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Question: 1 Mandla is both a director and shareholder of Cargo Logistics Ltd. He wants to buy more shares in Cargo Logistics Ltd but does not have enough money to do so. He offers to rent out a warehouse to Cargo Logistics Ltd. Cargo Logistics Ltd agrees to pay R1.2 million per annum as rent for the warehouse. Mandla then uses part of the money to purchase 10 000 shares in Cargo Logistics Ltd. With reference to the relevant case law, statutory provisions and the facts provided in the above scen...

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