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News

A lot of changes expected in the Company Decree

December 7, 2012 4:03 am

A lot of changes should be expected as to how companies are run and set up in the country when the new Company Decree of 2012 will be enforced by early next year.

Decree consultant Bruce Cowley says one of the notable changes is that all companies whether public or private should have at least one member.

Cowley says the current laws which are the Company Act require seven or more persons to form a public company and two or more persons for a private company.

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He says there’s also a naming requirement for all private companies to use Pte at the end of their names.

He says another major change noted is on the member of board of directors which is three for public companies in which two must reside in Fiji and a private company must have one director and residing in the country.

He says they will allow transition period to make the changes

It is going to apply to all the companies in Fiji from the time it is adopted and we will allow transition period to make changes that we need to make.

Cowley says there is no jail penalty for those who breach the Decree but only if it involves corruption practice.

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