RULES, 2014

SECURITIES AND EXCHANGE COMMISSION (MICROINSURANCE) RULE, 2014

[Gazette of Pakistan, Extraordinary, Part-II, 20^th February, 2014]

S.R.O. 116(I)/2014, dated 19.2.2014.--In exercise of the powers conferred by Section 83 read with Section 167 of the Insurance Ordinance, 2000 (XXXIX of 2000) and clause (u) of sub-section (4) of Section 20 of the Securities and Exchange Commission of Pakistan Act, 1997 (XLII of 1997) and having been previously published in the official gazette as required by sub-section (2) of Section 39 of said Act XLII of 1997, the Securities and Exchange Commission of Pakistan, with the approval of the Policy Board, hereby makes the following rules, namely:--

1. Short title and Commencement.--(1) These rules shall be called the Securities and Exchange Commission (Microinsurance) Rules, 2014.

(2) These shall come into force at once.

2. Definitions.--(1) In these rules, unless the context requires otherwise;

(i) "alternative dispute resolution" means procedure for settling disputes by a process other than litigation, through the use of a forum in which parties can resolve their own disputes, with the help of a neutral third party such as by arbitration or mediation.

(ii) "branchless banking" means conduct of financial service activities as outlined in the context of these rules by financial institutions authorized as branchless banking operators by the State Bank of Pakistan for conducting such activities under the relevant laws.

(iii) "branchless banking agent" means agent providing financial services to the customers under a valid agency agreement as a part of branchless banking.

(iv) "Commission" means the Securities and Exchange Commission of Pakistan established under the Securities and Exchange Commission of Pakistan Act, 1997;

(v) "family" means the spouse, dependent parents, minor brother(s), unmarried or widow or divorced sister(s), minor or dependent son(s) upto the age of 21 years and unmarried or widow or divorced daughter(s). Provided further that an insurer may, keeping within the aforesaid parameters laid down for the composition of the family, define "family" as per the requirement of the individual or group.

(vi) file and use procedure" means that unless Commission instructs the insurer to desist from launching the product, or to alter certain product features, the insurer can proceed to launch the product.

(vii) "group" means a collection of people formed primarily for a reason other than to provide insurance to its members or customers and shall include, but not limited to, all types of organizations such as body corporates, government entities, labor unions, professional
and trade associations and affinity groups, to whom, under a master policy, insurance services are provided and such that the organization is deemed as the policy holder.

(viii) "life microinsurance" means business of insurance as defined in Class 1 and 4 under Section 4(1) of the Ordinance and as may be prescribed by the Commission, subject to meeting the criteria as defined in Schedule-I.

(ix) "low-income person" means a person whose monthly income is less than the minimum taxable income as prescribed by the Government of Pakistan or as may be prescribed by the Commission for the purpose of these rules.

(x) "microinsurance" means insurance products and services for low income persons that meet their needs for risk protection and relief against distress, misfortune or contingent event for modest and defined benefit levels.

(xi) "microinsurance agent" means an individual or a body corporate subject to the requirements as laid down in Section 96 of the Ordinance.

(xii) "microinsurance policy" means a contract of microinsurance;

(xiii) "microinsurance policyholder" means the person to whom a microinsurance policy is issued or, in the case of a policy of life microinsurance, the person to whom the whole of the interest of the policyholder in the policy is assigned once and for all, but does not include an assignee thereof whose interest in the policy is defeasible or is for the time being subject to any condition.

(xiv) "non-life microinsurance" means business of insurance as defined in Class 1,7, 8 and 9 under Section 4(3) of the Ordinance and as may be prescribed by the Commission, subject to meeting the criteria as defined in Schedule-I.

(xv) "Ordinance" means the Insurance Ordinance, 2000;

(xvi) "over the counter" means microinsurance policies sold through a process where prospective policyholders can purchase microinsurance policies directly from the insurer or microinsurance agents or their specified persons by completing basic formalities, such that the prospective policyholders are informed beforehand and knows what exactly he or she needs for necessary documents and premium payment.

(xvii) "Rules" means the Securities and Exchange Commission (Microinsurance) Rules, 2013.

(xviii) "SEC Rules" means the Securities and Exchange Commission (Insurance) Rules, 2002.

(xix) "specified person" means either an employee of the microinsurance agent or an employee of the insurer who is responsible for soliciting and procuring microinsurance business for the insurer under the agency agreement between the insurer and microinsurance agent.

(xx) "third party administrator" means a body corporate which performs agreed administrative functions for the Insurer.

(2) In these Rules, the word "microinsurance" may be used interchangeably with the word "microtakaful", "life microinsurance" with "family microtakaful", "non-life microinsurance" with "general microtakaful", "premium" with "contribution" and "insurer" with "operator".

(3) All words and expressions used in these Rules and not defined here shall have the same meaning as assigned to them in the Insurance Ordinance, 2000, the Securities and Exchange Commission of Pakistan Act, 1997 or in any Rules or Regulations made there under.

3. Applicability, contract and disclosure Requirements.--(1) These Rules shall be applicable only to those products which have been submitted under Rule 4 by the insurer as microinsurance products and subsequently approved by the Commission as microinsurance products. However, the onus strictly lies on the insurer to ensure that a product which satisfies the definition of microinsurance shall be disclosed and submitted to the Commission with the request for approval as a microinsurance product and
such product in no way shall be approved by the Commission as a
non-microinsurance product or shall not be offered by the insurer
to the policyholders who do not satisfy the definition of microinsurance.

(2) In order to form a valid microinsurance contract, it shall be required to record an explicit offer and acceptance, by the policyholder and insurer, through a reliable medium as approved by the Commission.

(3) A microinsurance policy shall clearly state the benefits and terms of coverage. The insurer providing microinsurance shall ensure that the contract provisions in the microinsurance policy can easily be understood by the insured and are printed in legible form and font, at least in simple Urdu language.

(4) A microinsurance policy shall contain least key facts as provided in Schedule-II.

(5) Every microinsurance product, including the policy document and marketing material shall prominently carry the caption "Microinsurance Product".

4. Product Features and Submission.--(1) Every insurer shall be subject to the file and use procedure with respect to filing of microinsurance products or as may be prescribed by the Commission.

(2) The insurer shall submit to the Commission the details of microinsurance products, along with summary description of claims process, at least thirty (30) days prior to the intended launch date of such microinsurance product. The filing details under this sub-rule shall at least include the product specification, policy document, product brochure or marketing material, distribution channel agreement and details of the sales process to be followed for such microinsurance product.

(3) Such file and use procedure shall apply to all microinsurance products which have not already been approved by the Commission or to such microinsurance products already approved by the Commission but where any significant revisions in policy terms, conditions, premium or benefit levels have been made to such existing microinsurance product by the insurer.

