ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has revoked licenses of 108 companies registered with it under Section 42 of the Companies Ordinance, 1984, who have failed to meet the requirements of the commission.
In view of the interlinked problem of terrorism and money laundering, it had been decided earlier this year that the SECP shall revalidate/renew the licenses companies registered with the SECP as non profit.
The SECP launched a comprehensive drive beginning January 1, 2015 against such companies.
The licensed organisations are under obligation to comply with the conditions of the license granted to them as well as other requirements applicable under relevant provisions of law.
According to the SECP in the first stage, show cause notices were issued to 136 companies who had neither filed any accounts, nor applied for renewal of license during the last five years, duly providing them an opportunity of hearing and after detailed scrutiny of each case.
The commission has finally revoked licenses of 108 companies, while the remaining shall be dealt with shortly.
The concerned registrars of the company registration offices have been instructed to initiate legal proceedings in terms of Section 439 of the Companies Ordinance,
1984 to strike off the name of such companies off the register.
Published in The Express Tribune, April 7th, 2015.