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Securities and
Exchange
Commission of
Pakistan
Presented BY:

Before SECP
Corporate Law Authority
(CLA)
Before

SECP:
Corporate Law Authority was control
the Corporation Sector under the
ministry of finance till 1997.

The Establishment of the

SECP
The

Securities and Exchange

Commission of Pakistan (SECP) was
set up in pursuance of the Securities
and Exchange Commission of
Pakistan Act, 1997.

The

SECP became operational in

January 1999

Securities and Exchange

Commission of Pakistan
The

Securities and Exchange

Commission of Pakistan (SECP) is the
financial regulatory agency in
Pakistan.

Mr. Zafar Hijazi

Chairman

SECP

Head Office
The

head office of the Commission is

in Islamabad. The Commission may
establish and close down offices at
such other places in Pakistan as it
considers necessary.

SECP Example

SECP is like an Artificial Person.. It have its

own identity.. It have its common seal.. It
can sue and be sued.. It can make contracts
of any type of buying and selling.. It just like
an Artificial Person and works like an
Artificial Person

Certificates issued by SECP

SECP issues these type of
Certificates regarding the
corporation

10

Objectives

It was initially concerned with

regulation of corporate sector
capital market

the
and

Now it also concern with the supervision

and regulation of insurance companies,
non-banking finance companies and
private pensions

The SECP has also been entrusted with

oversight of various external service

Nayab Adnan

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Functions of SECP
Regulating the issue of securities
Regulating the business in Stock Exchanges
and any other securities markets
Prohibiting fraudulent
Supervising
activities of any central
depository and Stock Exchange clearing
house
Encouraging the development of the capital
market and the corporate sector

13

Functions of SECP Contd..

Approved of all accounting & auditing
standards
Domestic capital development
Furnished Information
Certification of incorporation
Rules regulation
Over sight

14

Functions of SECP Contd..

It over sight various external service

provider to the corporate and financial
sector:

Chartered Accountant
Credit Rating Agencies
Brokers
Surveyors

15

Delegation of Powers

The Commission may, subject to such

conditions and limitations as it may deem fit
to impose, delegate powers to one or more
Commissioners or any officer of the
Commission.

16

Organisational Structure of SECP

17

SECP Division

The SECP is divided into the following four

major divisions:

Law
Division

Securiti
es
Market
Division

Speciali
zed
Compan
ies
Division

Insuran
ce
Division

18

I. Law Division
Growth of enterprise, protection of investors
and creditors, promotion of investment and
development of economy
Law division divided into two departments:

Corporatiza
Corporatiza
tion
tion &
&
Complianc
Complianc
e
e
Departmen
Departmen
tt

Corporate
Supervision
Department

19

II. Securities Market Division

Responsible for monitoring, regulating, and
developing the securities market
It has three departments:

Market
Market
Supervisio
Supervisio
n
n and
and
Registratio
Registratio
n
n
Departmen
Departmen
tt

icy,, n
P
ollicaytiio
Po
llat on
u
g
u
e
g
R
e
d
R an
andopm
m
e
v
evellotp
D
De
n
e
enttme
e
a
p
arrtm
e
p
D
De ntt
n

Market
Market
Surveillance
Surveillance
and
and Special
Special
Initiative
Initiative
Department
Department

20

III. Specialized Companies Division

To provide a regulatory environment for the

development of a Non-Bank Financial (NBF)
sector

Protect the interests of shareholders,

depositors and policyholders under the
relevant laws

21

IV. Insurance Division

The Securities and Exchange Commission

of Pakistan has been regulating the
Insurance industry, since January 2001

Regulates and monitors the Insurance

Sector through
Insurance Ordinance, 2000 and the Companies
Ordinance, 1984

Zoha Shoaib

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Services of SECP
Laws and Policies
Registration
Licensing
Facilitation
Monitoring & Compliance
Enforcement
Development
Protection
Corporate Laws

24

Steps of Registering a Company in Pakistan

1.
2.
3.
4.
5.
6.

First step is to visit the web site of SECP

and create an account there
Fill out the company Name search form
online
Pay the fees of Rs. 200 through the
challan printed from the SECP website
Deposit the original challan at SECP
Collect the name availability certificate
from SECP maximum 3 days
Decide on who will be the directors or
whether it will be a Single Member
company

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Steps of Registering a Company in Pakistan

Contd..

Make Memorandum of Understanding

8. Upload the ID cards, Memorandum and
Article in PDF format on SECP e-services
website
9. Incorporation fee challan will now be
available print and pay the challan
10. Obtain digital signature for you from NIFT
one day process
7.

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Steps of Registering a Company in Pakistan

11. Sign

Contd..

all forms on SECP thru the Digital

Signature and click Submit to SECP
12. In next 3 - 4 days your will receive an
email from SECP about confirmation of
incorporation your Incorporation
certificate will be sent by post to your
office address

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Responsibilities of SECP
Regulating the issue of securities
Regulating the business in Stock Exchange
Supervising and monitoring the activities of
any stock exchange clearing house
Registering and regulating the working of
stock brokers, sub brokers, share transfer
agents, bankers to an issue, trustees of
trust deeds, registrars to an issue,
underwriters,

28

Responsibilities of SECP

Contd..

Promoting investors education and training

of intermediaries of securities markets
Regulating substantial acquisition of shares
and the merger and take-over of companies
Encouraging the organized development of
the capital market and the corporate sector
in Pakistan

THANK
YOU