06/07/2024 1

Securities and Exchange

Commission of Pakistan
 06/07/2024 2

Objective for Revision of the Com p a n

8/ 21/ 201 7
ies Ordinance, 1984

1. Ease Of Doing Business For Corporate Sector

2. Better Corporate Governance And CSR
3. Introduction New Types Of Companies
4. Strengthening Regulatory Framework
5. Others

🞄 Concept of Global Register Of Beneficial Ownership

🞄 Regulation of Advances By Real Estate Companies
Functions and Role 06/07/2024 3

 Set up under the Securities and Exchange Commission of Pakistan Act,

1997.
 Became operational on January 1, 1999.

Our responsibilities are :

◦ Regulation of corporate sector and capital market;

◦ Supervision and regulation of Insurance companies;
◦ Supervision and regulation of non-banking finance companies and private pensions
schemes;
◦ Oversight of various external service providers to the corporate and financial sectors,
including chartered accountants, credit rating agencies, brokers, surveyors etc.

◦ See our website at www.secp.gov.pk

SECP Timeline 06/07/2024 4

• SECP Act Promulgated

19
97
• Establishment of SECP
• Regulation of corporate entities and administration of the corporate laws
19 • Regulation of the capital market
99
• Regulation of insurance sector
20 • Regulation of Non-Banking Financial Companies
00

• Regulation of private pensions

20
05

• Securities Act, 2015

20
15
• Securities and Exchange Commission of Pakistan (Amendment) Act, 2016
• Futures Market Act, 2016
20 • Corporate Restructuring Companies Act, 2016
16
• Limited Liability Partnership Act, 2017
20 • Companies Act, 2017
17

• Corporate Rehabilitation Act 2018

20
18
SECP Offices 06/07/2024 5

CRO Karachi CRO Lahore CRO Islamabad

CRO Faisalabad CRO Peshawar CRO Multan

CRO Quetta CRO Sukkur CRO Gilgit

Facilitation Centre,
Gwadar
Sectoral Distribution 06/07/2024 6

No of companies
SECTOR
as of Jun 30, 2019
TRADING
12,895
SERVICES
12,191
TOURISM
8,788
CONSTRUCTION
7,907
INFORMATION TECHNOLOGY
7,269
MISCELLANEOUS / OTHERS
6,752
TEXTILE
5,266
FOOD AND BEVERAGES
3,620
COMMUNICATIONS
3,075
Others 33,562

Total 101,325
 06/07/2024 7

Starting a Business
Made Easy
 06/07/2024 8
Doing Business Report
2019

In World Bank Doing Business Report 2019 Pakistan’s overall ranking

improved by 11 notches (from 147 to 136).

In “Starting a Business” indicator our ranking improved from 142 to 130;

The relevant extract of World Bank Report:

Starting a Business: Pakistan made
starting a business easier by enhancing the
online one-stop registration system,
replacing several
forms for incorporation with a single
application and establishing information
exchange between the registry and the tax
authority.
 06/07/2024 9

Major Reforms
Major Reforms 06/07/2024 10

 Company Incorporation procedure simplified

 Several Forms merged into one Form;

Old Forms Replaced By

Form 1 (Declaration of Applicant for Inc. Form-II (Application for

Incorporation) Company Incorporation);

Form 21 (Notice of Situation of Registered

Office )

Form 27 (List of Persons Consenting to Act as

Directors)

Form 28 (Consent to Act as Director/Chief

Executive)

Form 29 (Particulars of Directors and Officers

Including the Chief Executive etc.)
Major Reforms 06/07/2024 11

Single Form for Company Incorporation i.e. Inc. Form-II

(Application for Company Incorporation);

 Registered office address of the company;

 Principle line of business;

 Company’s Capital Structure;

 Particulars of subscribers, directors and chief executive

officer of the company.
Major Reforms 06/07/2024 12

 Company Incorporation procedure simplified;

 Name reservation and incorporation procedure merged;

 Facility provided for online payment of fee through mobile and

internet banking;

 Scanned Copy of Certificate of Incorporation being sent through

e-mail;

 Company incorporation time reduced to four working hours.

Major Reforms 06/07/2024 13

Facilitation Measures: No need to hire a consultant for

registration of a company;

 Complete guidance material including fee schedule, standard

Memorandum and Articles of Association for more than 80
sectors available at SECP website;

 Facilitation desks at Company Registration Offices provide

complete assistance for company registration;

 Application can be submitted online as well as offline;

 More than 90% companies being incorporated online.

