SECP makes online filing of returns mandatory

Islamabad, MTT News Desk: The Securities and Exchange Commission of Pakistan (SECP) has made it mandatory for all listed companies to file documents, returns, accounts and applications, meant to be filed with the SECP, or the Registrar, through SECPs eServices online filing facility.

The SECP issued a notification in this regard on March 13, 2013. The requirement shall come into effect after two months of the date of notification. The requirement has also been made applicable to companies which filed their last statutory documents through eServices or will file any statutory document through eServices from the date of applicability of the notification. Earlier, this requirement was only applicable to companies which had been incorporated through eServices online filing facility.

The online filing has been made mandatory to move towards automated regulatory regime of the SECP, in line with the objective of providing services with efficiency and in minimum possible time. eServices filing facility is an easy and hassle-free mode of submission for companies to make statutory filing, coupled with an added feature of smaller fees as compared to manual/physical filing.

The relevant notification has been placed on the SECPs website. The notification shall, however, be applicable to the filing of documents, returns, accounts and applications for which eServices online submission mode is available.

SECP notified draft of new regulations for insurance sector for public consultation

Karachi, MTT News Desk: The Securities and Exchange Commission of Pakistan (SECP) has notified draft of accounting rules and regulations for the Life and non-Life Insurance companies.

The drafted revised Accounting Formats and regulations for published financial statements and regulatory returns by insurance entities have been notified in the official gazette of Pakistan to elicit public and stakeholders comments.

By issuing these accounting formats and regulations, the SECP, as the apex regulator, aimed to protect the interests of policyholders and promote the sound development of the insurance industry. The Revised Accounting Formats & Regulations for Conventional Insurers is also available at the SECP website www.secp.gov.pk.

The existing SEC [Insurance] Rules 2002, annexed with it were the Accounting Regulations & its Formats were introduced by the SECP in 2002. Since the issuance of these rules, almost a decade ago, there have been remarkable developments and changes in the International Reporting Standards (IFRSs) by International Accounting Standards Board.

Accordingly, at the behest of the SECP, the Institute of Chartered Accountants of Pakistan (ICAP) reconstituted the Insurance Sub-Committee. The Committee comprised of industry experts, senior partners of chartered accountant firms, and representatives from the Insurance Division of the SECP and technical experts from the ICAP. The mandate given by the Commission was to review the current accounting regulations and formats in respect of conventional Life and Non-life Insurers by taking into consideration the International Standards.

The Committee was also to address the concerns of the industry in relation to IFRS 4. The underlying objective of IFRS 4 was to achieve global harmonization of the diverse accounting disclosures and practices in the insurance industry. After in-depth deliberations, the SECP notified the draft rules and regulation format for public consultation. Only those comments and suggestions shall be considered and incorporated which are found viable and in the spirit of law thereafter the final rules and regulations shall be announced.

It is envisaged that the revised set of accounting rules and regulations shall bring in more transparency, establish enhanced disclosures requirements that would be useful in decision-making by present and potential policyholders, investors, lenders, etc.

Influential minister targeting insurance sector for extortion

Islamabad, MTT News Desk: Government has failed to safeguard corporate sector from the highhandedness of one of its influential ministers which has left insurance companies with no option but to seek his disqualification.

Some leading insurance companies through one Shafiq Ahmed son of Muhammad Nazir Minhas resident of Century Tower, Gulberg Lahore, have invoked Lahore High Court (LHC) through M.M. Alam Chaudhry Advocate against State Minister for Privitization Rana Asif Tauseef.

According to a statement issued by PEW, the petitioner has pleaded that MNA Mr. Tauseef who is also Director and Chief Executive of Rana Fabrics Limited and Madina Food Mills Faisalabad, has been using his influence to plunder the insurance companies.

Rana Asif Tauseef is in habit of getting loans from banks against fake stocks and put these so called stocks on fire after getting them insured, the petitioner alleged.

After every fake incident, the minister pressurises insurance companies to approve claims against damages that never occurred.

He further said so far the defendant has robbed Rs 2000 million from insurance sector while he is pressurising companies to approve more claims disregarding assessment of the circumstances.

While regulatory bodies including SECP have failed to perform their duties to protect lawful businesses, the Commerce Ministry and administration are using influence to get the minister benefitted.

Justice Nasir Saeed Sheikh of LHC after preliminary hearing admitted the writ petition and asked additional advocate general for comments in fifteen days.

Meanwhile, Abdullah Tariq, SVP, Pakistan Economy Watch said that judiciary should bring to book lawmakers involved in frauds.

The insurance industry has a defence mechanism against false or exaggerated claims, but it becomes difficult when policy holder is an influential politician backed by the government, he said.

It is duty of every patriot Pakistani to bar greedy politicians who have targeted corporate sector after robbing nation of all their belongings, said Tariq.

%d bloggers like this: