The Securities and Exchange Commission of Pakistan has proposed certain amendments to the 2003 Companies (Registration Offices) Regulations,  whereby a substantial reduction in the additional fees for late submission of statutory returns, annual accounts and other documents filed by the companies has been proposed.  As per current regulations, on late filing of documents, heavy additional fee is being charged which might be a reason for non-compliance and low rate of filing of overdue statutory returns by companies. Through this amendment, SECP has proposed to reduce the burden of additional fee to be paid by companies. This is likely to increase compliance rate. Additional fees which are required to be paid as one time additional fee for a delay of not more than 15 days, two times for a delay of not more than 45 days and three times for delay of more than 45 days, shall now be paid as one fourth times for a delay not more than one month, one half times for a delay no...

In order to chalk out a comprehensive strategy to combat business fraud, a meeting of a special committee comprising of representatives of the Securities and Exchange Commission of Pakistan, Financial Monitoring Unit, State Bank of Pakistan, National Accountability Bureau, Federal Investigation Agency, and the police is being held on Tuesday, January 8,2013, at the SECP head office.   The committee will focus on preventing illegal business activities, including Ponzi and pyramid schemes, carried out by companies and unregistered entities. The committee has been formed to achieve synergy to prevent fraudulent business activities that cheat the public. It will share information to identify and prevent business scams. The participants will consider developing a national anti-fraud strategy and institutionalizing the coordination mechanism by setting up an all-encompassing anti-fraud body in the country. The committee will identify various areas of common interest, including ...

In November the SECP’s Corporatization and Compliance Department took 82 enforcement actions against various corporate entities and penalties amounting to thousands of rupees were imposed on five of them.  The department issued 45 show cause notices and conducted 31 hearings for various violations of the provisions of the 1984 Companies Ordinance, ranging from late filing of annual accounts, non-filing of accounts to non-holding of AGMs and faulty audit of cost accounts. Six orders were issued against five companies: Pakistan Electrical & Electronics Merchant Association (Sections 184, 242 read with 476),  Fahim Nanji & De Souza (Sections 92, 93, 172  read with 476), Chemi Multfabrics Limited (Sections 142, 184 read with 476), United Brands Limited (Section 184 read with 476) and Grand Leisure Corporation Limited (Section 184 read with Section 476).  In addition, the department received seven complaints during the month and four of them were ...

By Abdul Qadir Qureshi ( Pakistan News & Features Servic es) National Carrier PIA achieved an operating profit of Rs.738 million in November 2012 after having suffered losses of Rs.1272 million in the corresponding period last year. The airline earned the profit despite difficult economic conditions, fierce competition, rising fuel prices, foreign exchange losses and law and order situation, PIA said. It was for the third month running that there was significant increase in the airline’s revenue income due to, what was described as,   dynamic policies of the present management which made the airline to achieve operating income since September this year. Although the airline faced a tough year yet successfully pushed its business forward in different areas with the credit attributed to the employees who made the airline to leap forward despite challenging times.  The Managing Director, Mohammad Junaid Yunus described it a tes...

By Abdul Qadir Qureshi   (Pakistan News & Features Services) The concept of public-private partnership was advocated at a seminar on Public Private Partnership, jointly organized by the Riphah Institute of Public Policy (RIPP) and the Infrastructure Project Development Facility (IPDF) at Marriott Hotel, Islamabad, on December 20.   The distinguished speakers shared their views on the subject and stressed on the need for providing a boost to public-private participation concept to promote the cause of the country's greater progress.   Senior government functionaries from different ministries, including Finance, Housing, Railways, P&D and Agriculture, also participated in the one-day policy seminar and deliberated on the possibilities of involving the private sector in infrastructure projects. They appreciated the level of knowledge displayed by the presenters and emphasized that such conferences should take place more frequently. The semina...

By Abdul Qadir Qureshi     (Pakistan News & Features Services) The General Authority of Civil Aviation (GACA), King Abdul Aziz International Airport, Saudi Arabia, has declared the Pakistan International Airlines (PIA) as the best airline operator amongst the 74 international Airlines operating from Hajj terminal, flying more than 1.7 million Hajjis in 2012.  The PIA spokesman, Syed Sultan Hasan presented the copies of the certification of 25 Zilhajj 1433H (November 10, 2012) mentioning PIA as the Best Hajj Airline Operator to a Pakistan media team visiting Saudi Arabia at Madinah.  The GACA, in the certificate issued to PIA, has noted that they closely monitored the activities of all the airlines’ operating from Hajj terminal Jeddah and considered that PIA again proved itself the best operator on the basis of regularity as well as services provided.  The GACA further said that PIA demonstrated exceptional value by overcoming the delay f...

By Abdul Qadir Qureshi (Pakistan News & Features Services) The Pakistan Reinsurance Company Limited (PRCL), rated as AA Company, has posted a net profit of Rs.925 million for the three Quarters ending September 30, 2012. The break-up of Profit & Loss Account of PRCL in Underwriting Profit in nine months having ended on September 30, 2012, is Rs.578 million, as compared to Rs.283 million during the corresponding period last year. The investment income stood at Rs.785 million as compared to Rs.747 million while the rental and other income went up from Rs.36 million to Rs.45 million. The general and administration expenses were brought down from Rs.30 million to Rs.29 million with the exchange gain being Rs.39 million compared to Rs.27 million last year. The net profit before tax and value of available for Sale Investment-write-off was Rs.1408 million as Rs.1073 million last year, less Provision for Taxation Rs.337 million to Rs.217 million...