2015 BANKING A11,1F"'-'D?vfE!'IT (d) (b) No.l2 as a vehicle for structuring financial transactions that can have a material effect on the banking institution or controlling company in such a way that they do not appear on the institution's or company's balance sheet; (e) any specific or temporary purpose \Vhatsoever;"; (iv) in the definition of "registered" by the insertion after "banking institution" of "or controlling company"; in subsection (2) by the insertion after paragraph (e) of the following paragraphs"or (f) (c) the banking institution fails to pay any deposit on demand by the depositor or, in the case of a tenn deposit, on due date; or (g) the banking institution establishes an entity such as a special purpose vehicle without the approval of the Reserve Bank in terms of section 32A or, having established such an entity with such approval, uses it for a purpose or in a manner that was not authorised by the Reserve Bank; or (h) the banking institution carries out activities that are prohibited in terms of this Act or any other enactment."; by the insertion after subsection (3) of the following subsections"(4) A director of a banking institution or controlling company shall be regarded as independent for the purposes of this Act if he or she(a) does not hold such number of shares in the institution or company as wmild require the Registrar's pennission in terms of section 15A or would constitute a significant interest in tenns of section 15B(l); and (b) is not an officer or employee of the institution or company, and has not been such an officer or employee for the preceding three years; and (c) on his or her appointment, has not been a director of the institution or company for the preceding two years; and (d) is not a director, officer or employee of any company in a group of companies of which the institution or controlling company is a member; and (e) is nota professional advisor ofthe institution or company; and (f) is not a nominee, representative, associate or close relative of(i) a shareholder with a shareholding refened to in paragraph (a); or (ii) an officer, employee or professional advisor of the institution or company; or (iii) a director, officer or employee of a company in a group of companies of which the institution or controlling company is a member; (g) and does not have and has not had any contractual or business relationship, direct or indirect, with the institution or company which might reasonably be regarded as likely to impair his or her independence as a director; and 207