EOBI shares scandal: Report in SC has no mention of AKD Securities

AKD Securities – which has been in the eye of the storm over an Employees Old-Age Benefits Institution (EOBI) shares scam – is not mentioned in a joint report submitted in the Supreme Court by FIA and SECP.

According to the report submitted by the FIA in the apex court, names of then EOBI chairman Zafar Iqbal Gondal, DG Investment Kanwar Khursheed Wahid, CEO of Messrs Amtex and Amcap Securities, Chairman SAZ Capital Aslam Motiwala, Khurram Shehzad, Maryam Shehzad and Navid Shehzad have been included.

According to FIA, a committee consisting of Gondal and Wahid recommended purchase of Amtex shares – a company which had been listed on the bourse on April 13, 2010. Subsequently 17.35 million shares worth Rs337.66 million were bought on August 16 and 27, 2010, in violation of EOBI rules.

The inquiry determined shares had been purchased on maleficent recommendations of the investment committee which cost the exchequer Rs290 million.

Amcap Securities, the report said, had played a key role in the sale of Amtex shares. The inquiry further discovered that that EOBI bought Amtex shares from SAZ Capital at a price of Rs19.34 per share despite being valued at Rs11.60 in the market just a few days earlier, thus costing EOBI Rs20 million.

Published in The Express Tribune, February 16^th, 2016.