(4) For life microinsurance, when filing with the Commission, the insurer shall be required to submit, as much as applicable, the details as per the requirements laid down in Section 6(8) of the Ordinance, with the exception of the requirement as laid down in Section 6(8) (b) of the Ordinance, in addition to the summary description of claims process to be followed for such microinsurance product.

(5) For non-life microinsurance, when filing with the Commission, the insurer shall be required to submit the microinsurance product details and summary description of claims process, in addition to the requirements as may be prescribed by the Commission.

(6) Every insurer shall also submit to the Commission a copy of any written, electronic or other material proposed to be issued by the insurer for mass communication or for communication with the microinsurance policyholder or prospective microinsurance policyholder, in respect of the marketing of microinsurance products to be offered by such insurer.

5. Intermediation.--(1) In addition to an insurance agent or insurance broker licensed under the Ordinance, microinsurance products may be distributed through a microinsurance agent.

(2) A microinsurance agent shall be appointed by an insurer in the same manner as required under the Section 95(2) of the Ordinance.

(3) The microinsurance agent shall be required to perform one or more of the following functions, as specified in the agency agreement, namely--

(a) collection of proposal forms;

(b) collection of self-declaration form from the proposer that he/she is in good health;

(d) distribution of microinsurance policy documents;

(e) maintenance of register of all those insured and their dependents covered under the microinsurance policy, together with details of name, gender, age, address, nominees and thumb impression/signature of the microinsurance policyholder;

(f) assistance in the settlement of claims;

(g) ensuring nomination to be made by the insured;

(h) the selling, marketing and delivery of microinsurance on behalf of an insurer under an agreement; and

(i) any other service as may be specified by the Commission.

(4) The microinsurance agent or the specified persons of the microinsurance agent, shall undergo a training program of a duration not less than twenty (20) hours to be conducted by the respective insurer or any organization as may be approved by the Commission, with a thorough focus on consumer protection as outlined in Schedule-III of these rules. This training program shall follow the broad outline as to be prescribed by the Commission.

(5) In case of the provision of microinsurance through over the counter means, such as the branchless banking agents of the branchless banking operators, acting as microinsurance agents, or any other applicable channel, the person attending such over the counter channel shall undergo a training program of a duration not less than four (4) hours to be conducted by the respective over the counter channel operator or any organization as may be approved by the Commission, with a thorough focus on consumer protection as outlined in Schedule-III of these rules. This training program shall follow the broad outline as to be prescribed by the Commission.

(6) The insurer shall be required to report the details of its microinsurance agents to the Commission as part of its annual returns by including a statement of the insurance premium written through the microinsurance agent, subdivided by classes of microinsurance business, along with a statement of commission, by whatever name called, received or receivable by the microinsurance agent, subdivided by classes of microinsurance business.

(7) A microinsurance agent may be paid remuneration for all the functions rendered as outlined in the agency agreement, by an insurer, and the same shall commensurate within the limits as to be prescribed by the Commission from time to time.

(8) Where the agreement between the microinsurance agent and insurer is terminated for any reason whatsoever, no remuneration which is to be incurred in future, shall be payable.

(9) Any of the functions as specified in sub-rule (3) above may be performed by a third party administrator at the sole discretion of the insurer. The insurer shall enter into an agreement with the third party administrator which specifies the functions required to be performed and the remuneration payable to the third party administrator.

6. Registration and Licensing.--(1) Microinsurance, by whatsoever name called, shall only be undertaken by the entities having certificate of registration in accordance with Section 6 of the Ordinance and duly authorized by the Commission to carry out such activities.

(2) All entities providing microinsurance, by whatever name called, as defined in these rules, that are not authorized shall be required to acquire authorization from the Commission to act as an insurer to provide microinsurance or become a microinsurance agent under an agency agreement with a licensed insurer within six months of notification of these rules. In case any entity fails to take necessary authorization or license as the case may be, action shall be taken against such entity in accordance with provisions of the Ordinance read with Securities and Exchange of Pakistan Act, 1997.

7. Claim Handling and Process.--(1) The documentation required by an insurer for issuance of the microinsurance policy and settlement of claims shall be kept minimal by the insurer or as may be prescribed by the Commission.

(2) All insurers shall process and settle microinsurance claims within a maximum period of thirty (30) days upon the receipt of all required documents as stated in the microinsurance policy document.

(3) The insurers and microinsurance agents shall implement and strictly follow the claims procedures and claims documentation requirements as specified in the respective microinsurance policy document.

8. Complaints and Grievance Handling.--(1) All microinsurance related complaints should be handled in the first place by the insurer and the insurer shall ensure that the complaints shall be acted upon within 5 working days from filing of a complaint along with completion of all documentation requirements and a resolution shall be made within 25 working days from such time.

(2) Notwithstanding anything against the sub-rule (1), if the complaint is not resolved at the level of the insurer, the complaint may be referred by the insured to an alternative dispute resolution service approved by the Commission from time to time.

(3) Notwithstanding anything against the sub-rule (2), if the complaint is not resolved at the level of the alternative dispute resolution service, the complaint may be referred by the insured to the Insurance Ombudsman. The complaint may also be referred by the insured to the Small Disputes Resolution Committee subject to the provisions of Section 117 of the Ordinance.

(4) Every insurer undertaking the microinsurance business shall establish an internal dispute resolution mechanism for client complaints and grievances handling, which shall facilitate the microinsurance policyholders for speedy resolution of complaints.

(5) The Commission, where deem appropriate, may direct the insurer and the microinsurance agents for any change in their complaints and grievance handling mechanism.

9. Code of Conduct and Consumer Protection.--(1) The insurer shall strictly follow the code of consumer protection as prescribed by the Commission in Schedule-III of these rules. Such code of consumer protection shall be written at least in a simple Urdu language in the microinsurance policy document and communicated directly to the insured by the microinsurance agent or their specified person in a manner as approved by the Commission as part of the approval process under Rule 4.

(2) The microinsurance agents and their specified persons shall strictly follow the code of conduct as prescribed by the Commission in Schedule-IV of these rules. It shall be the responsibility of the insurer to ensure that microinsurance agent and its specified persons are abiding by the prescribed code of conduct.

10. Prudential rules.--(1) For life insurers the annual financial condition report shall specifically consider the implications of the microinsurance business on the financial soundness of the insurer as required under Section 50 of the Ordinance.

11. Regulatory reporting and Information Sharing.--(1) For each insurer conducting microinsurance business, it will be required to provide regulatory returns under current reporting requirements but with microinsurance identified as a distinct category of the respective class of business. The insurer conducting microinsurance business shall submit the regulatory returns to the Commission, as prescribed in Schedule-V in addition to any existing reporting requirements under the Ordinance.

(2) The Commission where deem appropriate may share any information related to microinsurance among the microinsurance providers or general public through the means it deems appropriate.

