SEC Bicol urges non-compliant corporations to avail extended penalty amnesty
By Sally Altea
LEGAZPI CITY --- The Securities and Exchange Commission (SEC) Legazpi Extension Office is urging corporations and associations to take advantage of the extended deadline for applying for amnesty in cases of late or non-filing of annual financial statements (AFS), general information sheets (GIS), and other official contact details. This opportunity is available until June 30, this year.
“The SEC emphasizes the importance of timely compliance and adherence to regulatory requirements. Availing of the amnesty not only allows companies to rectify any filing deficiencies at a reduced rate but also demonstrates commitment to transparency and good corporate governance practices,” said SEC Bicol Director Atty. Norma A. Tan-Olaya.
Olaya said non-compliance will result in significantly higher fines after the deadline.
Under the SEC memorandum, eligible companies have 90 days, instead of the former 45 days from the date of payment to file the required reports.
Securities and Exchange Commission Bicol Director Atty. Norma A. Tan-Olayacalls on corporations and associations to avail the extended deadline for application of amnesty for late and non-filing of annual financial statements (AFS), general information sheets (GIS) and other official contact details until June 30, 2023 to avoid higher fines and penalties.
After the deadline, SEC will enforce more stringent fines for the late and non-filing of reportorial requirements.
“We then strongly encourage companies to avail of the amnesty to avoid the risk of facing steeper fines in the future,” Olaya said.
From the SEC memorandum, each offense will incur a 20% increase from the existing rate. For continuing violations, a monthly fine of Php1,000.00 will be imposed on top of the base penalty until the required reportorial requirement is submitted. With this, penalties will progressively increase depending on the number of days beyond the allowed period.
Failure to comply with the submission of official contact details of the company will automatically result in a penalty of P20,000.00.
The updated scale of fines and penalties serves as an effective deterrent against violations and ensures that companies strictly adhere to current regulations. (PIA5/Albay)