Regulator penalises market participants

SECP takes action due to non-compliance with regulations.

ISLAMABAD: In order to foster a transparent and efficient securities market and to safeguard investor interests, the Securities Market Division of the Securities and Exchange Commission of Pakistan (SECP) took action and penalised some market participants for non-compliance with regulatory framework in September, says SECP.

Orders were passed against beneficial owners and directors of three listed companies under Section 224 (4) of Companies Ordinance 1984. In addition, 27 warning letters were issued to directors and beneficial owners of 15 listed companies for non-compliance with Section 224 (2) of the companies ordinance.

In another instance, the Securities Market Division passed an order against a company (offerer) and imposed a penalty of Rs300,000 for failing to implement SECP’s earlier orders relating to submission of fictitious and multiple applications in public offering.

SECP said it resolved six investor complaints pertaining to brokers and three complaints pertaining to listed companies during September.

Published in The Express Tribune, October 13^th, 2011.