11-24-2007, 01:46 PM
Securities & Exchange Commission of Pakistan (SECP) has issued a public warning that some unscrupulous developers release attractive advertisements in print and electronic media alluring public to buy posh flats/houses. According to SECP mostly the developers do not get proper permission from SECP or from other concerned authorities. SECP advise public to first get proper satisfaction and confirmation from concerned professional authorities about such projects. With release of this public warning as usual SECPâs duty finished and a copy of this warning published in press is as hard a defence in its hand as a steel in case of any future public criticism. Now may a developer loot the public or the public itself gets looted it does not matter to SECP. In 1985 when the first ombudsman and who in fact proved himself a real ombudsman Mr. Justice ® Sardar Mohammad Iqbal took a suo moto serious note of mushroom growing lucky installment schemes the reply to the Ombudsman from Interior Division was classical and marvelous. It submitted that the authorities should not move in this matter as when a few will get looted from hands of such lucky draw companies this business will automatically stop. SECP or monitoring agencies like it eg SBP are never ever serious in protecting as far as the ordinary citizens are concerned. These organisations have been made only and only to protect the rights of elite and high businessmen. In another matter an SECP reply is with me telling me that the businessmen did not agree to my a genuine request for amending the law which SECP earlier agreed with Federal Ombudsman to amend that in its existing wording the concerned rule was the top non sense.
In 1993 an advertisement appeared for allotment of plots in Islamabad. The advertisement quoted a full Reference number and date of an NOC from Rawalpindi Development Authority. Since installments were low, two low paid hotel waiters applied and for years regularly paid subsequent installments. Soon the company shifted not merely its posh office situate in a posh Bungalow in Islamabad to a remote place but also changed its name. It appeared the site was some where in desert on Chakri road. Seeing no development for years the RDA was approached which as usual never gave any response. On raising the matter the DC Rawalpindi ibn 2003-2004 submitted his report before Ombudsman Punjab that the project was a fraud. Hold your breath and refresh the words of SECP public warning. Despite having a written signed report from DC on his table the Punjab Ombudsman did not order for any further and even the DC himself did not do anything. The ombudsman merely forwarded this DC report without any remark and closed the case. Rawalpindi Development Authority came up with a marvelous comment that in 1992 and in 2000 it warned public not to deal with this company. It did not give answer to the question that it warned public in 1992 but when in 1993 advertisement containing its NOC reference came why immediately it again did not warn public that its NOC reference was fake? And why did it warn after 7 years. Similar is the situation with NAB. The two labourers addressed NAB. Even the OPF addressed NAB several times but never ever to get any response. So the point is what worth is SECP advice to public to check first with concerned authorities.
Taj Medical Complex Karachi was allowed by this SECP to fetch public fund in shape of stock exchange shares. This company in 10 years except for once or perhaps twice did not pay any dividend. The dividend paid was just a nominal figure only to fill up requirements of the file. When the company got itself fully developed with the funds of public and time of ripping fruit came, the SECP allowed it for delisting. The company paid back the original money with a little premium but I refused to take it as law did not compel me to take back. I am legally a shareholder may be hold merely one share. Under the law I am invariably to receive regularly annual reports, AGM meeting notices, dividends which never reached. When recently matter was raised with SECP the companyâs reply was strange that it had been regularly sending me all such notices which came back undelivered. On my demand for returned envelopes I was told those have been destroyed. Even an ordinary clerk dealing with finance knows well that a returned envelope becomes a legal document to be preserved. When I raised it the SECP kept its lips tight. On the point of dividend the company tells me that all its income since years is being transferred towards development. It is a well known fact 100% income and that too for continuous years is never earmarked for further developments. Did its director during all these years also did not receive any dividends, incomes and diverted that towards development? Now SECP tells me that under the law it does not have any control over the company now to ask them to pay Dividend. How strange it could be that that at the time of bad need one takes your financial help, with this finance fulfils his needs during which time your money value gets decreased. But when the time of fruit bearings comes, your money is thrown on your face that one does not need your help. And SECP is doing this. A lucky installment company mid 1980s looted the public. This company was given in writing permission for the scheme which then was against law of Pakistan. A written permission for an illegal business one can well understand. On ombudsmanâs intervention, the Interior Division issued an order to get public refund otherwise start criminal proceeding against defaulting companies. No authority may it be police, SECP, SBP, home departments ever took any notice rather gave different interpretations this order. SECP as per an article from an economist gave further permissions to pick pocket the same family under different new stle. Mr. Justice Iftikhar Mohammad Choudhary rightly observed that all to loot the public have joined hands (Reference Headline article from Mr. Irshas Ahmed Haqqani). A hope in this darkness for removal of such extreme injustices had come in shape of Mr. Justice Iftikhar Mohammad Choudhary and that is why I feel the concerned elite circles swiftly moved and jointly sent him home. But it is my firm belief that Iftikhar Mohammad Choudhary is not a name but a concept which has got foundation in this nation and would definitely one day root up. It is just a matter of time.
