LSE MD resigns on corruption charges

Lahore Stock Exchange Managing Director Shakeel Aslam resigned from his post over allegations of misappropriation of funds.

LAHORE: Lahore Stock Exchange Managing Director Mian Shakeel Aslam has resigned from his post over allegations of misappropriation of funds, exchange officials said on Wednesday.

The MD announced the decision immediately after an eight-hour-long meeting of the LSE board of directors.

Exchange officials said an audit of LSE accounts revealed embezzlement of funds allegedly by the MD, prompting him to step down.

An LSE official said Aslam was charged with misappropriation of Rs40 million and half of the amount was taken by the management through a cross cheque. “We have reports that Shakeel Aslam has deposited half of the money while another half will be paid in a couple of days,” he said.

Another LSE member said the MD was also allegedly not paying withholding tax, sacked employees without any reason and hired new ones on higher salary.

Another allegation was disbursement of salaries for posts on which no one was working and asking guards to perform duties at his home. He said the board of directors knew all these things and they decided to remove him but Aslam gave resignation before that.

Aslam was appointed LSE general manager some four years ago and later promoted to the slot of MD. His three-year reign remained controversial and a lot of problems arose during the time including protests by LSE employees, who also moved court against Aslam.

Aslam could not be reached for comments as he did not pick up phone despite repeated attempts.

Published in The Express Tribune, June 24^th, 2010.