Date post: | 17-Aug-2015 |
Category: |
Education |
Upload: | zeeshan-iqbal |
View: | 86 times |
Download: | 1 times |
Before SECP…Corporate Law Authority (CLA)
Before SECP…: Corporate Law Authority was control the
Corporation Sector under the ministry of finance till 1997.
The Establishment of the SECP
The Securities and Exchange Commission of Pakistan (SECP) was set up in pursuance of the Securities and Exchange Commission of Pakistan Act, 1997.
The SECP became operational in January 1999
Securities and Exchange Commission of Pakistan
The Securities and Exchange Commission of Pakistan (SECP) is the financial regulatory agency in Pakistan.
Securities and Exchange Commission of Pakistan SECP is like an Artificial Person.. It have
its own identity.. It have its common seal.. It can sue and be sued.. It can make contracts of any type of buying and selling.. It just like an Artificial Person… and works like an Artificial Person…
Objective SECP
Objective is to develop a Modern and Efficient corporate sector Capital market based on sound regulatory principles, in
order to encourage investment and foster economic growth
and prosperity in Pakistan
Registered Companies
Registrations till 2014
62178 Companies
Newly Registered in 2015
3588 Companies
Initially concerned of SECP
It was initially concerned with the regulation of corporate sector and capital market.
Over time, its mandate has expanded to include supervision and regulation of
insurance companies, non-banking finance companies
private pensions.
Establishment of the Commission
Commission of SECP is consist of Commissioners, including chairman.
Commission is base on 5-7 members.
Commissioners Appointed by the Federal Government Be fixed by the Federal Government Expertise in Securities market Law Accountancy Economics Finance [insurance] Industry
Commissioners shall always be of private sector persons.
Head Office
The head office of the Commission is in Islamabad. The Commission may establish and close down offices at such other places in Pakistan as it considers necessary.
The Chairman
The Federal Government shall appoint one of the Commissioners to be the Chairman of the Commission.
(2-3 Years)
The Chairman shall be the chief executive officer of the Commission.
Term of office of the Commissioners
Term A Commissioners 2-3 years
(Include Chairman)
Term B Commissioners 3-3 years
(Exclude Chairman)
Appointment of employees of the Commission The Commission may, from time to time,
employ persons to be employees of the Commission.
Liable to disciplinary action in accordance with the procedure laid down by the Commission with the approval of the Board.
Appointment of advisers and consultants
The Commission may, employ and pay consultants and agents and technical, professional and other advisors including, without limitation.
Bankers Stock-brokers
Surveyors Valuers
Accountants Lawyers
Delegation of the Commission’s functions or powers
The Commission may, subject to such conditions and limitations as it may deem fit to impose, delegate any of its functions or powers to one or more Commissioners or any officer of the Commission.
Functions of SECP
Standards making, review standard, approved all accounting & auditing standards.
Domestic capital development. Furnished Information Certification of incorporation Rules regulation Over sight
Functions of SECP
It over sight various external service provider to the corporate and financial sector:
Chartered Accountant Credit Rating Agencies Brokers Surveyors etc
International Memberships
The SECP has been playing an active role in the activities of International Organization of Securities Commissions (IOSCO).
SECP is a member of the Emerging Markets Committee (EMC)
Working Group-3 (WG3) Working Group-2 (WG2)
Policy board
Base on 9 members. Appoint by the federal government.
Five ex-officio members Four from the private sector
The ex-officio members are: Secretary, Finance Division (Dr. waqar Masood Khan)
Secretary, Law and Justice Division (Mr M Raza
Khan)
Secretary, Commerce Division (Mr M Shehzad Arbab)
Chairman of the Commission (Mr Zafar Hijazi)
Deputy Governor of the State Bank of Pakistan (SBP) (Mr Saeed Ahmad)
Internal Audit Department
Conduct independent and objective audits, evaluations, investigations, and other reviews of SECP programs and operations
Prevent and detect fraud, and mismanagement in SECP programs and operations
Offer expert assistance and advice whenever required to improve SECP programs and operations
Appellate Bench
The Appellate Bench of the SECP is statutorily mandated to hear appeals filed against the orders passed either by a Commissioner or any other officer authorized by the SECP
Company Law Division
The Company Law Division is divided into following two Departments:
Corporatization & Compliance Department Corporate Supervision Department
Corporatization & Compliance Department Is responsible for administration of the
Companies Ordinance 1984. Primary functions include registration of
companies.
These functions are performed by the eight regional offices & CRO of the SECP.
Corporate Supervision Department The Corporate Supervision Department is
responsible for regulation and enforcement of companies listed on stock exchanges, public un-listed and private companies having paid-up capital of Rs. 7.5 million and above and companies formed under section 42 of the Companies Ordinance, 1984 (except insurance companies, non-banking finance companies and modarabas)
Securities Market Division (SMD)
The Securities Market Division (SMD) is responsible for monitoring, regulating, and developing the securities market.
It regulates the primary and secondary markets as well as market intermediaries through registration, investigation, enforcement, and rule making, with the objective of protecting investors interest.
The Division consists of the below mentioned departments
Policy, Regulation and Development Department
Market Supervision and Registration Department
Market Surveillance and Special Initiative Department
Policy, Regulation and Development Department
Stock Exchanges, Depository and Clearing House Wing
Commodities and Derivatives Wing Debt Capital Market Wing Capital Issues Wing
Market Supervision and Registration Department Beneficial Ownership Wing Compliance and Inspection Wing Brokers’ Registration and Investor
Complaints Wing
Market Surveillance and Special Initiative Department (MSSID) Market Surveillance Wing Special Initiative Wing
The Specialized Companies Division
The SCD strives to provide a regulatory environment which is conducive for development and promotion of a robust Non-Bank Financial (NBF) Sector.
Policy, Regulation and Development Department (PRD) PRD performs the functions of licensing,
registration, provision of comprehensive regulatory framework and granting necessary regulatory approvals to the NBF sector.
Supervision and Enforcement Department Supervision and Enforcement Department
is primarily responsible for centralized functions.
The Insurance Division
The Securities and Exchange Commission of Pakistan has been regulating the Insurance industry, since January 2001.
The SECP regulates and monitors the
Insurance Sector in the country through powers vested in the Insurance Ordinance, 2000 and the Companies Ordinance, 1984.