ARSP grants a 30-day grace period to Deregistered subcontracting companies 1Mining in DRC Governance 

ARSP grants a 30-day grace period to Deregistered subcontracting companies

After the sanctions taken by the Regulatory Authority for Subcontracting in the Private Sector (ARSP), a grace period of thirty (30) working days was granted to subcontracting companies in order to comply with the provisions of the Law in force.

According to the Director General of the ARSP, Miguel Kashal Katemb, the contracts already signed by the 1,200 companies concerned will be automatically void if the deadline is exceeded, in accordance with article 28 of the Law establishing rules applicable to the subcontracting in the private sector. This article provides sanctions for all those who violate the Law in matters of subcontracting in the private sector.

“We give them 30 working days to lodge their appeal. After this deadline, any contract signed with the main companies will be automatically void. 

The resistance we encounter is that most of the main companies are themselves subcontractors in disguise. », indicated Miguel Kashal Katemb.

For the latter, the law on the subject and its implementing measures stipulate, among other things, that 51% of shares in a subcontracting company must be held by Congolese and 49 others by expatriates.

As all these deregistered companies were not registered on the official list of subcontractors, they had already benefited from a period of 10 months of questioning in order to register with the ARSP and thus regularize their situation.

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