Karachi: The Pakistan Stock Exchange (PSX) has officially acknowledged the rectification of a major regulatory non-compliance by The Pakistan General Insurance Company Limited (PKGI). As of December 31, 2023, PKGI's statutory auditor has withdrawn the adverse opinion previously issued, marking a pivotal turnaround for the company's compliance status.
In a previous notice dated August 19, 2019, PSX had pointed out PKGI's non-compliance with certain critical regulatory requirements, notably under PSX Regulation 5.11.1.(b) and (i), now recategorized as 5.11.1.(a) and (g). The cited issues included suspended commercial production in its principal line of business and an adverse opinion by the statutory auditor in its annual financial statements for the year ending December 31, 2022.
According to information available from the Pakistan Stock Exchange (PSX), the latest audit report for the year ending December 31, 2023, has led to the removal of the adverse opinion, rectifying the breach under Regulation 5.11.1.(g). This development signifies a crucial step toward restoring PKGI’s regulatory standing and credibility in the market.
Despite this positive development, PKGI will remain listed in the Defaulters' Segment, soon to be renamed the Non-Compliant or Winding-up Segment, until it resolves all existing non-compliances. This ongoing status underscores the need for continued efforts by PKGI to fully adhere to PSX regulations and restore investor confidence.