THE Directorate of Investment and Company Administration (DICA) released a statement that some companies and their shareholders fail to comply with the provisions of the Myanmar Companies Law.
The registration and re-registration of companies on the MyCO website commenced on 1 August 2018 after Myanmar Companies Law 2017 came into force. The companies that apply for registration are scrutinized and approved in line with the rules and regulations of the companies. The registered companies are also being monitored under the Myanmar Companies Law.
Although the online registry system MyCO was established to meet the international standard, companies, directors and shareholders are found to fall short of compliance with the provisions of the Myanmar Companies Law.
The compliance failures are increasing the number of suspended companies due to a lack of Annual Returns (AR). Many companies were struck off the register after failing to file AR, filling in the incorrect address of the company, failing to keep and compile the necessary documents whether it is in negligence or not, using a personal account for the business instead of special account (business account) by some companies and institutions, failing to seek a separate licence and permit from the respective departments after the companies have been registered, and the directors and shareholders of the companies failing to abide by duties according to the Myanmar Companies Law.
The companies can easily register online through the MyCO system. The registrar will digitally monitor and notify the company of the absence, automated notice and take actions via MyCO as well.
TWA/GNLM
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