Reduction in Cost 06/07/2024 14

Fee Schedule i.e. Seventh Schedule is available at SECP

website.
One Window Facility for Company Registration06/07/2024 15

Continued……..
SECP e-Services 06/07/2024 16
SECP e-Services 06/07/2024 17
SECP e-Services
06/07/2024 18
 06/07/2024 19

Future Agenda
Future Agenda 06/07/2024 20

 Establishment of State of the Art Business Centers in Karachi

Lahore and Islamabad;

 Introduction of digitally signed certificates of

incorporation/registeration in line with international jurisdictions.
 06/07/2024 21

Companies ordinance 1984

 Section 15 of the Companies Ordinance 1984 provides

that any 7 or more persons associated for any lawful
purpose by subscribing there names to a memorandum
of association and complying with the requirements in
respect of registration may form a public company and
any 2 or more persons so associated may form a private
limited company
STATE BANK OF PAKISTAN BANKING SERVICE
06/07/2024 22

CORPORATION
 SBP BSC The SBP Banking Services Corporation
(SBP-BSC) was established under the SBP Banking
Services Corporation Ordinance 2001 as an operational
arm of central bank i.e., State Bank of Pakistan (SBP).
The Bank is a fully owned subsidiary of SBP and is
mainly responsible to carry out the major functions of
SBP. This department is working all the subsidiaries
branches of State Bank of Pakistan.
 06/07/2024 23

CORPORATE STRUCTURE
 Members of the Central Board of State Bank of
Pakistan.
 • Managing Director, SBP-BSC. Constitution of the

Sub-Committees
 • Sub-committee of the Board on Human Resources
 • Sub-committee of the Board on Audit
 • Sub-committee of the Board on Building Projects.
 06/07/2024 24

Functions of SBP BSC

 • Currency management
 • Banker to government
 • Payment system
 • Foreign exchange
 • Operations and adjudications
 • Export finance disbursement and monitoring
 • Operational role in monitory management
 • Internal audit control
 • Resources
 06/07/2024 25

Societies registration act_1860

 The Pakistan Societies Registration Act of 1860 was

enacted under the British Raj in India, but is largely
still in force in Pakistan today. It provides for the
registration of Literary, Scientific and Charitable
societies.
 Where as it is expedient(Serving to promote your
social interest) that provision should be made for
improving the legal condition of societies established
for the promotion of literature, science, or the fine arts,
or for the diffusion of useful knowledge, charitable
purposes; it is enacted as follows:
 06/07/2024 26

 Any seven or more persons associated for any literary,

scientific, or charitable purpose, or for any such
purpose as .
 May by subscribing their names to a memorandum of

association and filing the same with the Registrar of

Joint-stock Companies form themselves into a society
under this Acts described in section 20 of this Act.
 06/07/2024 27

The Memorandum of Association

 The memorandumof association shall contain the
following things (that is to say)−
 The name of the society:-
 The objects of the society:
 the names, addresses, and occupations of the
governors, council, directors, committee or other
governing body to whom, by the rules of the society,
the management of its affairs is entrusted.
 Copy of the rules and regulations of the society certified
by not less than 3 members of the governing Body.
 06/07/2024 28

Registration and Fees

 Upon such memorandum and certified copy being
filed, the Registrar shall certify under his hand that the
Society is registered under this Act.
 There shall be paid to the Registrar for every such

registration such fee as the Provincial Government may

direct, and all fees so paid shall be accounted for to the
Provincial Government.
 06/07/2024 29

Annual List of Managing Body

 Once in every year, on or before the fourteenth day
succeeding the day on which, according to the rules of
the society.
 Annual general meeting of the society is held.
 If the rules do not provide for an annual general

meeting, in the month of January, a list shall be filed

with the Registrar of Joint stock Companies of the
names, addresses and occupations of the governors,
council, directors, committee or other governing body
then entrusted with the management of the affairs of
the society.
 06/07/2024 30

To What Societies Act Applies

 Charitable societies.
 Military orphan funds.
 Societies established for the promotion of science,

literature, or the fine arts for instruction, the diffusion

of useful knowledge,
 Public museums
 Galleries of paintings and other works of art,

collections of natural history,

 Mechanical and philosophical inventions, instruments,

or designs
Pakistan Centre for Philanthropy 2014 06/07/2024 31

 Established in 2001
 Independent non profit, support organization
 Licensed under Section 42 of the Companies Ordinance

