Karachi: Security Leasing Corporation Limited has filed an application to suspend previous orders that could lead to its winding up and delisting. The company, through an affidavit submitted by its representative, Saima Shahid, is urging the court to put a hold on orders issued on April 8, 2025, and April 17, 2019, by respective regulatory bodies, pending the resolution of its appeal.
In the affidavit dated July 10, 2026, Shahid argues that the cancellation of the company’s Non-Banking Finance Company (NBFC) license was executed unlawfully. The decision, originally made in April 2019, was allegedly carried out by an official lacking proper jurisdiction. This move, according to Shahid, disregards the statutory framework, which mandates such decisions to be made by a properly empowered officer.
The company's legal plea highlights the procedural irregularities in the handling of its NBFC license cancellation. It asserts that despite fulfilling interim order requirements by submitting an equity position report in July 2018, the company was neither given a hearing nor was its submission considered substantively, leading to the unwarranted cancellation of its license.
The company contends that the appellate body’s decision in April 2025 to uphold the license cancellation was made without due consideration of the evidence provided, including an auditor's certificate. The appeal was dismissed on a superficial basis, allegedly ignoring the detailed submissions and documentary evidence provided by Security Leasing Corporation Limited.
According to information available from the Pakistan Stock Exchange (PSX), the legal wrangling and regulatory challenges faced by Security Leasing Corporation Limited could significantly impact its market position and operational stability. This case underscores the intricate balance between regulatory compliance and corporate governance within the financial sector.
The affidavit emphasizes the jurisdictional flaws and the violation of natural justice attributed to both orders. Security Leasing Corporation Limited maintains that unless these orders are suspended, it will face severe and irreparable damage to its business operations and reputation.
The company asserts a strong prima facie case, arguing that the balance of convenience supports its request for legal intervention. The plea seeks the court’s favorable judgment to prevent potential winding-up proceedings and delisting actions that could exacerbate the company's financial and operational challenges.