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(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   Within 7 days of the occurence   of the events   Basic Fine P10,000 Plus P100/day of delay
           
  - 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        
           
  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 post
ponement 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 post
ponement 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
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