THE Securities and Exchange Commission (SEC) is considering the accreditation of service providers and agents that assist the public in processing transactions with the commission.
On Monday, the SEC released its proposed rules on the accreditation of company service providers (CSP) and company service agents (CSA). The practice, which the regulator said is observed in Singapore, seeks to limit and regulate a smaller filing group that will be responsible for the overall compliance of businesses.
“The accreditation also seeks to help the transacting public in need of assistance from legal and financial experts on the application for registration for partnerships or domestic corporations, as well as highly technical applications,” the regulator said in a press release.
The rules define CSP as an accredited SEC and Department of Trade-registered corporation in good standing that provides services such as assistance in the application for registration.
Meanwhile, CSAs can be independent or employed with a CSP also duly accredited by the SEC to assist in the services determined by the regulator.
“A CSP must employ an SEC-accredited CSA who will also act as its duly authorized representative,” the SEC said.
The SEC said that applications processed through CSPs or CSAs will have faster turnaround times as they will be given a separate lane and will no longer be subjected to pre-processing by the commission’s Company Registration and Monitoring Department.
According to the proposed rules, CSAs must pass an online accreditation examination, which consists of four categories: registration of Filipino-owned or with 40% foreign stock holdings partnerships or domestic corporations; registration of companies with more than 40% foreign stock equity; registration of entities with a required secondary license; and licensing of foreign corporations.
The certificate of accreditation for CSA or CSP will be valid for three years and is renewable every three years. — Justine Irish D. Tabile