THE PHILIPPINE Telegraph and Telephone Corp. (PT&T) on Thursday said it has paid the P7-million fine slapped by the Securities and Exchange Commission (SEC) for its failure to submit audited financial statements and annual reports, among others.
In a disclosure to the stock exchange, PT&T said the SEC Markets and Securities Regulation Department (MSRD) order dated June 5, had imposed a P7-million penalty on the company and indefinitely suspended its registration statement, due to the previous management’s failure to comply with reportorial requirements.
“PT&T is cited and held liable for violating the pertinent provisions of Rules 17, 20 and 68 of the implementing rules and regulations of the Securities Regulation Code, as amended, for PT&T’s failure to (i.) conduct its Annual Stockholder’s Meeting and file (ii.) its Audited Financial Statements and (iii.) Annual Information Statements,” the SEC MRSD said in its order.
The SEC ordered PT&T to submit the following within four months: its 2016 annual report; 1st, 2nd and 3rd quarter reports for 2017; and an affidavit confirming there are no other complaints against the company. The company was also directed to amend and file its registration statement, and immediately conduct an annual stockholders’ meeting.
The SEC said the suspension of PT&T’s registration statement will only be lifted after it has fully complied with the directives under the order.
For its part, PT&T said it has already settled the P7-million penalty.
“The said payment absolves PT&T from all liabilities arising from the deficiencies in its reportorial and compliance requirements committed during the time of the company’s previous management. The settlement of this monetary penalty will allow the company to operate as a going concern under its new management ,” the company said.
At the same time, PT&T said it has also paid a fine of P88,000 to the SEC Corporate Governance and Finance Department for its failure to comply with SEC memorandum circulars that require certain information be made available on the official websites of publicly listed companies. — Denise A. Valdez

RELATED ARTICLESMORE FROM AUTHOR