SECP issues 12 orders, 34 show-cause notices

The Securities and Exchange Commission of Pakistan (SECP), as part of its enforcement and regulatory function, passed 12 orders and initiated 34 show-cause proceedings against directors and auditors of listed and unlisted companies.

The enforcement actions mainly pertained to violations of takeover ordinance, unauthorized inter-corporate financing, irregularities in provident fund, late and non-submission of quarterly accounts, non-preparation of consolidated financial statements, misstatements of financial statements, non-appointment of independent share registrar and unauthorised utilisation of security deposits.

In addition, 25 investors’ complaints were resolved during the month, said a statement issued here on Monday.

SECP registered 277 companies in August

The Securities and Exchange Commission of Pakistan (SECP) registered 277 companies in August, raising the total corporate portfolio to 59761 companies.

The private companies have the highest share in new incorporation: 257, followed by 16 single-member companies, 2 public unlisted companies and 2 non-profit associations. Foreign investment by the nationals from the United States, Australia, China, Sri Lanka, the UAE, Tanzania and Panama, was witnessed in eight new companies. As for the sector-wise breakdown, 34 companies belong to trading, followed by services with 32 companies, construction with 21, Information Technology with 19, pharmaceuticals with 14, Hajj and Umrah services, and food and beverages with 12 each, and tourism with 11 companies.

SECP for development of financial markets, corporate sector

The Securities and Exchange Commission of Pakistan (SECP) recognising the need to develop vibrant markets, sectors and market players as well as to improve its capabilities and processes, has engaged the external stakeholders in a consultative process both at policy level of SECP forum and working level of sector specific committees.

SECP Chairman Mohammad Ali said this during the second meeting of the SECP Financial Markets and Corporate Sector Development Forum held in Lahore with market experts, industrialists and policymakers in attendance.

The agenda for the meeting was to generate ideas and solutions to develop fair, transparent and efficient financial markets and a vibrant corporate sector.

SECP finalises Code of Corporate Governance

>The Securities and Exchange Commission of Pakistan (SECP) held the second roundtable meeting with external stakeholders to finalise the amendments to the Code of Corporate Governance. The roundtable was held in Lahore, on Thursday. The first of such roundtables was held on July 29 in Karachi.

The roundtable was attended by around 60 participants from various sectors representing prominent companies and institutions like Sui Northern Gas Pipelines Limited, Maple Leaf Cement Factory, Fauji Cement Company, Overseas Investors Chamber of Commerce and Industry, Diamond Group of Industries, Fatima Group, Millat Group of Companies, Association of Chartered Certified Accountants, Askari Bank Limited, Al Baraka Bank, Escort Investment Bank, Centre for International Private Enterprise, prominent lawyers, chartered accountants and businessmen.

SECP revises eligibility criteria for MF securities

In a move to facilitate market participants and in the interest of the capital market, the Securities and Exchange Commission of Pakistan (SECP) has accorded its approval to revised eligibility criteria for securities in the Margin Financing (MF) Market.

Under the revised eligibility criterion, which forms part of the Regulations of the National Clearing Company of Pakistan Limited (NCCPL), 147 securities stand eligible for financing purposes in the MF Market.

SECP registered 3,400 cos during financial year 2010-11

The Securities and Exchange Commission of Pakistan (SECP) registered 3,400 companies during the financial year 2010-2011, as compared to 3,041 companies registered during last year. This shows an increase of 12 percent and the total corporate portfolio, as on 30th June 2011, has reached 59,451 companies, which is close to touching 60,000-an all time high.

This increasing trend in the registration of companies is due to the SECP’s pro-registration facilitation mechanism and the government’s investment friendly initiatives. eServices has also facilitated the company registration process and almost 50 percent of new registration is now through online services-showing the increasing adaptability by the general public towards eServices.

SECP okays amendments to streamline bourse process

As part of its mandate to develop an efficient primary market and encouragement of new listing at the stock exchanges, SECP has reviewed the Companies (Issue of Capital) Rules, 1996 (CI Rules) and approved various amendments for efficient raising of funds against issue of shares.

The draft amendments to the CI Rules were published in the official gazette on September 8, 2010 for soliciting public opinion as required under sub-section (1) of section 506 of the Companies Ordinance, 1984.%

SECP approves Debt Securities Trustee regulations

As one of the major moves towards development of a vibrant corporate debt market in Pakistan, the SECP has approved the Debt Securities Trustee Regulations (DST Regulations).

Its first draft has been notified in the official gazette to solicit public opinion as required under sub-section (1) of section 506 (A) of the 1984 Companies Ordinance.

Most of the debt securities issued in Pakistan are privately placed and issued under section 120 of the Ordinance. Under the said section a company may issue any instrument in the nature of redeemable capital to companies, banks, financial institutions and such other persons as notified there under, without seeking the SECP approval. However, the SECP approval is required in those cases where such securities are offered to the public.

SECP extends certification timeline for listed companies

In order to facilitate listed companies and to ensure improved compliance with the Code of Corporate Governance, the SECP has granted extension in the timeline prescribed in the code for mandatory certification of minimum one director on such companies’ boards under corporate governance orientation programmes up to June 30, 2012.

In addition, for the purposes of extending necessary flexibility to listed corporate sector with respect to the choice of institution for the said certification, the stock exchanges have been advised to amend their Listing Regulations.

From: Daily Times

SECP registered 344 companies in June

The Securities and Exchange Commission of Pakistan (SECP) registered 344 companies in June. An increase of 5 percent has been witnessed as compared to 327 companies registered during the corresponding period of previous year.

The private companies have the highest share in the new incorporations totaling to 311 followed by 23 single-member companies, 2 public unlisted companies, 5 non-profit associations, 2 foreign companies, from Saudi Arabia and Thailand, and one company limited by guarantee under section 43. Of these, 23 companies have investment by nationals from the US, the UK, Australia, Italy, the Netherlands, Denmark, Japan, Canada, China, Iran, the Philippines, Zimbabwe, the UAE, Sri Lanka and Saudi Arabia.