| Case ID |
438ff189-bc74-4ec4-908f-20f31956dfba |
| Body |
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| Case Number |
Show-Cause Notice No. SMD/SE/2(207)2009 |
| Decision Date |
Jan 05, 2011 |
| Hearing Date |
|
| Decision |
The Securities and Exchange Commission of Pakistan found that the partners of the firm, Messrs Ravi Oil Cake Traders, had violated provisions of the Securities and Exchange Ordinance, 1969 by engaging in illegal commodity futures trading without proper registration. A prohibitory order was issued against them, and they were directed to refrain from trading in commodity futures. A penalty of Rs. 5,000,000 each was imposed on the partners, who failed to appear for hearings or respond adequately to the Commission's inquiries. Their admissions in prior writ petitions confirmed their involvement in the illegal trading activities, leading to the final decision of penalization. |
| Summary |
This case revolves around the Securities and Exchange Commission of Pakistan's action against the partners of Ravi Oil Cake Traders for engaging in illegal commodity futures trading. The Commission issued a show-cause notice after a complaint highlighted the firm's unauthorized activities in the market. Despite multiple opportunities to respond and clarify their position, the partners, Muhammad Latif and Muhammad Inam, failed to appear or provide satisfactory explanations. The Commission concluded that the firm had been operating without registration under the Securities and Exchange Ordinance, 1969, thereby violating several key sections of the law. The decision emphasized the importance of regulatory compliance in protecting the interests of investors and maintaining the integrity of capital markets. Ultimately, the Commission imposed significant penalties on the partners, which underscores the serious repercussions of non-compliance in the financial sector. |
| Court |
Securities and Exchange Commission of Pakistan
|
| Entities Involved |
Ravi Oil Cake Traders
|
| Judges |
Tariq Soomro
|
| Lawyers |
Nemo
|
| Petitioners |
Not available
|
| Respondents |
Muhammad Latif,
Muhammad Inam
|
| Citations |
2011 SLD 310,
2011 CLD 640
|
| Other Citations |
Not available
|
| Laws Involved |
Securities and Exchange Ordinance, 1969
|
| Sections |
2(cd),
3(1),
20,
22
|