BOI Rules on Cancellation of Registration

Delay in project implementation by one year without reinstatement.
Withdrawal or cessation of business operations.
Suspension of operations beyond allowed period.
Voluntary surrender of certificate.
Graduation after expiration of incentive entitlement.
Failure to maintain registration qualifications.
Violation of the Omnibus Investments Code, Implementing Rules, or terms of registration.
Violations of labor or consumer protection laws.
Misrepresentation or false statements in registration documents.
Acts/omissions violating laws or orders under BOI jurisdiction.

Concerned BOI Department initiates cancellation based on substantiated grounds.
Preparation of a Memorandum for cancellation detailing grounds, facts, evidence, and recommendations including fines, penalties, or refund orders.
Interested parties may file verified complaints specifying grounds and acts causing cancellation.
Show-cause letter issued giving registered enterprise 15 days to reply or face default and cancellation recommendation.

Cancellation Memorandum reviewed by Management Committee and then submitted to the BOI Board for final approval.
Registered enterprise is notified of the cancellation decision.

Notices served by personal delivery, registered mail, or publication if enterprise cannot be located.
For enterprises reaching graduation, service by publication is sufficient.
Proof of service includes affidavits, return receipts, or official publication documents.

Registered enterprise must file reply within 15 days addressing each material allegation.
Failure to reply constitutes default and permits recommendation for cancellation.

Department reviews reply and recommends action to Management Committee.
Management Committee issues resolution affirming, modifying, or reversing recommendation.
Board confirms, modifies, or reverses Management Committee resolution.
Decision notified to registered enterprise.

Within 15 days, enterprise must surrender certificate of registration.
Registration is deleted from the Registry Book upon compliance.
Cancellation terminates entitlement to incentives but does not affect basic rights under EO 226.
Non-compliance results in inclusion in Watch-List and possible civil actions for enforcement.

One motion for reconsideration allowed within 15 days of decision or publication.
Appeal to Court of Appeals within 15 days from denial of motion for reconsideration.
Filing appeal does not stay effect of decision unless ordered by the Court.
Decisions become final if no appeal filed or Court affirms the decision.

Registration canceled after expiration of fiscal incentives if:
- Capital equipment costs recouped or no incentives availed.
- Export/production commitments fulfilled.
- No outstanding penalties or fines.
Graduation list published with notice requiring reply from enterprises.
Failure to respond considered waiver of registration continuation.

Includes enterprises and associated stockholders/officers who:
- Fail/refuse refunds, penalty payments, surrender of certificate, or compliance with BOI orders.
Enterprises on the Watch-List have future transactions with BOI put on hold.
Transactions include new registrations, certifications, employment permits, incentives, and related matters.
Incentives subject to refund/penalties may be deducted from other registrations.

Final orders result in deletion of registration and collection of fines/refunds.
Collected amounts remitted to the National Treasury.
If enterprise cannot be located, performance bond may be forfeited or legal action pursued.
Enterprises canceled via publication included on Watch-List for reference.

These Rules repeal or amend inconsistent prior rules.
Rules take effect 15 days after publication in a newspaper of general circulation.