Company Secretary
In Singapore, the role of a Company Secretary is pivotal in ensuring that a company adheres to statutory obligations and maintains robust corporate governance. Appointing a qualified Company Secretary is not merely a procedural formality but a legal requirement under the Singapore Companies Act.
Legal Requirement for Appointment
According to Section 171 of the Singapore Companies Act, every company must appoint a Company Secretary within six months of its incorporation. The appointed individual must be a resident of Singapore and possess the requisite knowledge and experience to discharge their duties effectively. Notably, the sole director of a company is prohibited from concurrently holding the position of Company Secretary.
Key Responsibilities
The responsibilities of a Company Secretary in Singapore encompass a broad spectrum of duties, including:
1) Statutory Compliance: Ensuring that the company complies with all regulatory requirements, such as filing annual returns and maintaining statutory registers.
2) Corporate Governance: Advising the board of directors on corporate governance practices and ensuring that the company operates within the legal framework.
3) Administrative Duties: Organizing board meetings, preparing agendas, and recording minutes to document the company’s decisions and policies.aul
4) Liaison Role: Acting as a communication bridge between shareholders and the board, facilitating transparent and effective communication.
Qualifications and Eligibility
To be eligible for the role of a Company Secretary in Singapore, an individual must:
-Be a natural person who is ordinarily resident in Singapore.
-Possess the necessary knowledge and experience to perform the functions of a Company Secretary.
-For public companies, meet additional qualifications as stipulated under the Legal Profession Act or be a member of professional bodies such as the Institute of Certified Public Accountants of Singapore.
Consequences of Non-Compliance
Failure to appoint a qualified Company Secretary within the stipulated timeframe can result in legal repercussions, including fines and penalties. Moreover, non-compliance with statutory obligations due to the absence of a competent Company Secretary can lead to reputational damage and operational disruptions.
Engaging Professional Corporate Secretarial Services
Given the critical nature of the Company Secretary’s role, many companies in Singapore opt to engage professional corporate secretarial service providers. We are here to help.
