SEC-OGC OPINION NO. 14-2024: Re: Inspection Rights of Shareholders

The Securities and Exchange Commission-Office of the General Counsel (“SEC-OGC”) in its SEC-OGC Opinion No. 14-2024 (“Opinion”), opined, for purposes of information only, that the inspection rights of shareholders under Section 73 of the Revised Corporation Code (“RCC”) extend even to information deemed confidential.

The Opinion arose from the request of Flexi Finance Asia, Inc. (“FFAI”) who sought guidance on whether Mr. Ronnie Katona (“Mr. Katona”), one of FFAI’s shareholders, may demand for the inspection of their corporate records and documents. FFAI argued that Mr. Katona’s demand should not be granted because the list of documents requested by Mr. Katona covers those that are not allowed to be disclosed pursuant to the Intellectual Property Code of the Philippines (“IP Code”) and the Data Privacy Act of 2012 (“DPA”).