system or available through the premises to:
6.6.5.1search any information in or available through that system; and
6.6.5.2produce a record of that information in any format that the SARB representatives reasonably require;
6.6.6 if it is not practicable or appropriate to make a requirement in terms of subparagraph 6.6.5, operate any computer or similar system on or available through the premises for a purpose set out in that subparagraph; and
6.6.7 take possession of, and take from the premises, a document or item that may afford evidence of a contravention of this directive or may be relevant to the inspection.

 

6.7 The SARB representatives must give the person apparently in charge of the premises a written and signed receipt for the copies of documents or items taken as mentioned in paragraph 6.6.

 

6.8 Subject to paragraph 6.9, the SARB representative must ensure that any document or item taken by the SARB representative as mentioned in paragraph 6.6 is returned to the person when:
6.8.1 retention of the document or item is no longer necessary to achieve the object of the inspection; or
6.8.2 all proceedings arising out the inspection have been finally disposed of.

 

6.9 A document or item need not be returned to the person who produced it if:
6.9.1 the document or item has been handed over to a designated authority; or
6.9.2 it is not in the best interest of the public or any member or members of the public for the documents or items to be returned.

 

6.10 A person from whose premises a document or item was taken as mentioned in paragraph 6.6, or its authorised representative, may, during normal office hours and under the supervision of a representative of the SARB, examine, copy and make extracts from the document or item.

 

6.11 A person who is questioned, or required to produce a document or information during a supervisory on-site inspection contemplated, may object to answering the question or to producing the document or the information on the grounds that the answer, the contents of the document or the information may tend to incriminate the person.

 

6.12 On such an objection, the SARB representative conducting the supervisory on-site inspection may require the question to be answered or the document or information to be produced, in which case the person must answer the question or produce the document.

 

6.13 An incriminating answer given, and an incriminating document or information produced, as required in terms of paragraph 6.12, is not admissible in evidence against the person in any criminal proceedings, except in criminal proceedings for perjury or in which that person is tried based on the false or misleading nature of the answer.

 

6.14The SARB representative conducting a supervisory on-site inspection must inform the person of the right to object at the commencement of the supervisory on-site inspection.

 

6.15A judge or magistrate who has jurisdiction may issue a warrant for the purposes of this paragraph on application by a representative of the SARB.

 

6.16The judge or magistrate may issue a warrant in terms of this paragraph:
6.16.1on written application by the SARB setting out under oath or affirmation why it is necessary to enter and inspect the premises; and
6.16.2if it appears to the magistrate or judge from the information under oath or affirmation that:
6.16.2.1there are reasonable grounds for suspecting that a contravention of the directive has occurred, may be occurring or may be about to occur;
6.16.2.2entry and inspection of the premises is likely to yield information pertaining to the contravention; and
6.16.2.3entry and investigation of those premises is reasonably necessary for the purposes of the investigation.

 

6.17 A warrant issued in terms of this paragraph must be signed by the judge or magistrate issuing it.

 

6.18 SARB representatives that enter the premises under the authority of a warrant must:
6.18.1if there is apparently no one in charge of the premises when the warrant is executed, fix a copy of the warrant on a prominent and accessible place on the premises; and
6.18.2on reasonable demand by any person on the premises, produce the warrant or a copy of the warrant.