SEC Memorandum Circular No. 04, s. 2001 – Schedule of Fees, Fines and Penalties
SEC Memorandum Circular No. 04, s. 2001 adopts the schedule of fees, fines, and penalties for broker/dealers, investment company advisers, investment houses, and transfer agents under the Securities Regulation Code and related securities laws.
SEC MEMORANDUM CIRCULARS
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SEC Memorandum Circular No. 04, s. 2001
Schedule of Fees, Fines and Penalties
Date Issued: 3 May 2001
Issuing Agency: Securities and Exchange Commission (SEC)
Overview
SEC Memorandum Circular No. 04, s. 2001 adopts the schedule of fees, fines, and penalties applicable to broker/dealers, investment company advisers, investment houses, and transfer agents. The circular was issued pursuant to the Securities Regulation Code (R.A. No. 8799), its Implementing Rules and Regulations, the Investment Houses Law, the Corporation Code, and the Investment Company Act.
Full Text
(NAR) VOL. 12 NO. 2 / JANUARY - MARCH 2001
[ SEC MEMORANDUM CIRCULAR NO. 4, May 03, 2001 ]
SCHEDULE OF FEES, FINES AND PENALTIES
Pursuant to the Securities Regulation Code [SRC] (RA No. 8799) and its Implementing Rules and Regulations, the Basic Rules to Implement the Provisions of the Investment Houses Law (P.D. 129), the Corporation Code (BP Bldg., 68) and the Investment Company Act (RA No. 2629), the following schedule of fees, fines and penalties are hereby adopted:
A. Broker/Dealer
1. Fees
Date of Filing
Amount
New Registration
Head Office
P50.000 + other fees
Branch Office
10,000 + other fees
Salesman
2,000 + other fees
Associated Person
3,000 + other fees
Dec. 2
Renewal
Head Office
P20.000 + other fees
Branch Office
P 5, 000 + other fees
Salesman
P 1,000 + other fees
Associated Person
P 1,500 + other fees
2. Fines and Penalties
Reports
FINOP (late filing)
Within 15 days after month end
Basic fine of P10,000
Plus P100 for every day of delay
Annual Audited Financial Report
110 days after end or fiscal year
Basic Fine of P10.000
Plus P100 for every day of delay
Other periodic reports
Basic fine of P10,000
Plus P100 for every day of delay
Other practices prohibited under SRC
P10.000 for every violation without prejudice to the filing of criminal case
B. INVESTMENT COMPANY ADVISERS
1. Fees
Date of Filing
Amount
New Registration
Head Office
P10.000 + other fees
Sales Agent
P 2.000 + other fees
Renewal
March 15
Head Office
P3,000 + other fees
Sales Agent
P1.000 + other fees
C. Investment houses
1. Fees
Date of Filing
Amount
New Registration
Head Office
P50.000 + other fees
Sales Agent
P10,000 + other fees
Associated Person
1,000 + other fees
Renewal
January 15
Head Office
P10,000 + other fees
Branch Office
P 5,000 + other fees
Associated Person
P 500 + other fees
2. Fines and Penalties
Reports
Progress
Within 15 days end of quarter
P 200 per day of delay
Semi-Annual
Within 60 days end of semester
P 200 per day of delay
Annual
Within the month of March of each year
P 200 per day of delay
General Information Sheet
1 month after the date of the actual Annual Meeting
P 200 per day of delay
Other Violations
Minimum Paid-up Capital Requirement
P 200 per day of non-compliance
Unimpaired Capital
P200 per day of non-compliance
25% Fee-Based Income
P200 per day of non-compliance
Capital Adequacy Ratios
P200 per day of non-compliance
Single Borrower's Limit
Networth to Risk Asset
Interlocking Directors
P200 per day of non-compliance
Underwriting Fees
P200 per day of non-compliance
D. Transfer Agents
1. Fees
Date of Filing
Amount
New registration
Within 30 days from June 1 of every year
P10,000 + other fees
Renewal
Within 30 days from June 1 of every year
P3.000 + other fees plus P200.00 per issue being handled but not more than P5,000.00
2. Fines and Penalties
Failure/Late Filing of Monthly Reconciliation of PCD and TA
10 days after the end of each month
Basic Fine-P10.000 Plus P100/day of delay
Failure/Late Filing of monthly certification as to the number of shares registered under the name of PCD Nominee
10 days after the end of each month
Basic Fine-P10.000 Plus P100/day of delay
Failure/Late submission of Annual Report
Using SEC Form 36-AR
105 days after the end of fiscal year
Basic Fine P10.000 Plus P100/day of delay
Failure to submit any of the following exception reports
Any delay in the turnaround or processing of an issue, transfer or replacement of a security
Any discrepancy between its records and those of the registered clearing agency, if applicable
Any loss of securities reports to it; and
The termination of its functions as a transfer agent for a particular security
Within 7 days of the occurence of the events
Basic Fine P10,000 Plus P100/day of delay
Failure to submit Annual Audited Financial Statements
105 days after the end of fiscal year
Basic fine of P10.000 Plus P100/day of delay
Failure to submit General Information Sheet (GIS)
Within 30 days from the date of postponement of the Annual Meeting
Basic fine P10.000 Plus P100/day of delay
Failure to submit Affidavit of Non-Holding of Meeting of Postponement of Annual Stockholder's Meeting
Within 30 days from the date of postponement of the Annual Meeting
Basic fine P10.000 Plus P100/day of delay
Failure to submit Notice of Change of Address
Within 10 days after the end of each month
Basic fine P10.000 Plus P100/day of delay
This memorandum circular shall take effect immediately.
Adopted: 3 May 2001
(SGD.) LILIA R. BAUTISTA
Chairperson
Source
Official Source: Securities and Exchange Commission (SEC)
Reference URL:
https://appointment.sec.gov.ph/mc-2001/sec-memorandum-circular-no-04-13/
Citation:
SEC Memorandum Circular No. 04, s. 2001 (3 May 2001), "Schedule of Fees, Fines and Penalties."