The Securities and Exchange Commission (SEC) on Monday reminded corporations they have less than a month to take advantage of its Enhanced Compliance Incentive Plan (ECIP) program which ends on 30 November this year. The program allows eligible companies to rectify compliance issues and avoid significant fines and penalties for late or non-filing of required reports.
SEC chairman Emilio B. Aquino emphasized the urgency of the situation, saying, “With less than a month left before we officially close ECIP, we encourage non-compliant, suspended, and revoked corporations to complete their applications to ensure the continuous operations of their businesses.”
Under the Revised Corporation Code of the Philippines, all SEC-registered entities must submit annual financial statements and general information sheets (GIS). Failure to comply can lead to fines, penalties, and potentially the suspension or revocation of corporate registration—removing essential privileges such as limited liability and perpetual existence.
Eligible corporations, including those facing delinquent status, can settle fines for late or non-filing by paying only P20,000. Additionally, suspended or revoked corporations may have their penalties reduced by 50 percent, along with a petition fee of P3,060 to lift their suspension.
The SEC is urging companies to act swiftly to avoid the severe consequences of non-compliance.