(3) Every year on or before the 30th day of April the insurer shall submit post-profiling assessment of the microinsurance product as filed earlier under the file and use procedure in a manner as may be prescribed by the Commission.

12. Offences and Penalties.--(1) Whoever, contravenes Rules shall be punishable in accordance with the provisions of Ordinance and Securities and Exchange Commission of Pakistan Act, 1997.

SCHEDULE I

[See Rule 2 (vii) & (xiii)]

Definition of Microinsurance

1. Life Microinsurance.--(1) Life microinsurance shall not have the sum insured exceeding:

(a) For single life microinsurance, 25 times of the minimum monthly wage prescribed by the Federal Government;

(b) For joint life microinsurance, 40 times of the minimum monthly wage prescribed by the Federal Government;

(2) Health microinsurance offered by life insurers shall not have the sum insured exceeding:

(a) For individual health microinsurance, 5 times of the minimum monthly wage prescribed by the Federal Government;

(b) For family health microinsurance, 15 times of the minimum monthly wage prescribed by the Federal Government;

(3) The provisions (1) and (2) above shall satisfy the definition of "low-income person" as specified in the definitions.

2. Non-Life Microinsurance.--(1) Non-life microinsurance shall not have the sum insured exceeding:

(a) For tools, belongings, implements, hutments and other assets microinsurance, 12 times of the minimum monthly wage prescribed by the Federal Government;

(b) For livestock microinsurance, 40 times of the minimum monthly wage prescribed by the Federal Government;

(d) For personal accident microinsurance, 25 times of the minimum monthly wage prescribed by the Federal Government;

(2) Health microinsurance offered by non-life insurers shall not have the sum insured exceeding:--

(a) For individual health microinsurance, 5 times of the minimum monthly wage prescribed by the Federal Government;

(b) For family health microinsurance, 15 times of the minimum monthly wage prescribed by the Federal Government;

(3) The provisions (1) and (2) above shall satisfy the definition of "low-income person" as specified in the definitions.

SCHEDULE II

[See Rule 3(2)]

Key Features of a Microinsurance policy

The following features shall be applicable to life and non-life microinsurance policies--

(a) Coverage: A microinsurance policy shall cover the insured severally or jointly with the insured's family and/or the insured's assets;

(b) Period of cover: The term of the microinsurance policy shall state the period of cover, to be determined by the insurer depending on the type of coverage;

(c) Terms and conditions: A microinsurance policy shall clearly state the sum insured, benefits and terms of insurance coverage. The manner and frequency of premium collections shall, if possible, coincide with the cash flow of the insured and may be collected daily, weekly, monthly, quarterly, semi-annually, and annually whichever is applicable.

(d) Effectivity: Except in case where a microinsurance policy is issued to a group, a microinsurance policy shall become effective immediately if either the microinsurance policy has been issued by the insurer or seven (07) working days have passed from the date when the first premium has been paid in full by the microinsurance policyholder, whichever is the earliest.

(e) Claims procedures: A microinsurance policy shall clearly state when, where and how can a microinsurance policyholder make a claim, the documents required to make such claim, the claims process and expected turnaround time for settlement of the claim.

(f) Dispute resolution: A microinsurance policy shall clearly state when, where and how can a microinsurance policyholder make complaint. This should state the contact details of both the insurer as well as the alternative dispute resolution mechanism and the insurance ombudsman.

(g) Waiting periods: maximum of 6 months for death or disability due to natural causes for policyholders not exceeding the age of 65 years. No waiting period shall be allowed for accidental death or accidental disability.

(h) Grace period: Except health microinsurance and policies where premium is paid on a frequency other than annual basis, a 30 days grace period is allowed for such microinsurance policies. If there is a claim made during such grace period, the outstanding premium shall be deducted from such claim amount.

(i) Exclusions: All exclusions shall be clearly stated in the microinsurance policy document. Except in case where a microinsurance policy is not issued to a group, no exclusions shall be allowed for pre-existing conditions unless insurer can clearly justify otherwise to the Commission.

(j) Deductibles: No deductibles shall be allowed in microinsurance policies unless insurer can clearly justify otherwise to the Commission.

(k) Renewals: For microinsurance policies where premium is paid on a frequency of annual basis, the insurer shall send notices to the microinsurance policyholder at least 45 calendar days prior to expiration of the contract. Such notice shall include in clear terms whether the contract may or may not be renewed and any changes to be made thereon, if renewed.

(m) Premium payment: The microinsurance policy shall clearly state the amount of premiums to be paid with respect to the policy, where and how to pay such premium and the consequences if premiums are not paid.

SCHEDULE III

[See Rule 9(1)]

Code of Consumer Protection

This code of consumer protection shall be directly applicable to all insurers transacting the business of microinsurance. However, the insurers shall also ensure that their microinsurance agents and their specified persons fully understand and comply with this code.

1. Transparency.--(1) The insurer shall provide to microinsurance policyholders with complete, accurate and understandable information regarding the microinsurance products offered to such policyholders. The wording, language and format of disclosures should be in a form that microinsurance policyholders with limited financial experience or literacy can comprehend. To adhere to this core value, the insurer shall ensure that:--

(a) any disclosure made to the microinsurance policyholder is written at least in Urdu language, avoiding any technical and legal terminology, to the maximum extent possible.

(b) key facts about the microinsurance policy are disclosed to the microinsurance policyholders before or at the time of inception of the microinsurance policy contract such as:--

(i) what it does and does not provide cover for such exclusions;

(ii) term of the microinsurance policy;

(iii) the premium amount due and premium payment frequency;

(iv) when and how a claim can be made under the microinsurance policy;

(v) what is the sum insured of such microinsurance policy which can be claimed;

(vi) renewal conditions of the microinsurance policy, if any.

(c) the microinsurance policyholder is informed about the name of the insurer, written clearly in the microinsurance policy document and any other key facts documents.

(d) the microinsurance policyholder is informed about the claims process, claim documents required and recourse mechanisms.

(e) the microinsurance policyholder is informed about their responsibilities towards the insurer as clients, such as timely payment of premium and otherwise.

(f) the microinsurance policyholder is informed about the obligations of insurers, microinsurance agents and others as may be relevant.

