List OF 84 Lending Companies Which Face Suspension By SEC

The SEC has suspended 84 lending companies.

84 lending companies faced the suspension of their primary license by the Securities and Exchange Commission.

Based on a recent news report in Rappler, 84 lending companies were not able to get a secondary license or a Certificate of Authority (CA) to operate as a lending firm which led to the move of the SEC to suspend their primary licenses.

Prior to the suspension of the primary license of the 84 lending firms, the government agency has sent show cause letters to those firms that operate as lending companies but have not yet obtained a CA.

According to the report, the SEC spearheads the implementation of the Lending Company Regulation Act of 2007 or Republic Act No. 9474 in which the CA is one of the requirements.

The letters that were sent to the lending companies which have not obtained CA to operate as lending firms asked those companies to give an explanation regarding the reason why despite not being able to secure a CA, suspension should not be implemented on their certificate of registration as a corporation.

84 of the show cause letters sent by the government agency were sent back to the sender according to the SEC based on the report.

It is stated in the report that SEC expressed that due to it, 84 lending companies face suspension for 60 days.

According to the news report, the government agency added that if the said lending companies would not give their reply within the period that they are suspended, the move might go further to the proceedings for the revocation of their certificate of registration.

SEC’s Corporate Governance and Finance Department Director Justina Callangan expressed that enough time to comply were given to the lending companies.

Based on the news report, Callangan, in a statement, expressed that the government agency backs President Rodrigo Roa Duterte’s stand versus “illegal lending”.

“The Commission is one with the President in adopting a tough stance against illegal lending, that is why it is pursuing with much vigor all those engaged in it,” the director said based on the report.

Moreover, based on the report, the SEC expressed that aside from the suspension faced by the 84 lending firms, there is a possibility that they will have to face a fine that will not go below P10,000.00 or “imprisonment of not less than 6 months but not more than 10 years or both”.

Here is the list of the lending firms that are faced with suspension according to the data posted by Rappler Philippines on Scribd.

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