Some business owners are complaining about extra cost they incur while registering their businesses at the Registrar General’s Department (RGD) due to the ongoing strike by the Civil and Local Government Staff Association of Ghana (CLOGSAG).
A visit by Citi Business News revealed that though the department is not supposed to work due to the strike, some workers were seen busily working and charging unapproved rates.
Red banners were also displayed at the main entrance of the department with notices indicating an ongoing CLOGSAG strike, hence a halt in normal activities.
Speaking to Citi Business News some of the people who have come to the department to register their businesses lamented that the unfair treatment is costing them more than expected.
“We came here to register our businesses and because of the CLOGSAG strike some people are charging us above the normal rate to do the same work for us,” a stranded business owner told Citi Business News.
According to him, the strike has provided an opportunity for workers at the department to demand high charges for normal activities which would not have exceeded a certain amount.
“I think this is not fair at all. If you are on strike and yet you are doing your normal duties but demanding high charges because of the strike, then you are cheating us. How can government make money,” he lamented.
Another business owner told the Citi Business News, “I have being coming here since last week Tuesday. I didn’t know there was strike. So after asking the woman today she told me; didn’t I see the red banner at the door, and that they are on strike”.
He, however stated that some middlemen, popularly called ‘goro boys’ approached him and offered to get the work done if an extra money can be paid.
“I came for my certificate and as you can see because of the strike I have to pay extra money just to get my certificate because I was told the person who would release my certificate is on strike and needs to be motivated” he said.
RGD commences e-registration
Meanwhile, the Registrar-General’s Department announced on February 29, 2016, that businesses, companies and partnerships must update their records and file their Annual reports by June 30, 2016, following which the department postponed it to October 3, 2016.
According to the department, “Following that directive, some Companies/ Partnerships and Businesses have complied whilst a whole lot more Businesses/ Companies and Partnerships have not as yet updated their records into the new electronic e-Registrar”.
“As the Registrar of Companies in Ghana ,we wish to re-iterate that the filing of Annual Returns is mandatory as stated in Section 122 (1 & 2) of the Companies Act, 1963, (Act179), ‘that a Company shall file its Annual Returns eighteen (18) months after Incorporation and once, at least in every year thereafter”.
The department warned that “Per section 122(7) where a Company defaults in complying with this section, the Company and every Officer of the Company who is in default is liable to a fine not exceeding twenty-five penalty units for everyday during which the default continues, the same applies to Partnerships whilst that of Business.
Extension of penalty date
However, the department issued a press statement recently announcing that it has extended the enforcement of the penalty date for the registration of companies from Monday August 1 to Monday October 3, 2016.
A statement explained that, by this, the definition of the 25 penalty units would amount to Gh₵300.00 for each day that the default continues with effect from the new date of Monday 3rd October, 2016.
The statement further explained that the regime of penalty payment would continue until 31st December, 2016 and thereafter the Department would start the process of striking out the names of businesses that have failed to comply with the directives.
The Registrar-General’s Department on 29th February, 2016, announced that all businesses must update their records and file their Annual reports by 30th June, 2016.
By: Lawrence Segbefia/citibusinesssnews.com/Ghana