Binay urges SEC to consider reverting to manual processing of certificates of registration of companies

Published February 15, 2018, 1:15 PM

by Patrick Garcia

By Hannah Torregoza

Senator Nancy Binay on Thursday urged the Securities and Exchange Commission (SEC) officials to consider shifting back to manual registration in order fast track the release of certificates of registration of companies.

Senator Nancy Binay (Senate of the Philippines official Facebook page / AMNIAL BULLETIN)
Senator Nancy Binay (Senate of the Philippines official Facebook page / MANILA BULLETIN)

Binay said she is wondering why there is a heavy delay in the release of these certificates considering it has launched an online registration system to expedite application processes filed by companies.

She said the SEC should explain the cause of the heavy delay as it is unacceptable to make taxpayers wait for more than a month when the processing of certificates can be finished in three days.

“Our taxpayers deserve better. The SEC especially should be in the forefront of promoting good corporate governance and investor protection,” Binay said in a statement.

Binay noted that the SEC has launched an online registration system for early registration of corporations in the country last year.

But during an inquiry by the Senate committee on banks, financial institutions and currencies, SEC’s company registration and monitoring department admitted that the commission still has a backlog of 5,378 new applications.

According to their presentation, this outlook was based on their current level of staff production, assuming that average incoming applications were at 296 a day with “no unforeseen circumstances” that may cause interruptions.

The SEC said it would take them three to four months to resolve the more than 5,000 new application backlog hounding the agency.

But Binay pointed out the glitches has undermined the SEC’s computerization and online registration program instead of making the processes faster.

“Hindi ba ang point ng online registration is to make things easier? Why is it getting worse?” she said.

Thus, she said the SEC should consider offering companies a manual registration option while they figure out the problems in its online system.

“Saan ba nagkakaroon ng problema? Sa tao ba o sa proseso mismo? Baka puwedeng tignan kung option ang pagbalik muna sa manual application habang inaayos ng SEC ang kanilang sistema (Where do the problem lie? Is it in the person or the process itself? Maybe they can shift to manual application as an option while the SEC is fixing their system),” Binay suggested.