Statistics Act, 1999
R 385
Financial Services Ombud Schemes Act, 2004 (Act No. 37 of 2004)10. Requirements for recognition of scheme |
| (1) | In order to qualify for recognition in terms of section 11, a scheme must comply with the following requirements: |
| (a) | A majority of financial institutions, based on asset value, gross income or client base (as the Council may determine in general or in a particular instance), in a particular category of financial institutions must participate in the scheme; |
| (b) | a body that is not controlled by participants in the scheme and to which the ombud is accountable must— |
| (i) | appoint the ombud, settle the remuneration and monitor the performance and independence of the ombud; and |
| (ii) | monitor the continued compliance by the scheme with its constitution, the provisions of the scheme and this Act and report any non-compliance to the Council; |
| (c) | the scheme must provide for minimum requirements relating to qualifications, competence, knowledge and experience with which the ombud must comply; |
| (d) | the scheme must have sufficient human, financial and operational resources, funded by the participants in the scheme, to enable the ombud to function efficiently and timeously; |
| (e) | the proposed procedures of the scheme must enable the ombud— |
| (i) | to resolve a complaint through mediation, conciliation, recommendation or determination; |
| (ii) | to act independently in resolving a complaint or in making a determination; |
| (iii) | to follow informal, fair and cost-effective procedures; |
| (iv) | where appropriate, to apply principles of equity in resolving a complaint; |
| (v) | to report to the registrar and to a body representative of the relevant category of financial institutions on matters which may be of interest to them; |
| (f) | provision must be made for the effective enforcement of determinations of the ombud; |
| (g) | provision must be made to ensure that the questions, concerns and complaints of consumers are treated equitably and consistently in a timely, efficient and courteous manner; |
| (h) | the scheme must provide for ways in which it will co-operate with the Council’s functions of promoting the education of clients and co-ordinating the activities contemplated in section 8(1)(c); and |
| (i) | any other requirements that may be prescribed and that are not in conflict with the objects of this Act. |
| (2) | Nothing contained in subsection (1) precludes a scheme from providing that its participants are bound by other provisions set out in the scheme and that are not in conflict with the provisions of this Act. |
