Requirement to File Annual Corporate Governance Report
The Securities and Exchange Commission (SEC) has recently, in March 2013, mandated all listed companies to submit Annual Corporate Governance Report (ACGR), subject to the following guidelines:
- Three copies of a fully accomplished ACGR shall be submitted on May 30, 2013 and every five (5) years thereafter;
- On the second (2nd) to fourth (4th) year from the effectivity of this Circular, only changes or updates shall be required to be indicated;
- A basic penalty of P20,000.00 shall be imposed for the late filing of the Report. Continuous failure of the company to comply shall subject it to a monthly penalty of P2,000.00 shall be imposed until the said report is filed;
- The submission of following Certifications shall be discontinued:
1) Certifications of Attendance of Directors in Board meetings; and
2) Certification of Compliance with the Manual of Corporate Governance.
- The Corporate Governance section in the Annual Report (SEC Form 17-A) shall be deleted.
The SEC also required that such ACGR shall be posted in the companies’ websites. See Posting of Annual Corporate Governance Report in Company websites mandated by SEC for the related article.
Key Officers and BODs Corporate Governance Training
The SEC issued SEC Memorandum Circular No. 20, Series of 2013 directing ALL key officers and members of the Board of Directors of publicly-listed companies (PLCs) to attend, at least once a year, a program on corporate governance conducted by training providers that are duly accredited by SEC. This was said to be pursuant to the SEC’s regulatory and supervisory power under Section 5 of the Securities Regulation Code.
Participants, through the corporation, shall submit a Certificate of Attendance within Ten (10) days from the completion of the program.
The circular will take effect on January 1, 2014.
SEC Accredited Corporate Governance Training Providers
SEC Memorandum Circular No. 14, Series of 2012 set forth the guidelines for accreditation of institutional training providers for corporate governance.
To ensure that quality training on good corporate governance principles and standards shall be provided for the directors of corporations covered under the Code of Corporate Governance, the conduct of seminars/trainings on said topics shall be made by institutional training providers that are duly recognized and accredited by the Securities and Exchange Commission.
The question is, who are those now accredited training providers?
Currently, there is no published list of SEC accredited training providers for corporate governance, as far as I know. I run a research in the web and have not found one also. To be sure that you training provider on corporate governance is SEC accredited, you can drop a call to the SEC at (02) 584-6120.
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