The Securities and Exchange Commission has declared as delinquent 117,885 corporations from around the country who have been remiss for far too long in observing the terms of their registration.
The SEC said most failed to submit the mandatory annual reports for more than five years and as consequence their corporate activities are no longer sanctioned.
This was not the first time the agency suspended the privilege of corporate recognition en masse having declared as suspended and subsequently purged delinquent entities in 2015 and 2016.
This developed with the conclusion of the SEC amnesty program that ran from March to December last year giving non-compliant, suspended or revoked corporations a chance to redeem their good standing by paying reduced fees.
The law, the Revised Corporation Code of the Philippines, requires corporations to submit reportorial documents such as annual financial statements and general information sheet. A five-year delinquency merits an initial suspension prior to the eventual revocation of its corporate status and personality.
