The Securities and Exchange Commission of Pakistan (SECP) has initiated a formal review of Pakistan Reinsurance Company Limited (PRCL) following a dispute between Commerce Minister Jam Kamal Khan and the Prime Minister’s Office regarding Special Secretary Shakeel Mangnejo’s role on the company’s board, Business Recorder reported.
According to the news report, Shakeel Mangnejo has reportedly resigned from PRCL’s board after the Commerce Minister wrote to the Prime Minister, indicating he would discuss PRCL and NICL matters after his visit to China.
In its inquiry, SECP has requested detailed information from PRCL, including minutes of board meetings, communications with the Ministry of Finance and Ministry of Law & Justice, copies of CEO appointment advertisements from 2019 to 2021, and verification of former CEO Farman Ullah Zarkoon’s credentials.
The regulator is also seeking the board’s evaluation of shortlisted candidates and compliance with corporate governance guidelines.
The review addresses discrepancies in the CEO’s remuneration package, including additional benefits and ten fixed annual bonuses approved in August 2022, which diverged from limits set by the Federal Government and Finance Division.
SECP has asked PRCL to provide letters, approvals, and legal opinions related to these revisions and to clarify whether performance-based criteria were incorporated in the CEO’s contract as required under Section 18 of the State-Owned Enterprises (Governance and Operations) Act, 2023.
The regulator has further sought details of all board and committee meetings held during the CEO’s tenure (2021–2025), including meeting fees, locations, and approvals for any overseas gatherings. SECP has requested PRCL to confirm adherence to the Insurance Ordinance, Securities Act, corporate governance rules, and public sector guidelines during the CEO’s appointment and tenure.