2. Fair Practices.--(1) The microinsurance shall be completely devoid of unethical, illegal and unfair practices. The microinsurance services shall be provided to microinsurance policyholders in a manner that is legal, ethical, non-discriminatory and free of deception. To adhere to this core value, insurers shall agree to:--

(a) incorporate ethical and non-discriminatory values into their operations and act fairly, responsibly and reasonably while conducting microinsurance business activities;

(b) provide microinsurance services to microinsurance policyholders regardless of gender, religion, race, sect or language;

(c) act as competent and responsible microinsurance providers and make sure that the microinsurance is sold based on a sound and thorough assessment of the needs of microinsurance policyholders, including ability to pay the premium;

(d) ensure that mechanisms are in place that will mitigate the impact of high pressure sales practices, by ensuring that microinsurance policyholders, not being group policyholders, have reasonable time to consider the suitability of the microinsurance product on offer such that the microinsurance policy, not being a group microinsurance policy, shall be liable to be cancelled at the option of the microinsurance policyholder within fourteen (14) days of commencement, and if the microinsurance policyholder cancels the microinsurance policy within that time, all amounts paid by way of premium shall be refunded by the insurer, without any deduction for management expenses, other than expenses incurred in connection with the medical examination of any person insured under such microinsurance policy;

(e) ensure that microinsurance services are provided using the most efficient methods possible to enable access to financial services by low income households at a reasonable cost;

(f) ensure that the claim settlement process shall be simple, efficient and friendly to clients;

(g) monitor claims settlement performance through such measures as loss ratios and claim turnaround time.

3. Privacy and Fair Disclosure.--(1) The insurer shall responsibly safeguard the information provided by microinsurance policyholder and maintain the privacy of such microinsurance policyholder while upholding fair disclosure. To adhere to this core value, the insurer shall agree to:--

(a) keep the personal information of microinsurance policyholder strictly confidential, implement privacy measures with respect to such information disclosure and not pass it on to external users for any unauthorized purpose, except where required under the applicable laws;

(b) restrict the divulgence of information of microinsurance policyholder to any third party, except in the circumstances where:--

(i) the microinsurance policyholder has been informed about such disclosure and permission has been obtained from such policyholder;

(ii) the party seeking the information has been authorized by the microinsurance policyholder for such purpose;

(iii) it is legally required to do so;

4. Client Recourse.--(1) The insurer shall ensure that microinsurance policyholders have a recourse avenue that is effective and straightforward. To adhere to this core value, the insurer shall agree to:--

(a) make itself easily accessible to the microinsurance policyholders, through telephone in case they have complaints or suggestions;

(b) set up internal complaint handling systems which shall take steps to correct any omissions and handle complaints effectively;

(c) provide, at the time of the microinsurance policy inception, the contact details of the insurer and the insurance ombudsman to the microinsurance policyholder, for the resolution of any potential complaints;

(d) inform the microinsurance policyholder about the free look period, as required in Para 2(1 )(d), at the time of the microinsurance policy inception;

(e) conduct a biennial client survey in order to gauge the effectiveness of the microinsurance products and client satisfaction levels.

SCHEDULE IV

[See Rule 9(2)]

Code of Conduct for Microinsurance Agents

This Code of Conduct for Microinsurance Agents shall be applicable to all microinsurance agents and their specified persons.

1. Transparency.--(1) The dissemination of transparent and truthful information to clients is critical for effective microinsurance. Clients shall be provided with complete, accurate and understandable information regarding the products offered to them. The wording, language and format of disclosures shall be in a form that microinsurance policyholders with limited financial experience or literacy can readily comprehend.

2. Fair Practices.--(1) It is important that microinsurance should be completely devoid of unethical, illegal and unfair practices. It is important to provide the microinsurance services to the policyholders or intending policyholders in a manner that is legal, ethical, non-discriminatory and free of deception.

3. Privacy and Fair Disclosure.--(1) It is important to responsibly safeguard the information provided by the microinsurance policyholder and to maintain such privacy and uphold fair disclosure.

4. Client Recourse.--(1) It is important that the microinsurance policyholders have a recourse avenue, communicated clearly by the microinsurance agent to the microinsurance policyholders, which is effective and straightforward.

5. Dignified Treatment.--(1) The microinsurance agents and their specified persons shall be cognizant of the need to be fair, disciplined and respectful in the provision of microinsurance. They shall also realize the necessity of preserving the dignity of microinsurance policyholders or prospective policyholders at all times as well as being respectful of cultural and gender matters.

(2) The microinsurance agents and their specified persons shall avoid inappropriate occasions such as bereavement in the family or other such calamitous occurrences for making calls or visits to collect premium and wait for a period of no less than seven days before making these calls or visits.

(3) The microinsurance agents and their specified persons shall interact with microinsurance policyholders in an acceptable verbatim language and dignified manner and spare no efforts in fostering the confidence of microinsurance policyholder.

(4) The microinsurance agents and their specified persons shall maintain decency and decorum during a collection of premium visit to a microinsurance policyholder and scrupulously avoid any demeanour which would indicate any kind of threat or violence.

(5) The microinsurance agents and their specified persons shall be considerate of a client's need for privacy when they present any queries or problems.

SCHEDULE V

[See Rule 11(1)]

Reporting requirements for Insurers selling Microinsurance

Every insurer transacting the business of microinsurance shall be subject to the following regulatory reporting requirements:

1. Regulatory Returns.--(1) For life microinsurance, when filing with the Commission the following items of information, which shall identify microinsurance as a separate category of business, in addition to the requirements laid down in Part VII of the Ordinance, shall be required;

a. Statement of premiums;

b. Statement of claims.

c. Statement of direct expenses;

(2) For non-life microinsurance, when filing with the Commission the following items of information, which shall identify microinsurance as a separate category of business, in addition to the requirements laid down in Part VII of the Ordinance, shall be required;

a. Statement of premiums;

b. Statement of claims;

c. Statement of direct expenses;

d. Analysis of claims;

e. Risk exposure.

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RULES, 2014

EMPLOYEES' PROVIDENT FUND (INVESTMENT IN LISTED SECURITIES) RULES, 2014

[Gazette of Pakistan, Extraordinary, Part-II, 4^th February, 2014]

S.R.O. 80 (I)/2014.--The following draft of the Employees' Provident Fund (Investment in Listed Securities) Rules, 2014 proposed to be made by the Securities and Exchange Commission of Pakistan with the approval of the Federal Government in exercise of the power conferred by Section 506 of the Companies Ordinance, 1984 (XLVII of 1984) read with clause (b) of Section 40 of the Securities and Exchange Commission of Pakistan Act, 1997 (XLII of 1997), is published for the information of all persons likely to be affected thereby, and as required by the proviso to sub-section (1) of the said section; notice is hereby given that the draft will be taken into consideration after fourteen days of its publication in the Official Gazette.

Any suggestions or objections that may be received from any person before expiry of the said period shall be considered by the Commission:--

DRAFT RULES

1. Short title and commencement.--(1) These rules may be called the Employees' Provident Fund (Investment in Listed Securities) Rules, 2014.

(2) They shall come into force at once.

2. Interpretation.--In these rules, all words and expressions used but not defined shall have the same meanings as are assigned to them in the Companies Ordinance, 1984 (XLVII of 1984), the Non-Banking Finance Companies (Establishment and Regulation) Rules, 2003 and the Non-Banking Finance Companies and Notified Entities Regulations, 2008.

