SSM Chief Executive Officer Datuk Azmi Ariffin said the compliance rate improved from 84% in 2009 to 87% in 2010.
SSM Practice Note 1/2008 informs the requirements under Section 165 and Part II of the Eighth Schedule of the Companies Act, 1965 relating to the lodgement of annual returns and the latest audited accounts (or private exempt company certificate).
Annual return shall be lodged together with the latest audited accounts within one month after the Annual General Meeting (AGM), while AGM shall be held within 6 months from the company’s year end.
It is learnt that SSM has been tightening its monitoring and enforcement by imposing severe penalty for late or non-submission of annual returns and audited accounts.
Under the company law, a director can be fined RM30,000 or jailed five years or both if he fails to lodge his company’s annual return and audited accounts.