SECP fines 36 state-owned enterprises Rs3.175 million over non-compliance, governance violations

The Securities and Exchange Commission of Pakistan (SECP) has imposed penalties totalling Rs3.175 million on 36 state-owned enterprises through 46 adjudication orders, while issuing warnings in another 12 cases over statutory reporting and corporate governance violations.

The regulator said it had concluded proceedings in 58 cases after issuing 66 show-cause notices to 41 state-owned enterprises in March 2026.

The notices related to failures to submit annual audited financial statements and annual returns within prescribed deadlines, non-compliance with disclosure requirements and breaches of the Corporate Governance Regulations.

According to the SECP, the minimum penalty of Rs25,000 was imposed for failure to file annual returns.

A penalty of Rs 50,000 was imposed where an enterprise failed to submit both its annual returns and financial statements.

The highest penalty of Rs225,000 was imposed for repeated non-compliance with statutory filing requirements.

The SECP said the proceedings were completed after the enterprises concerned were given sufficient time to respond to the show-cause notices and present their cases during hearings.

Several state-owned enterprises subsequently filed their outstanding annual returns after receiving the notices and regularised their compliance status.

The regulator also established a dedicated help desk to assist state-owned enterprises with the submission of annual returns and other statutory filings.

Copies of the adjudication orders were shared with the relevant Principal Accounting Officers of the enterprises concerned and the Director General of the Central Monitoring Unit for information and follow-up action.

The SECP said it had increased oversight of state-owned enterprises as part of the government’s reform programme aimed at improving transparency, accountability and corporate governance in the public sector.

It advised all state-owned enterprises to strengthen internal compliance systems, meet statutory obligations within prescribed timelines and improve governance practices to avoid further enforcement action.