3. Limit for investment in listed securities.--Where it is decided to make investment out of the employees' provident fund in securities listed on any stock exchange in Pakistan, including shares of companies, bonds, redeemable capital, debt securities, equity securities and listed collective investment schemes registered as notified entity with the Commission under Non-Banking Finance Companies and Notified Entities Regulations 2008, such investments shall not exceed seventy percent of the size of the employees’ provident fund subject to the following limits namely:--

(a) total investment in money market collective investment schemes registered as notified entity with the Commission under Non-Banking Finance Companies and Notified Entities Regulations, 2008, shall not exceed seventy per cent of the size of the employees' provident fund; and

(b) total investment in listed equity securities, listed debt securities and listed collective investment schemes, except money market collective investment schemes, registered as notified entity with the Commission under Non-Banking Finance Companies and Notified Entities Regulations 2008 shall not exceed thirty per cent of the size of the employees' provident fund.

4. Conditions for investment listed securities.--Where it is decided to make, out of employees' provident fund, investment in shares of companies, bonds, redeemable capital, debt securities, collective investment schemes or similar instruments listed on any stock exchange in Pakistan, such investment shall be subject to the following conditions, namely:--

(a) where investment is made in equity securities of listed companies, it shall be made only where such companies--

(i) have a minimum operational record of three years; and

(ii) have exhibited average total return on investment, not less than prevailing risk free rate+50 basis point at the time of investment.

Explanation.--The "total return" and "average total return" in these rules shall be calculated as follows:--

Total Return=(Value of investment at the end of the year -Value of investment at beginning of the year) + Dividends/Value of investment at beginning of the year

Average total Return= total return year 1+total return year 2+ total return year 3

(b) where investment is made in listed debt securities of a company, it shall not be made unless such securities have been assigned a minimum rating of "AA" by a credit rating company registered with the Commission under Credit Rating Companies Rules, 1995, and with at least a stable outlook at the time of investment;

(c) where investment is made in collective investment schemes which may invest in listed debt securities, the investment policy of such scheme shall be in line with the criteria given in clause (b);

(d) where investment is made in listed money market collective investment schemes, it shall be made only in those money market schemes which have exhibited average total return on investment, not less than prevailing risk free rate at the time of investment;

(e) where investment is made in listed collective investment schemes other than money market collective investment schemes, it shall be made only in the units of the scheme which have exhibited average total return on investment, not less than prevailing risk free rate+50 basis point at the time of investment;

(f) where it is decided to make, out of the employees' provident fund, aggregate investment in listed securities, other than collective investment schemes, of fifty million rupees or above or twenty percent of the size of the employees' provident fund, whichever is lower, the employees' provident fund shall appoint or seek advice from investment advisor holding a valid license from the Commission for providing investment advisory services and in this case the conditions for investment prescribed in clause 4(a) shall not be applicable;

(g) where it is decided for the employees' provident fund, to transact its equity investments through off market transaction, the price at which the shares are bought shall not be higher than the prevailing market price and the price at which the shares are sold shall not be less than the prevailing market price;

(h) the aggregate investment in listed equity and listed debt securities of a particular company shall be restricted to ten per cent of the size of the employees' provident fund, subject to the following conditions, namely--

(i) investment in listed equity securities shall not exceed five percent of the paid up capital of the investee company; or

(ii) investment in listed debt securities shall not exceed five percent of that issue;

(i) where from the employees' provident fund, it is decided to make investment in listed securities of such company which constituted it or in listed securities of its associated companies and associated undertakings, the aggregate investment shall not exceed ten per cent of the size of its employees' provident fund;

(j) the aggregate investment in collective investment schemes, other than money market schemes, managed by a single asset management company shall not exceed ten percent of the size of the employees' provident fund provided that, in case of money market listed collective investment schemes managed by a single asset management company, the aggregate investment in listed collective investment schemes shall be restricted to thirty per cent of the size of the employee's provident fund;

(k) the aggregate investment in initial public offers (IPO) shall be restricted to five per cent of the size of the employees' provident fund every six months in a calendar year subject to the following conditions, namely--

(i) the aggregate investment in one IPO shall be restricted to one per cent of paid-up capital of the investee company or two per cent of the size of the employees' provident fund whichever is lower;

(ii) investment in IPO out of the employees' provident fund shall be made in companies having profitable operational record of at least three years; and

(iii) employees' provident fund shall not subscribe to an iPO underwritten, co-underwritten or sub-underwritten by its group companies or associated undertakings;

(l) investment shall not be made in a listed security if issuer of the security has defaulted or re-scheduled any of its financial obligations; and

(m) the employees' provident fund shall develop and maintain appropriate investment policies explaining investment limit, investment avenues and risk appetite.

5. Powers of Commission to relax Rules.--Where the Commission is satisfied that it is not practicable to comply with any of the condition or conditions of these rules, in a particular case or class of cases, the Commission may, for reasons to be recorded and subject to such conditions as it may deem fit, relax any of the conditions specified in Rules 3 and 4 in the case of such company or class of companies.

6. Penalty.--Whosoever fails or refuses to comply with or contravenes any of the provisions of these rules or knowingly and willfully authorizes or permits such failure, refusal or contravention shall, in addition to any other liability under the Companies Ordinance, also be punishable with fine which may extend to five hundred thousand rupees and, where the contravention is a continuing one, with a further fine which may extend to ten thousand rupees for every day after the first during which such contravention continues.

7. Repeal.--The Employees' Provident Fund (Investment in Listed Securities) Rules, 1996 are hereby repealed.

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NOTIFICATION

RULES OF PROCEDURE FOR THE PARLIAMENTARY COMMITTEE ON ELECTORAL REFORMS

[Gazette of Pakistan, Extraordinary, Part-II, 23^rd August, 2014]

No. F. 22(2)/2014-Com-I.--The following Rules made by the Parliamentary Committee on Electoral Reforms on 19th August, 2014 are published for general information:--

1. Short title and commencement.--(1) These rules may be called the Rules of Procedure for the Parliamentary Committee on Electoral Reforms.

(2) They shall come into force at once.

2. Definitions.--(1) In these rules, unless there is anything repugnant in the subject or context,--

"Assembly", means the National Assembly of Pakistan;

"Chairman" means the Chairman elected under these rules or any Member presiding at a Meeting under Rule 10;

"Committee" means the Parliamentary Committee on Electoral Reforms constituted under Motions adopted by the National Assembly on 19th June, 2014 and 12th August, 2014, and the Senate on 3Oth June, 2014, and 18th August, 2014;

"Constitution" means the Constitution of the Islamic Republic of Pakistan; "Gazette" means the Gazette of Pakistan;

"Member" means a Member of the Committee;

"Secretary" means the Secretary of the National Assembly or the Senate and includes any person for the time being performing duties of the Secretary to the Committee;

"Senate" means the Senate of Pakistan;

"Meeting" means a meeting of the Committee;

"Speaker" means the Speaker of the National Assembly; and

"Sub-Committee" means a sub-committee constituted by the Committee for such purpose (s) as it may deem fit under sub-rule (5) of Rule 16.

