Subsequent to the sale of 40 per cent shares of the brokers of the Pakistan Stock Exchange (PSX) – previously lying in a blocked account – to the Chinese consortium, the local bourse has initiated disbursement from the proceeds of this sale to the investors affected due to the defaulting brokers that had outstanding complaints against them.
Chairman Securities and Exchange Commission of Pakistan (SECP) Zafar Hijazi, in his recent meeting with the PSX Board, had stressed upon accommodating the claims of the affected investors to the maximum possible extent, in order to compensate them on an urgent basis to restore their lost confidence. Resultantly, disbursement of funds has been commenced, approved and verified the claimants of a former broker M/s. Moosa, Noor Mohammad, Shahzada and Company (Pvt.) Limited. Post these disbursements, a majority of the said broker’s hundred claimants will be compensated in full against their claims, while the remaining claimants will be compensated for more than 80 per cent of their claimed amounts, a positive development. The total amount paid to claimants of the said broker is around Rs 80.8 million, which includes previous payments released from PSX’s investor Protection Fund (IPF) of Rs 25.3 million, and sale of certain assets of the defaulted broker, amounting to approximately Rs 13.3 million.
