Stocks Observer. com

ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has ordered suspension of trading in the shares of listed companies that are in continual violation/non-compliance of securities market laws, initially for a period of 60 days or till further orders. The SECP taking cognizance of the fact that such companies not only pose serious threat to the development of a robust capital market but also inhibit investors’ confidence due to lack of transparency, in consultation with the stock exchanges, had earlier initiated a comprehensive exercise for reviewing the status of these listed defunct/non-compliant companies. It was established that such companies while giving the impression of a broad-based Pakistani capital market do not fairly reflect depth in the market and distort functioning of the stock exchanges as true barometers of the economy. While capital markets play a crucial role in efficiently channelling financial resources to productive uses, such non-...