ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has initiated legal action against two unauthorized firms for running investment schemes.
The SECP said the two companies were using their registrations with the SECP and the Federal Board of Revenue (FBR) to win public trust and unauthorized investment through posts on Facebook groups and social media. Are generalizing employment schemes.
The SECP also approached the Pakistan Telecommunications Authority to get its Facebook / Twitter pages and cell phone numbers registered in the names of the companies and their directors. The SECP referred the matter to the relevant law enforcement agency.
The commission said it had taken strong action against the companies, namely Linguistic Oil Traders (Pvt) Ltd and New Linguistic Chokes and Chicken (Pvt) Ltd. However, it did not disclose the extent of the financial scam.
A statement said, “The SECP has initiated immediate legal action under Section 301 of the Companies Act 2017 for recoupment of these companies and under Section 172 of the Act. The directors are incompetent. “
“The mere registration of a company with the SECP does not allow acceptance of deposits from the general public. Under Section 84 of the Act, it is illegal to make deposits by companies other than banking companies. Financing services, including grants, leases, deposits, housing, financing, etc., can only be done by specialized companies that have valid licenses and regulations.
The SECP advised the public to be careful not to deal and invest in illegal schemes offered by such companies.
On its website, the SECP has publicly released a list of 50 companies involved in illegal business activities that are funded by making false promises to extort profits. Includes stockpiling from cars.
Complaints or information against companies and institutions involved in taking unauthorized deposits can be sent to email id. [email protected]
The SECP has resolved more than 1,100 complaints regarding its regulatory domain through the Pakistan Citizen Portal during the last financial year. Over the course of one year, through the Internal Service Desk Management System), the SECP has handled more than 6,500 complaints and over 22,500 queries regarding its regulatory domain.
The SECP’s Investor Education Department conducted 71 awareness sessions during the year for a diverse audience. The SECP welcomes universities across the country to its head office to acquaint students with the SECP and its regulatory domains. Relevant information and content was shared using social media through the comprehensive Panji web portal, including the Jam Panji Facebook and Twitter pages and the 8181 SMS service.
Since the launch of the Jampanji Portal in 2015, more than four million people have so far been trained in financial planning, investment basics, and protection against scams and fraud to verify the status of company registration, etc. Jamponji has visited the portal.