Company announcements Home » Investors » News » Company announcements » Harmony settles dispute with FSCA relating to 2007 financial disclosure 2018 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 Harmony settles dispute with FSCA relating to 2007 financial disclosureOctober 05, 2018Johannesburg. 5 October 2018: Harmony Gold Mining Company Limited (“Harmony” and/or “the Company”) is pleased to announce that it has reached a mutually acceptable settlement with the Financial Sector Conduct Authority (“FSCA”) of South Africa (The Directorate of Market Abuse substituted in terms of Section 300(3) of the Financial Sector Regulation Act, 2017), which settlement has been confirmed by the Enforcement Committee of the FSCA, relating to a SENS Announcement published by the Company on 25 April 2007. The April 2007 announcement related to the financial results for the quarter ending 31 March 2007. The published results, at that stage unknown to Harmony, were incorrect. The first indication that the results published on 25 April 2007 for the quarter ended March 2007 were erroneous, was end of July 2007. The Company immediately informed the shareholders and the necessary authorities and reviewed all financial reporting policies and systems to ensure that a similar error would not occur. At the time, the Directorate of Market Abuse alleged that Harmony published misleading financial statements. Harmony cooperated with the FSB to ensure that expensive and protracted enforcement proceedings and possible litigation be avoided. Following various discussions between the FSB and Harmony over more than a decade, the Enforcement Committee of the FSCA confirmed the settlement reached by Harmony and the Directorate of Market Abuse and determined on 4 October 2018 that Harmony contravened section 76 of the Securities Services Act No.36 of 2004 by publishing misleading financial statements and imposed an agreed administrative penalty of R30 million on Harmony. Frank Abbott, financial director of Harmony, commented that: “The inaccuracy of the March 2007 quarterly financial results was a bona fide error, following the implementation of a new financial software system. This has been the only material weakness identified in our internal control over financial reporting that we have had in 68 years.” For more details contact: Marian van der Walt Executive: Investor Relations +27(0) 82 888 1242 (mobile) Frank Abbott Financial Director +27(0) 82 800 4290 (mobile) JSE Sponsor: J.P. Morgan Equities South Africa Propriety Limited Harmony Gold Mining Company Limited (Harmony), a world-class gold mining and exploration company, has operations and assets in South Africa and Papua New Guinea (PNG). Harmony has more than 60 years’ experience in the industry. Company assets include one open pit mine and several exploration tenements in PNG, as well as 10 underground mines and 1 open pit operation and several surface sources in South Africa. In addition, Harmony owns 50% of the significant Wafi-Golpu copper-gold project – a tier 1 asset – in a joint venture in PNG. The company’s primary stock exchange listing is on the JSE with a secondary listing on the New York Stock Exchange. The bulk of our shareholders are in South Africa and the United States. Additional information on the company is available on the corporate website, www.harmony.co.za.
