Karachi: Chenab Limited has failed to comply with regulatory requirements by not holding its Annual General Meeting (AGM) and not submitting its annual financial statements for the fiscal year ending June 30, 2024. The Pakistan Stock Exchange (PSX) issued a notice of concern regarding the non-compliance under PSX regulations and the Companies Act of 2017.

On October 14, 2024, the PSX addressed a formal letter to Chenab Limited noting the absence of the AGM, which is mandated to be held within 120 days of the fiscal year's end. According to the regulations, all listed companies are required to lay before the shareholders at the AGM their audited financial statements.

According to information available from the Pakistan Stock Exchange (PSX), Chenab Limited’s management has responded on October 17, 2024, stating that they are seeking permission from the Securities and Exchange Commission of Pakistan (SECP) to delay the AGM due to unspecified reasons. They are hoping to resolve this issue per the guidelines outlined in Section 147 of the Companies Act 2017, which allows for delayed meetings under certain conditions.

Further non-compliance highlighted by the PSX includes Chenab Limited’s failure to transmit its quarterly financial statements for the periods ending September 30, 2023, December 31, 2023, and March 31, 2024. The PSX has advised the company to address these lapses and submit a comprehensive explanation for the non-compliances by the next scheduled meeting on October 17, 2024.

As the situation develops, stakeholders are keenly watching how Chenab Limited plans to rectify these breaches in compliance, essential for maintaining transparency and trust with its investors.