KARACHI: Trading in the shares of almost two dozen companies listed at the Karachi Stock Exchange (KSE) is suspended for the last two months, Pakistan Today learnt Wednesday.
At least 22 companies from various sectors such as textile, mutual fund, insurance, dairies, ceramics etc., have been under fire since October for not complying with the orders of KSE management.
Pakistan Industries and Commercial Leasing Limited, Dadabhoy Sack Limited, Business and Industrial Insurance Company, Norrie Textile Mills, Southern Networks Limited, Nina Industries, Nazir Cotton Mills, Dominion Stock Fund, Investee Mutual Fund, Pakistan Northern Insurance Company Limited, Awan Textile Mills, Taga Pakistan, Pakistan Diaries, Regal Ceramics, Junaid Cotton Mills, Alif Textile Industries, Apex Fabrics, Myfip Video Industries, Mehran Jute Mills, Azmat Textile Mills, Bahawalpur Textile Mills and Kaiser Arts and Krafts are the firms whose shares would not be traded for further two months.
“The companies have not removed the cause of suspension of trading in their shares. The Karachi stock exchange in the interest of trade and public has decided that trading in the shares of these companies shall be kept suspended for a further period of 60 days,” said the KSE notices issued separately to the defiant firms on Wednesday.
The KSE has taken action against the companies under Listing Regulation No 5(2)(ii) and Section 9(7) of the Securities and Exchange Ordinance, 1969.
Through notices No KSE/N-6802, -6803, -6804, -6805 and -6806 in October, authorities at the country’s largest bourse had asked the said firms, which include some old and big names like Dadabhoy, to remove the cause of suspension in the trading of their shares in compliance with the relevant rules, but no steps have yet been taken.
According to sources, the apparent defiance on the part of said companies had resulted into the stoppage of trading in their shares, giving a fresh blow to the volume-starved Karachi stock market.
