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MERCANTILE LAW 193

TUTORIAL 8 (2023)

INSTRUCTIONS AND IMPORTANT INFORMATION:

1. Submit the completed tutorial to SunLearn before 16:00 on Tuesday 10 October 2023.
All that is required is an electronic submission.
a. There will be no need to hand in a hard copy.
b. Note that all submissions will be analysed by Turnitin for similarity with
submissions of other students and to other sources.
c. Students are advised to take a copy of their tutorial answers with them to the
tutorial session as this will assist with participation in the discussion.
2. Formatting requirements:
a. Maximum two typed pages (submitted in either MS Word or PDF format)
b. Minimum font: 11 Arial or 12 Times New Roman
c. 1.5 line spacing
d. Do not answer in bullets. Write full sentences and motivate your answers.
e. Do not retype/include the question(s) in your answer, simply start with your
answer. Please number your answers according to the questions set.
3. Remember to type your name and student number on the tut.
4. Students are reminded that it is a pass requirement for ML193 to complete, submit,
and attend a minimum of 5 (five) valid tutorials during the year. In order to be regarded
as a ‘valid tutorial’ the following requirements must ALL be met:
a. The student’s attempt at answering the tutorial questions must be successfully
submitted on SunLearn;
b. The submission must take place before the set deadline (date and time);
c. The student’s attempt at answering the tutorial questions must be judged by
the relevant tutor to be a complete bona fide attempt. This means that the
student’s attempt at answering the tutorial question must be:
i. an original and individual attempt that is not copied from class notes,
PowerPoint slides, other sources, or from other students (in this or
previous year groups). Students may accordingly not copy and paste
content of any other source directly into their answers, and must attempt
to answer the tutorial questions in their own words. Where information
from any source is utilised in answering the tutorial question, students
must provide a reference of such source, and a failure to do so will
amount to plagiarism, which will result in the tutorial not being regarded
as valid. Disciplinary steps may also be taken in the case of plagiarism
occurring. Students who are repeating the module may also not
resubmit an answer that has already been submitted for this module.
ii. a complete and legitimate attempt at answering ALL the questions of a
tutorial exercise. In order to constitute a legitimate attempt students
should indicate a level of competency in their answers that shows a
minimum level of understanding. In this regard also note that an answer
of two lines for a 6 mark question or a single (short) paragraph for a 15
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mark question will not constitute a legitimate attempt. Moreover, the

failure to attempt to answer ALL the questions set as part of the tutorial
exercise (i.e. if a student only answers 4 out of 5 questions set) may also
result in a student’s tutorial not being regarded as a complete and
legitimate attempt.
iii. The student attended the tutorial session(s) in the correct group and
venue (for which tutorial answers were submitted) and confirmed their
attendance in the manner required by the tutor.

Tutorial Groups and Venues:

Vanne A-Z
Lokaal: Nina
Groep 1 Afrikaans (alle studente met Afrikaans as
Schumann 101 Breytenbach
geregistreerde onderrigtaal)
Surnames starting with: Venue:
Group 2 English Caitlin Freddy
A, B, C, D, I Van der Sterr 1003
Surnames starting with: Venue:
Group 3 English Josie Hemphill
E, F, G, H, K, L Van der Sterr 1017
Surnames starting with: Venue:
Group 4 English Meg James
N, O, P, Q, V, X, Y, Z Van der Sterr 1046
Surnames starting with: Venue:
Group 5 English Rumbi Mapani
J, M, U Old Main Building 1023
Surnames starting with: Venue: Samantha
Group 6 English
R, S, T, W Krotoa 1012 Vickery

WARNING AGAINST PLAGIARISM:

Tutorials are individual tasks and not group activities.
You are not allowed to copy text from other students or from the study guide – only short
quotes from the notes are allowed and only if so indicated. You have to reformulate existing
text in your own words to explain what you have read. Students who hand in copied text (in
other words directly copied from the notes or another student’s assignment), will receive a
mark of nil and disciplinary steps may be taken by the Faculty and/or the University against
such students. Furthermore, it will mean that you forfeit your level of competency
requirement, which could result in you failing the module.
Note that the same applies for students who are repeating the module and who copy the text
of a previous year’s assignment and hand in as an assignment for the present year.
Also note that students who allow fellow students to copy their tutorials and thereafter hand
in as their own individual work will also receive a mark of nil as you are aiding other students
to commit an act of plagiarism.
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Question 1 (10 marks)

Choose the correct answer for each of the following questions and provide a short reason
for your answer.

Question 1.1 (2 marks)

True or False

World of Warcraft Gold is an example of decentralised, convertible virtual currency.

Question 1.2 (2 marks)

Choose the correct option

Which of the following pieces of legislation are relevant to anti-money laundering measures in South
Africa?

a. Financial Intelligence Centre Act 38 of 2001 (FICA).

b. Banks Act 94 of 1990.
c. Prevention of Organised Crime Act 121 of 1998 (POCA).
d. (a) & (c).
e. All of the above.

Question 1.3 (2 marks)

Choose the correct option:

Which of the following is not a traditional method of payment:

a. Cash
b. Credit cards
c. Promissory notes
d. Bills of exchange

Question 1.4 (2 marks)

True or False:

A suretyship agreement will remain in existence until the creditor and the surety agrees to bring the
agreement to an end even if the main debt has already been paid by the debtor.
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Question 1.5 (2 marks)

True or False

Mortgage bonds can be registered over all corporeal property.

Question 2 (6 marks)

State and briefly explain the stages of money laundering

Question 3 (9 marks)

Jessica Gold is a multi-billionaire and business tycoon. She is a self-proclaimed “hustler” and based
on her personal net worth it would appear that she runs a legitimate and highly successful business.
Although Jessica has always been known for being eccentric, she has been acting particularly
strangely lately. She disappears for weeks at a time to attend various “business meetings” and
“international conferences”. Jessica has also recently bought all ten houses on Pam Golding’s
annual “10 Most Expensive Houses in South Africa” list. Jessica also decides to invest R10 million
in her 12-year-old niece, Melissa’s homemade lemonade business.

Question 3.1 (5 marks)

Dimpho Mawuka is an attorney and conveyancer at Big Red Inc. Big Red Inc represents Jessica in
a number of her business and personal affairs, including property purchases. Following Jessica’s
purchase of the ten properties, Dimpho becomes suspicious of the source of Jessica’s wealth.
Dimpho approaches you for advice as to whether she is legally obligated to do anything about her
suspicions.

Question 3.2 (4 marks)

One of Melissa’s clients wishes to buy lemonade for a party and wishes to pay Melissa in Bitcoin.
Explain to Melissa what Bitcoin is and if she should accept it as payment

[Total 25 marks]