The Securities and Exchange Commission of Pakistan (SECP) has unveiled a new regularization scheme aimed at assisting companies struggling with defaults on annual filings. This initiative is part of SECP’s ongoing efforts to promote compliance and ease the regulatory burden on businesses.
The regularization window will be open from June 15, 2024, to September 15, 2024. During this period, companies can file their overdue annual returns, documents, and accounts by paying only the standard filing fees, without incurring additional charges, penalties, or late fees.
The Companies Regularization Scheme is applicable to a broad spectrum of entities, including non-listed public companies, private companies, single-member companies (SMCs), foreign corporations, and nonprofit organizations established under Section 42 of the Companies Act. However, listed companies are excluded from this scheme.
This initiative covers defaults committed up to October 28, 2023. To streamline the process, companies are required to make physical filings, allowing them to submit returns for multiple years simultaneously.
SECP’s Company Regularization Scheme aims to encourage compliance and reduce the regulatory burden by enabling companies to rectify filing defaults without facing heavy penalties. For more details on the eligibility criteria and filing procedures, companies are encouraged to visit the SECP website.
By implementing this scheme, SECP underscores its commitment to fostering a more business-friendly regulatory environment, thereby supporting the growth and development of the corporate sector in Pakistan.