Law Violation: SECP fines Rs5m for insider trading

ISLAMABAD: As part of a stringent surveillance to decrease abusive market practices, the Securities and Exchange Commission of Pakistan (SECP) issued three orders to former employees of a brokerage house and two of their relatives in instances of insider trading along with a cumulative penalty of Rs5.05 million, according to a statement released by the regulator on Wednesday. Moreover, three orders were issued against beneficial owners of listed companies for late filing of returns. A show cause notice was also issued to an individual for violation of Section 18A of the 1969 Securities and Exchange Ordinance due to submission of multiple applications. Twelve complaints pertaining to the brokers of the stock exchanges were resolved during September.

Published in The Express Tribune, September 15^th, 2011.