The National Accountability Bureau (NAB) and the Securities and Exchange Commission of Pakistan (SECP) have agreed for creation of a joint task force comprising of senior level officers of the NAB and SECP in order to work expeditiously on 16 cases referred by the SECP to NAB.
The recent complaint referred by the SECP to NAB is regarding alleged fraud, embezzlement and cheating public at large by the sponsors, directors and management of M/s ACE Securities (Private) Limited (ASPL) Broker of Karachi Stock Exchange Limited. M/s ACE Securities (Private) Limited is alleged for handling of securities entered in the sub-accounts maintained under its participant ID without authority of the sub-account holders in violation of applicable laws.
The Karachi Stock Exchange (KSE) being a front line regulator has been receiving claims/complaints against M/s ACE Securities (Private) Limited (ASPL). On April 23, 2015, the KSE through a show cause notice conveyed to M/s ACE Securities (Private) Limited (ASPL) that all trading work stations would be switched off before opening of market on Monday, April 27, 2015, if no response/action is given/taken by the ASPLs. On failure to address the investors’ claims by ASPL, the KSE vide notice dated April 27, 2015, suspended operations of all trading terminals of ASPL till further notice. The total numbers of complaints received by the Karachi Stock Exchange (KSE) against ASPL are 201 and the alleged amount of claims against M/s ACE Securities (Private) Limited (ASPL) is Rs 236 million.