Disclosure of Beneficial Interest - Company Law

By Notice all companies are required to file their registers on beneficial ownership by 31st January 2021.

Who is a Beneficial Owner?

The amendment defines a company’s beneficial owner as any natural person that either directly or indirectly holds at least 10% of the issued shares of the company or exercises at least 10% of the voting rights of the company, holds a right to appoint or remove a director of the company or exercises significant influence or control over the company. So any shareholder who fulfils this requirements is supposed to comply with the law.

In accordance with Section 93A of the Companies Act (No.17 of 2015) and The Companies (Beneficial Ownership Information) Regulations of 2020 it is now a requirement for all companies to keep and file in an e-register a register of beneficial owners

Penalties for Non-Compliance

Failure to comply with the beneficial ownership disclosure and filing requirements is an offence which on conviction attracts a penalty of Kshs. 500,000/= for the first offence and a further Kshs. 50,000 daily payable by the company and each officer of the company.

Have you complied yet?

For more information contact us on +254 727400842/+254 772337134 or visit our offices at Naivasha Road, off Ngong Road.