The Department of Trade and Industry will spend R52.4 million to create a Companies and Intellectual Property Commission over the next three years.
Protection and the National Liquor Authority.
Treasury anticipates that the merged entity will allow for streamlined functions that will lead to more efficient company registrations and more effective mechanisms for improved revenue collection.
In the next three years, the commission will prioritise cutting down on fraud and trimming the costs of accessing its services. Cipro, which will form part of the merged entity, has recently been plagued by fraud as several companies have been hijacked after its database was abused.
Treasury allocated R9 million to the commission, for its establishment in the current financial year, which ends next month. Over the next three years, R52.4 million will be allocated to get the commission up and running, after which it will fund itself.
Total company registrations are expected to average between 26 000 and 30 000 each year for the next three years. The commission's responsibilities will be wider than Cipro's as it will also have an oversight and enforcement arm. It will also be able to initiate investigations into companies.
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