(2) Words and expressions used but not defined in these Rules shall, unless the context otherwise requires, have the meaning assigned to them in the Rules of Procedure and Conduct of Business in the National Assembly, 2007.

3. Formation and Composition.--

(1) The Committee shall consist of such Members as have been notified in the National Assembly Secretariat Notification No. F. 22(2)/2014-Com-1 dated 25th July, 2014 as may be amended by the Speaker from time to time under these Rules.

(2) The Chairman of the Committee shall be elected by the Members in its first Meeting.

4. Functions of the Committee.--

(1) The scope of work of the Committee shall include, but not be limited to:

(a) evaluating the shortcomings of previous elections and making recommendations for electoral reforms to ensure that elections are held in a free, fair and transparent manner; and

(b) drafting legislation, or constitutional amendments, if required, and recommend ways and means to improve the system of elections including adoption of latest technology available for holding elections.

(2) The Committee shall present its report to the Parliament within three months from the date of notification of the Committee.

5. Quorum of the meeting.--The quorum to constitute a Meeting shall be one-fourth of the total membership.

6. Resignation of Members from the Committee.--A Member may resign from membership of the Committee by writing under his hand addressed to the Speaker with a copy thereof to the Chairman.

7. Replacement of Members of the Committee.--The Speaker may replace any Member on request of the Leader of the Parliamentary Party concerned.

8. Adjournment etc. of the Committee.--(1) If, at the time fixed for any Meeting or at any time during any such Meeting, the number of Members present is less than the quorum, the Chairman shall either suspend the Meeting for a time not exceeding one hour or adjourn the Meeting.

(2) After suspension of the Meeting not exceeding an hour, if the quorum is not complete, the Meeting shall be adjourned.

9. Discharge of Member absent from meeting of the Committee.--If a Member is absent from three or more consecutive Meetings without the permission of the Chairman, the Speaker on the recommendation of the Chairman may discharge such Member from the Committee as per applicable Rules, and notify the replacement in consultation with the Leader of the Parliamentary Party concerned.

10. Absence of the Chairman.--If the Chairman is not present at any Meeting, the Committee shall choose one of its Members present to act as Chairman for that Meeting.

11. Voting in Committee.--All decisions at a Meeting shall be taken by a majority of the total membership of the Committee. The Chairman shall in the event of the equality of votes, have a casting vote.

12. Meeting of Committee.--(1) The Committee shall meet on such day and at such time as the Chairman may, in consultation with the Secretary, fix.

(2) A Meeting shall ordinarily be held within the precincts of Parliament.

(3) Subject to sub-rule (1), on a requisition made by not less than one-fourth of the total Membership of the Committee, the Chairman shall convene a Meeting within five (5) days from the date of requisition.

(4) If a Meeting is not convened as required under sub-rule (3), then the Speaker shall order to convene a Meeting within the next three (3) days.

13. Agenda and notices of meetings of the Committee.--(1) The agenda for each Meeting shall be determined by the Chairman.

(2) Notice for a Meeting shall be communicated to its Members, and to the Attorney General for Pakistan and the officials concerned, not less than two days before the date of the Meeting.

14. Meetings in camera.--Meetings shall be held in camera unless otherwise decided by the Committee.

15. Information to be kept secret.--The proceedings and any information tendered before the Committee shall be treated as secret unless the Committee, in the public interest, decides otherwise.

16. Power to call for papers, records or documents.--(1) For the discharge of its functions, the Committee shall have the power to require the attendance of such persons or the production of such documents as it may deem necessary.

(2) Subject to provisions of this Rule, a person summoned by an order signed by the Secretary shall appear before the Committee and produce such documents as are required by the Committee.

(3) The Committee may invite or summon or allow to appear before the Committee any Member of the Parliament, having a special interest in any matter under its consideration and may hear expert views and hold public hearings, if necessary.

(4) The Committee may invite experts in electoral matters, civil society organizations, lawyers, or any other person as may be decided by the Committee.

(5) The Committee may constitute sub-committee(s) in furtherance of its objectives and in doing so, may define the functions of such sub-committee(s) and delegate such powers to the sub-committee(s) as it may deem fit.

17. Recording of proceedings of the Committee.--A summary of the record of the proceedings of the Committee shall be maintained by the Secretary.

18. Report of Committee.--(1) The Committee will present its Report to the Parliament within three months from the date of the notification of the Committee.

(2) The Report may be either interim or final.

(3) The Report shall:

(a) incorporate the views of the Committee Members and experts, if any;

(b) set forth the recommendations of the Committee together with list of participants, and note(s) of dissent, if any; and

(4) The Secretary shall cause a copy of the Report of the Committee to be made available for the use of Members of the National Assembly and the Senate.

19. Presentation of Report.--The Report of the Committee required to be presented to each House shall be presented by the Chairman or, in his absence, by any other Member authorized by the Chairman on his behalf.

20. Procedure of the Assembly to apply.--In all matters not specifically provided for in these Rules, the procedure of the Assembly shall apply with such modifications and variations as the Committee may consider necessary.

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REGULATIONS, 2014

COMPANIES (PROXY E-VOTING)
REGULATIONS, 2014

[Gazette of Pakistan, Extraordinary, Part-II, 4^th June, 2014]

S.R.O. 482 (I)/2014.--The following draft of the Companies (Proxy E-Voting) Regulations, 2014 proposed to be made by the Securities & Exchange Commission of Pakistan in consultation with the Policy Board, in exercise of the powers conferred by clause (ii) of sub-section (1) of Section 40 of the Securities and Exchange Commission of Pakistan Act, 1997(XLII of 1997) read with Section 506-A of the Companies Ordinance, 1984 is hereby published for eliciting public opinion as required under sub-section (2) of Section 40 of the Act and suggestions thereon, if any, received within a period of thirty days from the date of its publication in the official Gazette, shall be taken into consideration:

1. Short title and commencement:

(i) These Regulations shall be called the Companies (Proxy E-Voting) Regulations, 2014.

(ii) They shall come into force at once.

