- Liberty Fighters Network has launched an urgent legality review against President Cyril Ramaphosa and Finance Minister Enoch Godongwana.
- The application challenges a proclamation that moves regulation-making powers under the Currency and Exchanges Act to the Finance Minister.
- The High Court in Cape Town will hear the case on 4 August 2026. If needed, the matter could then move to the Constitutional Court for confirmation.
On 4 August 2026, the High Court in Cape Town will hear an urgent constitutional challenge that could clarify the limits of the President’s power to transfer statutory functions within Cabinet.
The Liberty Fighters Network (LFN), led by its president, Reyno Dawid De Beer, has launched a legality review against President Cyril Ramaphosa and Finance Minister Enoch Godongwana. The application challenges Proclamation Notice 290 of 2025, which transferred responsibility for administering the Currency and Exchanges Act of 1933, including regulation-making powers under Section 9(1), from the President to the Minister of Finance. Judge D Thulare has been assigned to hear the case.
LFN argues that the proclamation goes beyond the powers given to the President by Section 97 of the Constitution. The group is asking the court to declare the proclamation unconstitutional.
LFN says Constitution does not permit the transfer
In his founding affidavit, De Beer argues that Parliament intentionally gave the regulation-making power to the President and that this power cannot simply be reassigned to a Cabinet minister.
He explains that Section 97 does not give the President the power to transfer regulation-making authority. It only allows the transfer of the administration of legislation from one Cabinet member to another, not powers specifically given to the President.
According to De Beer, only the President can repeal, amend, or replace the Exchange Control Regulations of 1961, since Parliament specifically assigned that authority to the President.
LFN says that allowing such a transfer would change the decision-maker that Parliament chose, without clear constitutional authority.
Draft regulations prompted urgent court action
LFN brought the application urgently after Government Notice 7375 was published in April 2026. This notice invited public comment on the Draft Capital Flow Management Regulations.
The notice explained that the draft regulations had been issued by the Minister of Finance under section 9(1) of the Currency and Exchanges Act.
In his affidavit, De Beer says that although the draft regulations are not yet final law, their publication is clear evidence that the proclamation is being seen as legally effective and that the Minister intends to use the original Section 9(1) regulation-making power. LFN argues that unless the court steps in, the Minister may finalise regulations that were not lawfully authorised.
Constitutional arguments before the court
The application brings several constitutional arguments to the court. LFN says Section 97 only allows the transfer of powers given to Cabinet members, not those that Parliament has specifically given to the President.
The organisation also points out that Sections 90 and 98 of the Constitution distinguish between the President and other Cabinet members, which they say reinforces that the transfer in the proclamation is not allowed.
The application also questions whether it was legal to make the proclamation effective before it was published, challenges the Minister’s right to publish the draft regulations, and raises concerns about the public participation process.
Presidency expected to oppose the application
The Presidency is likely to argue that the President, as head of the national executive and a member of the Cabinet, has enough constitutional authority to transfer executive functions to another Cabinet minister.
National Treasury is also expected to argue that the Finance Minister is the right person to oversee exchange control reforms, that the draft regulations are still open for consultation, and that the application is premature because no final regulations have been adopted yet.
Relief sought
LFN is asking the High Court to declare Proclamation Notice 290 of 2025 unconstitutional and invalid. LFN also wants the court to set aside the Draft Capital Flow Management Regulations and to grant an interim interdict that would stop the Minister of Finance from publishing final regulations until the proclamation’s legality is decided.
If the proclamation is found to be unconstitutional, any order declaring it invalid would have to be confirmed by the Constitutional Court before taking effect.
Explaining the purpose of the case, De Beer says that LFN does not want to obstruct regulatory reform, but wants to make sure that any reforms are made by the person authorised to do so by the Constitution and the Act.
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