The Securities and Exchange Commission (SEC) is extending its penalty holiday under its enhanced compliance incentive plan (ECIP) until the end of the year.
ECIP allows erring companies to settle their reportorial delinquencies on their annual financial statement (AFS), general information sheet (GIS) and official contact details for less fines and penalties, instead of the upgraded penalties announced in April.
“Corporations may apply for ECIP by submitting the Expression of Interest, integrated in their accounts on the Electronic Filing and Submission Tool (eFAST). Applicant corporations are required to submit their latest due AFS and GIS by Dec. 31, 2024,” the SEC said.
“Non-compliant corporations and those placed under the delinquent status may settle their fines and penalties for only P20,000,” it added.
The SEC said companies with suspended and revoked registrations need to pay 50 percent of their assessed fines and penalties, plus P3,060 to process their petition under ECIP to lift the order of suspension or revocation.
In addition to the AFS and GIS, corporations whose certificates of incorporation have been suspended or revoked need to submit the petition to lift the order of suspension or revocation, along with other supporting documents such as directors’ or trustees’ certificate, proof of ongoing operations, secretary’s certificate of no intra corporate controversy, among others.
“Such documents should be submitted to the designated SEC email addresses. Corporations based outside of Metro Manila must submit the requirements to the concerned SEC Extension Office,” it added.
As of November 28, more than 3,200 corporations have already applied and paid the corresponding ECIP fees, the SEC said.
Companies that fail to submit the complete requirements by Dec.r 31, 2024, forfeit the ECIP fee of P20,000 for non-compliant corporations and 50 percent of the total assessed penalties as well as the initial petition fee of P3,060 for suspended/revoked corporations, the SEC added.
