| Case ID |
14cfdbd7-c36c-4a21-bb6b-2a8d02d2fb26 |
| Body |
View case body. Login to View |
| Case Number |
EMD/233/348/2002/720-737 |
| Decision Date |
Feb 12, 2009 |
| Hearing Date |
Dec 15, 2008 |
| Decision |
The Securities and Exchange Commission of Pakistan ruled against the directors of Norrie Textile Mills Ltd. for non-compliance with inspection orders under Sections 231 and 495 of the Companies Ordinance, 1984. The Commission found that the company had denied access to its books of accounts and relevant records, which constituted a prima facie case of fraud. Consequently, a fine of Rupees fifty thousand was imposed on each director involved, including the Chief Executive and the Company Secretary. The directors were also directed to make the required records available for inspection within ten days, failing which further legal action could be taken, including imprisonment. |
| Summary |
In the matter of Norrie Textile Mills Ltd., the Securities and Exchange Commission of Pakistan addressed severe non-compliance with inspection orders issued under the Companies Ordinance, 1984. The case highlights the importance of corporate governance and the necessity for companies to adhere to regulatory requests for transparency. The Commission's decision emphasized protecting investors and maintaining the integrity of the securities market. The case involved multiple directors and the Chief Executive, all of whom incurred penalties for their failure to comply with lawful directives. This ruling serves as a precedent for future corporate accountability and underscores the regulatory body’s commitment to enforcing compliance to safeguard public interest. |
| Court |
Securities and Exchange Commission of Pakistan
|
| Entities Involved |
Securities and Exchange Commission of Pakistan,
Norrie Textile Mills Ltd.
|
| Judges |
Tahir Mahmood
|
| Lawyers |
Shafiq Ahmed,
Nuruddin Sarki
|
| Petitioners |
Not available
|
| Respondents |
Not available
|
| Citations |
2009 SLD 206,
2009 CLD 931
|
| Other Citations |
Not available
|
| Laws Involved |
Companies Ordinance, 1984
|
| Sections |
231,
473,
476,
495
|