Three companies fined for failure to publish financial statements

Capital Market Development Authority (CMDA) has fined MTDC, BML and STO for failing to meet the deadlines to publish their financial statements.

MTDC has been fined Rf60,000 for failure to publish statements for last year and first quarter of this year; STO has been fined Rf30,000 for failure to publish statements for the first quarter of this year; and BML has been fined Rf30,000 for failure to publish statements for last year.

CMDA has informed the companies to publish the pending financial statements before 15 May 2012.

All three companies have requested for extensions of the deadlines to publish the reports. The companies have the right to request for an extension of the deadline with an acceptable reason.

However CMDA has indicated that the reasons given by the companies did not arise from a special situation, and therefore are not acceptable.

CMDA regulations indicate that all public companies must publish their financial statements within thirty days of the end of every quarter. They must also publish auditors’ report, directors’ report, and financial statements within four months of the end of every year.