Proposed rules on accreditation of company service providers and service agents

LAST year, the Securities and Exchange Commission (SEC) issued a draft memorandum circular (MC) pertaining to the accreditation of company service providers (CSPs) and company service agents (CSAs). This was released on the commission's website (www.sec.gov.ph) on Dec. 12, 2022 for public comment.

This is in line with Section 179 (o) of the Revised Corporation Code of the Philippines (RCC), which mandates that the SEC formulate and enforce standards, guidelines, policies, rules and regulations to carry out the RCC provisions, as well as Section 7 of Republic Act 11032, or "Ease of Doing Business and Efficient Government Service Delivery Act of 2018," which provides that all government agencies, including local government units, adopt a zero-contact policy. This initiative also seeks to limit and regulate a smaller filing group that will be responsible for the overall compliance of business entities promptly, thus, will prevent payment of late fees and penalties.