ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has empowered the Head of Department, Corporatization and Compliance Department (CCD) to investigate and proceed against the public unlisted companies and private companies in cases of offences or contraventions committed by any person under SECP Act, 1997, or any administered legislation or a subordinate legislation.

According to an SRO 509 (I)/2020 issued by the SECP here on Thursday, in exercise of the powers conferred by Section 10 of the SECP Act, 1997 (the Act), the SECP, subject to such conditions and limitations as it may from time to time impose, hereby delegates the powers and functions of the commission under Section 29 of the Act with respect to public unlisted companies and private companies to the Head of Department (HOD-CCD (CROs)) and HOD (CCD-Regulations).

Head of Department, CCD of Company Registration Offices (CROs) has been empowered to carryout investigation and proceedings on behalf of the commission.

Where the Head of Department, CCD, either on its own motion or on the basis of any information received, authorize one or more of its employees or one or more other persons to investigate, whether an offence or a contravention has been committed by any person under this Act or any administered legislation or a subordinate legislation; a regulated person has been engaged in committing fraud, misfeasance or other misconduct in carrying on a regulated activity; or the manner in which a regulated person has engaged or is engaging in his regulated activity is not in the interest of the financial services market or investors, and submit an investigation report thereof to the Commission, the Commission shall proceed in the matter in accordance with the provisions of the Act and the administered legislation: Provided that where any special procedure regarding investigation or inquiry is provided in the administered legislation the Commission may adopt such special procedure in addition to the procedure provided in this Act.

Any concerned person, who is reasonably believed or suspected by the investigator to have in his possession or under his control any record or document, which contains or which is likely to contain information relevant to an investigation under this section or who is believed or suspected of otherwise having such information in his possession or under his control, shall produce to the investigator, within such time and at such place as the investigator requires in writing, any record or document specified by the investigator which is, or may be, relevant to the investigation and which is in his possession or under his control.

Copyright Business Recorder, 2020