On September 14, 2023, the SCVS published a statement on the social network “X” in which it justified the issuance of the Guidelines, arguing that they were issued “in order to ensure that companies are represented and directed by suitable persons, so that they are not used as a front for the commission of illicit activities.”
The Guidelines require Commercial Registrars and the SCVS itself – in the case of Simplified Joint Stock Companies (S.A.S.) – to condition the registration of the appointments of legal representatives of commercial companies on the presentation of 3 documents, which can be obtained digitally (article 3):
- Certification from the Financial and Economic Analysis Unit (UAFE) of not being included in the database of persons with a conviction;
- Proof of not being on the list of the Office of Foreign Assets Control (OFAC); and,
- Proof of not being on the United Nations Security Council list.
In accordance with the Second General Provision of the Guidelines, the 3 aforementioned certificates must be sent to the SCVS, annually, in the first four months, together with the documents indicated in article 20 of the Companies Law.
Comment: Without prejudice to the fact that the purpose of the Guidelines is laudable and is within the framework of the recommendations of the GAFILAT, it is clear that, beyond the questions that have been raised due to the difficulties that it entails within the process of registration of the appointments of administrators and legal representatives, the rule in question violates the purpose of the Organic Law for the Optimization and Efficiency of Administrative Procedures, in whose article 11 the following is established: “In the management of administrative procedures, the entities regulated by this Law may not require the presentation of originals or copies of documents that contain information that is in the databases of the entities that make up the National Public Data Registry System or in databases disclosed by public entities…”.
Author: Boanerges Rodríguez Velásquez, Partner
This text is for informational purposes only and should in no way be considered as professional advice or recommendation. The comment or opinion is that of the author and does not represent an institutional position of the law firm. For more information, contact us at info@rodriguezlaw.ec
