SEC Streamlines Regulatory Applications

The Securities and Exchange Commission (SEC) has issued Memorandum Circular No. 7, Series of 2025, reinforcing its commitment to the Ease of Doing Business and Efficient Government Service Delivery Act (RA No. 11032). The Circular sets strict timelines for processing applications and operationalizes the “Applications Deemed Approved” mechanism, promoting transparency, efficiency, and accountability. It requires all SEC processes and document requests to be consistent, necessary, and simplified.

The Circular applies to applications for permits, licenses, registrations, certificates, clearances, accreditations, and other authorizations submitted by corporations, partnerships, foundations, and associations, except for specific transactions listed in Annex A such as petitions to lift revocation or merger/consolidation requests. Processing timelines are based on the complexity of the application: three (3) working days for simple transactions, seven (7) working days for complex applications, and twenty (20) working days for highly technical applications. Applications governed by special law follow the timelines provided in that law or the SEC Citizen’s Charter.

Under the deemed approved provision, an application is automatically considered approved if the prescribed processing period passes without a written notice of delay or deficiency, provided all required documents are submitted. Once deemed approved, the SEC must issue the Payment Assessment Form (PAF), and upon payment, the license, permit, certification, or authorization must be issued immediately or within two (2) working days.

Certain exceptions apply, including ongoing legal proceedings, regulatory investigations, or cases involving fraud, misrepresentation, or force majeure. Applications requiring specialized technical evaluations or clearance from other agencies are also excluded. Authorizations issued under the deemed approved mechanism remain subject to post-approval review, and non-compliance may lead to administrative penalties, including revocation.

For applications pending as of July 14, 2025, applicants must address any outstanding deficiencies within ten (10) working days to avoid abandonment.