The Securities and Exchange Commission of Pakistan (SECP) imposed fines of Rs. 422.5 million during the fiscal year 2024-2025, issuing 1761 orders. These actions by the Commission demonstrate its commitment to maintaining transparency and accountability in Pakistan’s corporate and financial landscape.

Listed companies faced the most regulatory actions, with 267 companies penalized for violations such as unauthorized investments in related parties, poor corporate governance, and misstatements in financial disclosures. The SECP also took action against 49 Non-Banking Financial Companies (NBFCs).

Furthermore, the regulator addressed 43 corporations for non-compliance with Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) regulations, resulting in financial penalties.

In the brokerage sector, the SECP resolved 27 cases related to violations of the Takeover Regulations, imposing remedial actions and fines. Fourteen actions were completed in the insurance sector, penalizing insurers for lapses in reinsurance treaties, capital adequacy, and guarantee arrangements.

The Commission also targeted unlisted entities, issuing 679 penalty orders for violations of legal requirements. Simultaneously, the SECP closed 682 cases without financial penalties where identified deficiencies were rectified, demonstrating its commitment to promoting compliance.

The SECP’s efforts are geared towards protecting investor interests, including the general public, minority shareholders, fund participants, policyholders, and creditors, by robustly enforcing its regulations. The Commission intends to refine its regulatory strategy to maintain a fair and stable market environment for all participants.