1984
 Led by eminent Board of Directors About the Centre
 06/07/2024 32

 Mission “We aim to increase the volume and

effectiveness of philanthropy for social development”
 Vision “The three sectors of society – business, civil

society and government – work in a strengthened

partnership for social development in Pakistan”
 06/07/2024 33

Goals of PCP
 Create a policy, legal and fiscal environment that enables
giving
 Increase societal understanding and the knowledge base

about philanthropy
 Facilitate linkages between corporate philanthropists,

citizen organizations and government

 Enhance citizen organizations’ capacity as effective

vehicles of philanthropy
 Assist philanthropists in increasing the volume and impact

of their giving Goals of PCP

 06/07/2024 34

INTELLECTUAL PROPERTY RIGHTS

 Intellectual Property is an intangible form of property,
the result of the creation of the brain or the mind, which
is then manifested or interpreted in a form that
has a physical existence and possesses exclusive property ri
ghts.
Examples include images, symbols, names, designs,
industrial processes and business methods used in
commerce; inventions; artistic, literary and musical
works; and software.
 06/07/2024 35

 Intellectual Property Right (IPR) is the legal right

granted by the Government, to applicant(s) or owner(s)
of an intellectual property (IP) to exclude others from
exploiting the IP commercially for a given period of
time.
 06/07/2024 36

The IP Chain of Activities

 Creation
 Innovation
 Commercialization
 Protection
 Enforcement
 06/07/2024 37

The role of IP as intangible property

 Economic rights of creators
 Commercial exploitation of owner of IP
 Capital expenditure
 Transfer of technology
 Cultural development
 06/07/2024 38

Why IP protection is given

 Capital expenditure for new products
 R and D
 Marketing and advertisement
 Maintaining loyal followers
 profit
 06/07/2024 39

IP as a property
 Can be sold
 Can be bought
 Can be lease or rent
 Can pass under a will
 Can be assigned
Importance of IPRs in general Why should 06/07/2024 40

an IP be protected?
 IP owner can stop others from manufacturing and selling
products and services which are dully protected by the IP
owner
 IP owner can sell and/or license the IP for commercial
gains
 IP can be used to establish the goodwill and brand value
in the market.
 Inventor, creator or author of an IP can mention about the
IP in his/her resumes and thus show their competence
 IPR certificate establishes legal and valid ownership
about an intellectual property
 06/07/2024 41

Intellectual property
 Copyright
 Trademarks
 Patent
 Industrial designs
 Confidential information
 Geographical Indications
 42
Patents
06/07/2024

 Grant of a property right to the inventor

 Issued by the IPO Office
 Term of a new patent is 7 to 20 years from the date on
which the application for the patent was filed in IPO
Office
 Patent grants are effective only within the territory/ies.
 The right to exclude others from making, using, offering
for sale, or selling” the invention in specific market
 Not the right to make, use, offer for sale, sell or import,
but the right to exclude others from making, using,
offering for sale, selling or importing the invention
 43

Procedure for grant of a patent?

06/07/2024

 Filing a patent application along with the required documents,

 Publication of the patent application (18 months publication),
 Filing a request for examination,
 Filing a pre-grant opposition by an interested person,
 Examination of the patent application based on the turn of the
request for examination,
 Filing reply to comply with the requirements of the objections
raised by the patent office,
 Attending hearing, if any,
 Acceptance or rejection of the patent application,
 Publication grant of the patent application,
 Filing a post-grant opposition by an interested person,
 Grant of patent.
Trademarks / Service marks 06/07/2024 44

 Word, name, symbol or device which is used in trade

with goods to indicate the source of the goods and to
distinguish them from the goods of others
 Service mark is the same as a trademark except that it

identifies and distinguishes the source of a service rather

than a product
 An intellectual property right granted by a government

to an individual, business, or legal entity that creates and

uses a distinctive word, name, symbol, or device to
distinguish its products or services from those from any
other entity in the marketplace.
 06/07/2024 45

Trademarks
 Used to prevent others from using a confusingly similar
mark
 Not to prevent others from making the same goods or

from selling the same goods or services under a clearly

different mark
 May be registered with the Patent and Trademark

Office
 06/07/2024 46

Trademark Registration
 Trademark rights established by:
 First to use the "mark"
 First to file application with TM Office

 Registered owner can use mark nationwide

 Registration granted for 10 years
 renewable for another 10.
 06/07/2024 47

Copyrights
 Form of protection provided to the authors of “original
works of authorship"
 Including literary, dramatic, musical, artistic, and

certain other intellectual works, both published and

unpublished
 Gives author and authorized other exclusive rights
 Copyrights are registered by the Copyright Office
 Duration is life + 70 years
 06/07/2024 48

 Paintings, books, music, movies, and even software are cover

ed under copyright law.
 Copyright laws can protect artists from their work being mod
ified
or duplicated in some way or, conversely, encourage its com
mon use depending
on the kind of copyright it enjoys and the intentions of the art
ist.
 Copyright laws exist to give creators some kind of work excl
usive rights
pertaining to that work, such as the rights of publication, ada
ptation, and distribution.
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Thank you!