Mutual Banks Act, 1993 (Act No. 124 of 1993)RegulationsRegulations relating to Mutual BanksChapter I : Basis of Regulation5. Consolidated financial statements |
| (1) | A mutual bank shall within 120 days of the end of the financial year of such mutual bank furnish the Authority with consolidated annual financial statements as prescribed in subregulations (2), (3) and (4). |
| (2) | Consolidated annual financial statements referred to in subregulation (1) shall present the state of affairs, and the results of operations, in respect of the banking business and all other business activities conducted by— |
| (a) | the reporting mutual bank and all its subsidiaries; |
| (b) | where applicable, the following associates of such reporting mutual bank and its subsidiaries namely— |
| (i) | a company or other incorporated business undertaking in respect a of the issued share capital of which the reporting mutual bank and its subsidiaries jointly hold more than 20 per cent but not more than 50 per cent; |
| (ii) | a trust or other unincorporated business undertaking in which the reporting mutual bank and its subsidiaries jointly hold an interest of more than 20 per cent, whether as beneficiary or ultimate beneficiary in the case of a trust, or as a partner in the case where such other unincorporated business undertaking is a partnership; and |
| (c) | associates referred to in paragraph (b), the business activities and financial affairs of which the reporting mutual bank and its subsidiaries are able to influence materially. |
| (3) | The consolidated annual financial statements shall be prepared in accordance with generally accepted accounting practice and so as to reflect rand amounts in units of thousands. |
| (4) | The equity method of accounting shall be applied in the preparation of the consolidated annual financial statements in so far as they relate to associates referred to in subregulation (2)(b) and (c). |