lending arrangement

means any arrangement or agreement in terms of which-

a) a person (hereinafter referred to as the lender) lends securities to another person (hereinafter referred to as the borrower) in order to enable that borrower to effect delivery (for any purpose other than for delivery to any lender in relation to that borrower unless the borrower can demonstrate that the arrangement was not entered into for purposes of the avoidance of any tax and was not entered into for purposes of keeping any position open for more than 12 months) of the security within 10 business days after the date of transfer of those securities from the lender to the borrower in terms of that arrangement;

b)	b) that borrower in return contractually agrees in writing to deliver securities of the same kind and quality to that lender within a period of 12 months from the date of transfer of those securities from the lender to the borrower in terms of that arrangement;

c)	c) that borrower is contractually required to compensate that lender for any distributions in respect of the securities which that lender would have been entitled to receive during that period had that arrangement not been entered into; and

d)	d) that arrangement does not affect the lender’s benefits or risks arising from fluctuations in the market value of the securities:

Provided that where—

i)	i) that borrower has not on delivered the securities within the period contemplated in paragraph (a); or

ii)	ii) that borrower has not returned securities as contemplated in paragraph (b) to the lender within the period contemplated in that paragraph, that arrangement shall be deemed not to be a lending arrangement.