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Business Practices Committee Report 59

XB National Care Society

Notice 2010 of 1998



Department of Trade and Industry


Harmful Business Practices Act, 1988


Whereas I, Alexander Erwin, Minister of Trade and Industry, after consideration of a report by the Business Practices Committee in relation to an investigation of which notice was given in Notice No. 1194 of 1997 (Government Gazette No. 18208 of 1997), and which report was published by General Notice 2009 (Government Gazette No. 19235 of 11 September 1998), am of the opinion that a harmful business practice exists which is not justified in the public interest, do hereby exercise my powers under section 12 (1) (b) and (c) of the Harmful Business Practices Act, 1988 (Act No. 71 of 1988), as set out in the Schedule.



A Erwin

Minister of Trade and Industry




In this notice, unless the context indicates otherwise--


"harmful business practice" means the operation of a funeral scheme business without its obligations being underwritten by a registered insurance company and whereby persons identified under "parties", directly and/or indirectly--

a) accepts any financial consideration from any person in terms of an arrangement that obliges any party to provide benefits in relation to funerals;
b) makes any payment in relation to funeral benefits to any person in terms of paragraph (a) above.


"the parties" mean XB National Care Society (Pty) Ltd, Moses Michael Nxumalo or agent or any person acting directly or indirectly on behalf of XB National Care Society (Pty) Ltd or Moses Michael Nxumalo.


1) The harmful business practice is hereby declared unlawful in respect of the parties.


2) The parties are hereby directed to--
a) refrain form applying the harmful business practice;
b) cease to have any interest in a business or type of business which applies the harmful business practice or to derive any income thereof;
c) refrain from at any time applying the harmful business practice; and
d) refrain from at any time obtaining any interest in or deriving any income from a business or type of business applying the harmful business practise.


3) This notice shall come into operation on date of publication.