2. Definitions:

(a) In these Regulations, unless there is anything repugnant in the subject or context--

(i) "Accreditation certificate" means a certificate granted by the Electronic Certification Accreditation Council established under Section 18 of ETO Ordinance;

(ii) "Commission" means the Securities and Exchange Commission of Pakistan;

(iii) "ETO Ordinance" means the Electronic Transactions Ordinance, 2002;

(iv) "Electronic signature" means any letters, numbers, symbols, images, characters or any combination thereof in electronic form, applied to, incorporated in or associated with an electronic document, with the intention of authenticating or approving the same, in order to establish authenticity or integrity, or both;

(v) "Intermediary" means a person acting as a service provider in relation to the sending, receiving, storing, or processing of the electronic communication, or the provision of other services in relation to it;

(vi) "Ordinance" means the Companies Ordinance, 1984;

(vii) "Proxy E-Voting" means exercise of indirect voting right through electronic means by appointing intermediary as proxy;

(viii) "Quorum" means quorum as required under Section 160 of the Ordinance present at the place of the meeting;

(b) All words and expressions used but not defined in these Regulations shall have the same meanings as in the Companies Ordinance, 1984 and the Electronic Transactions Ordinance, 2002.

3. Applicability:

The Regulations shall be applicable to general meetings of listed companies for providing voting right to members through electronic means managed by authorized intermediaries, acting as proxy appointed by the board of directors of the Company, at least thirty days before holding of general meeting.

4. Conditions for acting as Intermediary:

No person shall act as Intermediary unless such person fulfill conditions for acting as a balloter, transfer agent or underwriter as per the Balloters, Transfer Agents and Underwriters Rules, 2001, further has the following qualifications:

(i) It is a company;

(ii) Owns web portal for electronic voting, computer hardware and software, and employs persons who are expert in the operation of such hardware and software to discharge the services offered;

(iii) Possess a valid accreditation certificate in terms of ETO Ordinance for the period of appointment;

(iv) Have adequate disaster recovery facilities;

(v) Its directors and employees have not been convicted of an offence involving fraud or breach of trust;

(vi) Its directors and employees have not been punished for an offence under the Ordinance, the Act any rules made or directive issued thereunder;

(a) No person shall act as Intermediary of more than 100 companies at a time for the purpose of these Regulations.

5. Amendments in articles of association:

The articles of association of the company shall provide that in case of Proxy E-Voting;

(i) Both members and non-members can be appointed as proxy;

(ii) The chairman of the meeting shall opt for mode of voting as taking a poll and notice of meeting shall disseminate the same.

6. Notices of general meeting: (Schedule I)

(i) Notice of general meeting shall clearly specify that members can also exercise their right to vote through Proxy E-Voting by appointing Intermediary as proxy provided that consent in writing or through electronic mode be received in advance at least ten days before holding of a general meeting, at the registered address of the Company, to be provided in notice of the meeting;

(ii) Information about the Intermediary, its web address and contact details be provided in the notice of the meeting;

(iii) The period in which votes may be cast, retracted and withdrawn is prescribed by the company, but must end no later than the day immediately preceding the date of the members meeting;

(iv) Company shall maintain a database of registered email addresses of members and shall communicate through electronic mode;

7. Access to general meeting businesses information:

Intermediary shall provide following at least five days prior to holding of the meeting;

(i) Login details, password and electronic signature through email to members who opted for Proxy E-Voting at their registered email addresses alongwith complete information necessary to enable them to cast vote online.

(ii) Make available or upload, as the case may be, at their web portal businesses to be transacted at a general meeting and the agenda items;

8. Participation in general meeting through Proxy E-Voting:

(i) Members participating through Proxy E-Voting demand for poll through instrument of proxy (Schedule II). A poll may be ordered to be taken by the chairman of the meeting of his own motion or on demand made by at least five members present in person or by proxy;

(ii) Members intended to cast an electronic vote is required to be authenticated through secured electronic signature provided by the Intermediary; and shall cast vote online during the time specified in the notice of the meeting;

(iii) The Intermediary is required to keep result of Proxy E-Voting confidential and cast vote as instructed by members through E-voting acting as their proxy during time of poll;

(iv) Voting outcome on resolutions shall be announced by chairman of the meeting and shall be published on the web portal of the Intermediary at the earliest but not later than twenty four hours of the conclusion of the general meeting;

(v) In case of adjourned meeting, no resolution shall be deemed passed, until it is passed at the last day of the holding of meeting;

9. Compliance report: (Schedule III)

Intermediary shall provide compliance report of Proxy E-Voting to chairman of the meeting with in three working days of the meeting and the company shall maintain and arrange to send copy of the compliance report alongwith minutes of general meeting to the stock exchanges and Commission as and when desired.

10. General Requirement:

The company adopting Proxy E-Voting shall formulate procedures duly approved by the board, of directors.

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SCHEDULE I

Notice of Annual General Meeting/Extra-Ordinary General Meeting:

Notice is hereby given that the [number of meeting] annual general meeting/extra-ordinary general meeting of [name of company] will be held at [place of meeting], on [date of meeting], at [time of meeting] to transact the following business:

In order to vote through E-voting or to avail video conference facility please fill the requisite forms and submit to company within time frame mentioned in forms.

A. Ordinary Business

1. Consideration of the accounts, balance sheets and the reports of the directors and auditors.

2. Declaration of a dividend.

3. Appointment and fixation of remuneration of auditors.

4. Election of directors.

B. Special Business

5. To ______________

By the order of board
[Name of company secretary]
Company Secretary

[place] [dated]

Notes:

A. For attending the meeting personally:

B. For appointing other members as proxies:

C. For appointing intermediary as proxy for exercising electronic voting right as per the Companies (Proxy E- Voting) Regulations, 2014.

(i) ABC (with complete contact details) is appointed by the board of directors as intermediary for the meeting on (30 days before the meeting).

(ii) The instruction to appoint intermediary as proxy and opting to vote through proxy electronic voting as per the Companies (Proxy E-Voting) Regulations, 2014 shall be deposited to the company at least ten days before holding of general meeting at (registered address of the company) or through email (detail of secure email address of the company).

(iii) The proxy form shall be witnessed by two persons whose names, addresses and CNIC numbers shall be mentioned on the form.

(iv) The right of vote through electronic voting can be exercised from (date) to {date} through website {address of website}.

(v) Mode of voting will be by taking a poll on the discretion of chairman of the meeting or if demanded by members as per Section 167 of the Ordinance.

Form for Video Conference Facility

Members can also avail video conference facility in {name of cities where facility can be provided keeping in view geographical dispersal of members}. In this regard please fill the following and submit to registered address of the Company 10 days before holding of general meeting.

If the company receives consent from members holding in aggregate 10% or more shareholding residing at a geographical location, to participate in the meeting through video conference at least 10 days prior to date of meeting, the company will arrange video conference facility in that city subject to availability of such facility in that city.

The Company will intimate members regarding venue of videoconference facility at least 5 days before the date of general meeting alongwith complete information necessary to enable them to access such facility.