In 1993 an advertisement appeared for allotment of plots in Islamabad. The advertisement quoted a full Reference number and date of an NOC from Rawalpindi Development Authority. Since installments were low, two low paid hotel waiters applied and for years regularly paid subsequent installments. Soon the company shifted not merely its posh office situate in a posh Bungalow in Islamabad to a remote place but also changed its name. It appeared the site was some where in desert on Chakri road. Seeing no development for years the RDA was approached which as usual never gave any response. On raising the matter the DC Rawalpindi ibn 2003-2004 submitted his report before Ombudsman Punjab that the project was a fraud. Hold your breath and refresh the words of SECP public warning. Despite having a written signed report from DC on his table the Punjab Ombudsman did not order for any further and even the DC himself did not do anything. The ombudsman merely forwarded this DC report without any remark and closed the case. Rawalpindi Development Authority came up with a marvelous comment that in 1992 and in 2000 it warned public not to deal with this company. It did not give answer to the question that it warned public in 1992 but when in 1993 advertisement containing its NOC reference came why immediately it again did not warn public that its NOC reference was fake? And why did it warn after 7 years. Similar is the situation with NAB. The two labourers addressed NAB. Even the OPF addressed NAB several times but never ever to get any response. So the point is what worth is SECP advice to public to check first with concerned authorities.
Taj Medical Complex Karachi was allowed by this SECP to fetch public fund in shape of stock exchange shares. This company in 10 years except for once or perhaps twice did not pay any dividend. The dividend paid was just a nominal figure only to fill up requirements of the file. When the company got itself fully developed with the funds of public and time of ripping fruit came, the SECP allowed it for delisting. The company paid back the original money with a little premium but I refused to take it as law did not compel me to take back. I am legally a shareholder may be hold merely one share. Under the law I am invariably to receive regularly annual reports, AGM meeting notices, dividends which never reached. When recently matter was raised with SECP the companyâs reply was strange that it had been regularly sending me all such notices which came back undelivered. On my demand for returned envelopes I was told those have been destroyed. Even an ordinary clerk dealing with finance knows well that a returned envelope becomes a legal document to be preserved. When I raised it the SECP kept its lips tight. On the point of dividend the company tells me that all its income since years is being transferred towards development. It is a well known fact 100% income and that too for continuous years is never earmarked for further developments. Did its director during all these years also did not receive any dividends, incomes and diverted that towards development? Now SECP tells me that under the law it does not have any control over the company now to ask them to pay Dividend. How strange it could be that that at the time of bad need one takes your financial help, with this finance fulfils his needs during which time your money value gets decreased. But when the time of fruit bearings comes, your money is thrown on your face that one does not need your help. And SECP is doing this. A lucky installment company mid 1980s looted the public. This company was given in writing permission for the scheme which then was against law of Pakistan. A written permission for an illegal business one can well understand. On ombudsmanâs intervention, the Interior Division issued an order to get public refund otherwise start criminal proceeding against defaulting companies. No authority may it be police, SECP, SBP, home departments ever took any notice rather gave different interpretations this order. SECP as per an article from an economist gave further permissions to pick pocket the same family under different new stle. Mr. Justice Iftikhar Mohammad Choudhary rightly observed that all to loot the public have joined hands (Reference Headline article from Mr. Irshas Ahmed Haqqani). A hope in this darkness for removal of such extreme injustices had come in shape of Mr. Justice Iftikhar Mohammad Choudhary and that is why I feel the concerned elite circles swiftly moved and jointly sent him home. But it is my firm belief that Iftikhar Mohammad Choudhary is not a name but a concept which has got foundation in this nation and would definitely one day root up. It is just a matter of time.
