Post on 21-Jun-2015
Taking Compliance to the Next Level :
- Colour-coded Compliance Rating
and Certificate of Compliance
- Production of Director’s Handbook
Ms Peggy Tan
Head, Enforcement Policies and Strategy
Enforcement Division
Accounting and Corporate Regulatory Authority (ACRA)
ACRA – Source of Essential Corporate and
Financial information
To build Singapore into a trusted business centre
A crucial source of essential corporate and financial
information for use by the business community and other
government agencies
Such corporate and financial information has to be up-to-
date and accurate to be useful, failing which our
stakeholders’ would be adversely impacted by the
unavailability of reliable information.
Role of Enforcement Division (ED) in ACRA
Strategic Functions:
1. To undertake strategic studies and reviews
on enforcement and recommend the
appropriate policies
(Enforcement Policies & Strategy Unit)
2. To undertake focused and targeted
enforcement based on the strategic plans
and directions based in the strategic plans
and directions endorsed by ACRA
(Strategic Enforcement Unit)
3. To efficiently manage cases identified for
prosecution, including warrant cases.
(Summons & Warrants Processing Unit)
Targeted and Risk based Approach :
-Improving the Compliance Rate for top 3
offences
Strategy A – Clean up the Register
Strategy B – Assisting financially stricken
companies
Strategy C – Uplifting Awareness via Public
Education
Strategy D – Re-engineer change in behavior
COLOR CODED COMPLIANCE RATING
Strategy D: One of the initiatives - Implemented on 24 April 2010.
ACRA’s online Business Directory Search enhanced to include colour-coded compliance
rating for locally incorporated companies.
Compliant companies rated with a green tick ( ) and eligible for Certificate of Compliance.
Non-compliant ones rated with a red cross ( ).
The Colour-Coded Compliance Rating was introduced to:
o provide recognition to companies that are in compliance and to enable them to use their good
track record for brand equity purposes – prompt disclosure and good compliance translate to
good corporate governance.
o serve as an incentive for those not in compliance to strive to do better and be on time in their
next AGM and annual filing.
o provide for better transparency to the relevant companies’ stakeholders such as shareholders,
creditors, financial institutions by publicising the filing records of the company. This could
also assist them in making better informed decisions when dealing with the company
concerned.
Example 1: Companies which are compliant
Example 2: Companies which breached Section 175 only
Example 3: Companies which breached Section 175,197 and 201
Example 4: Companies which breached the next AGM Due Date
CERTIFICATE OF COMPLIANCE
Implemented together with the Colour-coded Compliance Rating initiative
on 24 April 2010.
Companies that are in compliance are eligible for the certificate to give
recognition of their efforts to comply with the statutory requirements on
holding AGM, lay up-to-date financial statements and filing of Annual
Returns within the prescribed period.
A fee of $15 is payable for the Certificate from 1st February 2011.
CERTIFICATE OF COMPLIANCE
Sample of a Certificate of Compliance
Coming Soon …
PRODUCTION
OF HANDBOOK
FOR
DIRECTORS
Uplifting Awareness via Public Education
Phase 1: Inclusion in “Regulatory & Business Guide for Start-Ups ” handbook topics
on Regulatory Compliance
Phase 2: Director’s Handbook- Part of the suite of initiatives aimed at promoting
voluntary compliance and reducing high enforcement cost downstream
Create compliance awareness targeted at those who may not be aware of their duties
Focus on statutory requirements under the Companies’ Act to address ACRA’s
common offences
Used as Standard Material/Text for Proposed Director’s Training Programme
Target Audience
Newly appointed and lay directors
Aspiring directors and people interested in understanding the role and
responsibilities of directors
People providing secretarial and advisory services to companies
About the Handbook
Uniqueness of Handbook
Contents in book written from an ACRA’s perspective based on past
experience and dealing with directors in default
Present statutory requirements in simple English and in layman’s term for
easy understanding
Providing guidance on filing requirements to improve compliance
Showcase real-life case studies of common defaults to provide learning
points
Provides useful information on how to do things right to avoid unnecessary
business cost
Introducing additional relevant topics outside the boundaries of mere
compliance with statutory requirements, e.g. corporate governance and
corporate social responsibility in simplified form
Common forms and templates for directors’ use
Director’s Handbook
More Information :
Target date for Launch : 1 June 2011
Hard copy available at Bookstores, etc at $15 per copy
Soft copy available online via ACRA’s website at www.acra.gov.sg
ACRA strives to promote a pro-business, pro-enterprise
environment through effective enforcement, the integration
of e-services (efiling, online reference materials) and public
education.
Ensuring continuing compliance is vital to maintaining
good corporate governance and investor confidence.
For more information, please visit:
http://www.acra.gov.sg
Conclusion
Thank You