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Electronic records must comply with the requirements of the Act.
Non-profit companies must maintain adequate records of all revenue received from
donations, grants and member’s fees, or in terms of funding, contracts or arrangements
with any party.
Regulation 25(3) sets out what is required to be included in the accounting records of a
company.
Records which must be kept include:
■ A record of the company’s assets and liabilities including but not limited to:
■ a register of company’s non-current assets
■ a record of any loan by the company to a shareholder, director, prescribed
officer, employee or any related person
■ a record of any liabilities and obligations of the company
■ A record of any property held by the company in a fiduciary capacity or in any
capacity or manner contemplated in Section 65(2) of the Consumer Protection Act
2008
■ A record of company’s revenue and expenditure
■ A record of inventory and stock in trade where the company trades in goods.
It is an offence for a company to fail to keep accurate or complete accounting records
with the intention of deceiving or misleading any person or to falsify its accounting
records.
Sections 29 and 30: Financial Statements &
Annual Financial Statements (AFS)
It is the duty of directors to cause the financial statements or annual financial statements
of the company to approved by the board and signed by an authorised director, and be
presented to the first shareholders meeting after the statements have been approved
by the board. If a company provides any financial statements including annual financial
statements to any person for any reason, these must satisfy the requirements set out in
Section 29.
Financial statements must not be false, misleading or incomplete in any material
respect. Summaries must comply with prescribed requirements for summaries.
It is an offence to prepare or be party to the preparation, approval, dissemination or
publication of any financial statement including any annual financial statements knowing
that those statements fail in a material way to comply with the requirements of the Act,
or are materially false or misleading. The Act places increased onus and liability on
preparers of financial statements.

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