Karachi: Trading in the shares of six companies has been suspended by the Pakistan Stock Exchange (PSX) due to multiple regulatory non-compliances, including the failure to hold Annual General Meetings and non-payment of dues. This decision follows the PSX Notice No. PSX/N-515, dated May 31, 2024, and extends the suspension for another 60 days beginning August 2, 2024.
According to information available from the Pakistan Stock Exchange (PSX), the affected companies include Abson Industries Ltd., Prudential Stocks Fund Ltd., English Leasing Ltd., Sadoon Textile Industries Ltd., Hakkim Textile Mills Ltd., and Suraj Ghee Industries Ltd. These companies have failed to comply with several crucial regulatory requirements set by the PSX, leading to their continued suspension. Specific violations include the non-submission of annual audited accounts, failure to conduct Annual General Meetings, and dues unpaid to the Exchange. Additionally, various legal actions such as the appointment of official liquidators and winding-up petitions have been initiated against these companies by creditors and the Securities and Exchange Commission of Pakistan (SECP).
The suspension is part of PSX's enforcement of its regulations, particularly clause 5.11, which deals with the governance and operational standards expected from listed companies. This action has been taken under the authority granted by Sub-Section (7) of Section 19 of the Securities Act, 2015, which empowers the Exchange to enforce compliance to maintain fair and orderly trading.
This measure by PSX highlights the ongoing regulatory challenges within the Pakistani corporate sector, particularly in terms of corporate governance and financial transparency. The continuation of the suspension serves as a regulatory measure to ensure that all listed companies adhere to the required legal and financial standards to protect investors and maintain the integrity of the capital market.
The companies involved have been notified of the deficiencies and the conditions under which the suspensions will be lifted. The Exchange has emphasized the necessity for these entities to address the issues promptly within the specified 60-day period or face further regulatory actions.