ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has specified additional requirements and documentation for the registration of foreign companies interested in operating in Pakistan.
According to the Companies (Incorporation) Regulations 2017 issued by the SECP on Friday, the commission will obtain security clearance from the Ministry of Interior prior to the incorporation of security service providing companies, those having foreign subscribers/officers and companies having foreign subscribers/officers who are Afghan or Indian nationals.
The commission also identified additional requirements for the foreign subscribers and security clearance. In case, the subscriber happens to be a foreign company or a foreign corporate body, the registrar will require additional information including but not limited to, the profile of the foreign company or foreign corporate body, details of its directors, their nationality, country of origin, etc.
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In case, the subscriber to the memorandum is an individual of foreign nationality, he may be required to file additional documents as deemed necessary by the registrar.
The commission is liable to obtain security clearance from the Ministry of Interior in following cases and in the prescribed manner:
Companies having foreign (other than Afghan and Indian national or origin) subscribers/officers will be incorporated on the basis of an undertaking of each foreign subscriber/officer and the case will be forwarded for security clearance.
In case, the name of a subscriber/officer is not cleared by the ministry, the subscriber/officer and the company will take immediate steps for replacement and will transfer shares, if any, held by the subscriber.
Companies having foreign subscribers/ officers who are Afghan or Indian national or of Afghan or Indian origin will be incorporated after the receipt of security clearance and security services providing companies will also be incorporated after receipt of security clearance from the ministry, the SECP said.
Published in The Express Tribune, January 26th, 2019.
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