I/We, __________________________ of ________________, being a member of ABC Ltd., holder of _________________ Ordinary Share(s) as per Register Folio No. ____________ hereby opt for video conference facility at----

___________________

Signature of member

SCHEDULE II

Form of Proxy

Option 1

Appointing other person as Proxy

I/We, _______________ of __________________, being a member of ABC Ltd., holder of _____________________ Ordinary Share(s) as per Register Folio No. _______________ hereby Appoint Mr. _______________ Folio No. _________________ (if member) _________ of ____________or failing him Mr. __________Folio No (if member), of _________________, as my /our proxy in my/our absence to attend and vote for me/us, and on my/our behalf at the Annual General Meeting/Extra Ordinary General Meeting of the Company to be held on and at any adjournment thereof. Signed under my/our hand this _________, day of ___________ 2014.

Option 2

Appointing Intermediary as proxy as per the Companies (Proxy E-Voting) Regulations, 2014, for E-voting

I/We, ____________________ of _______________________, being a member of ABC Ltd., holder of __________________ Ordinary Share(s) as per Register Folio No _________________hereby Appoint Intermediary (ABC) as proxy and will exercise Proxy Electronic Voting as per the Companies (Proxy E-Voting) Regulations, 2014 and hereby demand for poll.

My secured email address is ________________, please send login details, password and electronic signature through email.

_________________________

Signature should agree
with the specimen signature
registered with the company

Signed in the presence of:

___________________ ____________________

Signature of Witness Signature of Witness

NOTES:

1. This instrument appointing a proxy under option 1 shall be in writing under the hand of the appointer or his attorney duly authorized in writing, or if the appointer is a corporation either under the common seal or under the hand of an official or attorney so authorized. No person shall be appointed as proxy who is not a member of the Company qualified to vote except that a corporation being a member may appoint a person who is not a member.

2. The instrument appointing a proxy under option 1 and the power of attorney or other authority (if any), under which it is signed or a notarially certified copy of that power of authority, shall be deposited at the office of the Company not less than 48 (forty eight) hours before the time for holding the meeting at which the person named in the instrument proposes to vote, and in default the instrument of a proxy shall not be treated as valid.

3. The instrument appointing a proxy under option 2 shall be deposited in advance in writing at least ten days before holding of general meeting, at the registered office (address) of the company or through email (detail of secure email address of the company).

SCHEDULE III

Compliance Report for Proxy E-Voting

Details

Name of the Company
Date of the general meeting

Tribunal Act, 2010, as amended from time to time through notifications with prior approval of the Cabinet.

SCHEDULE-IV

Salary, Allowances & Utilities

S. No.	Items	Chairman	Member
1.	Salary	Rs. 2,00,000/-	Rs. 1,70,000/-
2.	House Rent Allowance	Rs. 70,000/-	Rs. 60,000/-
3.	Utility Allowance	Rs. 20,000/-	Rs. 15,000/-
	Total	Rs. 2,90,000/-	Rs. 2,45,000/-

Facilities

S. No.	Items	Chairman	Member
1.	One Chaufar driven vehicle maintained at the Government expenses for official and Private use.	Not less than 1300 CC Capacity Car	Not less than 1300 CC Capacity Car
2.	Petrol Limit	300 liter per month	270 liter per month

8. Sub-section (2) of Section 8 of the Act is omitted.

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NOTIFICATION

CUSTOMS ACT, 1969 (IV OF 1969)

[Gazette of Pakistan, Extraordinary, Part-II, 28^th June, 2014]

S.R.O. 580(I)/2014.--In exercise of the powers conferred by Section 19 of the Customs Act, 1969 (IV of 1969), the Federal Government is pleased to direct that the following amendments shall be made in its Notification No. S.R.O. 559(I)/2008, dated the 11th June, 2008, namely:--

In the aforesaid Notification, in the TABLE, in column (1),--

(a) against S. No. 1.--

(i) in column (3), entries (1), (2) and (3) and entries relating thereto in column (4) shall be omitted; and

(ii) in column (5), for the figure "10", the figure "15" shall be substituted; and

(b) S. No. 2 and entries relating thereto in columns (2), (3), (4), (5) and (6) shall be omitted.

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NOTIFICATION

COMPANIES ORDINANCE, 1984 (XLVII OF 1984)

[Gazette of Pakistan, Extraordinary, Part-II, 23^rd July, 2014]

S.R.O. 685(I)/2014, dated 22.7.2014.--In exercise of powers conferred by Section 505 of the Companies Ordinance, 1984 (XLVII of 1984), read with clause (c) of Section 43 of the Securities and Exchange Commission of Pakistan Act, 1997, (XLII of 1997) and SRO No. 698 (I)/86, dated 2nd July 1986, the Securities and Exchange Commission of Pakistan is hereby pleased to make the following amendment in the Sixth Schedule to the said Ordinance, namely:--

For Clause I, for sub-clause (3) the following shall be substituted, namely,--

"For registration of an increase in share capital made after the first registration of the company, an amount equal to the difference between the amount which would have been payable on registration of the company by reference to its capital as increased and the amount which would have been payable by reference to its capital immediately before the increase, calculated at the rates given under Clause 2:

Provided that no such fee shall be applicable on registration of an increase in authorized share capital of a transferee company after merger consequent to sanction of application for compromises, arrangements or reconstruction for merger of companies by the Court pursuant to Sections 284 to 287 of the Ordinance, to the extent of aggregate of authorized capital of the transferor and transferee companies.

"Explanation" For the purpose of calculation of fee for registration of an increase in the share capital of the company which was originally formed on the basis of physical business now opting online submission, the difference of fee shall be calculated on the basis of rates applicable to a company treating as formed on online submission.".

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RULES, 2014

PAKISTAN LEGAL PRACTITIONERS & BAR COUNCILS (AMENDMENT) RULES, 2014

[Gazette of Pakistan, Extraordinary, Part-II, 4^th September, 2014]

S.R.O. 782(I)/2014, dated 28.8.2014.--In exercise of the powers conferred By Section 55 of the Legal Practitioners & Bar Councils Act, 1973 (XXXV of 1973) and other enabling provisions in this behalf, the Pakistan Bar Council hereby makes and notifies the following amendments in the Pakistan Legal Practitioners & Bar Councils Rules, 1976.

1. Short Title and commencement:

(i) These Rules may be called the "Pakistan Legal Practitioners & Bar Councils Amendment) Rules. 2014."

(ii) They shall come into force with effect from 26-12-2013.

2. Amendment of Rule 108-B:

(i) The word "twice" appearing in clause (I) of Rule 108-B may be substituted by the word "thrice".

(ii) The existing last two provisos of sub-rule (1) of Rule 108-C may be substituted by the following:--

"Provided further that an apprentice would commence his apprenticeship with such Advocate after having passed his LL.B. final examination and Assessment Test of National Testing Service (NTS) and shall furnish copies of his LL.B. degree or result card and the Certificate from the National Testing Service (NTS) as to his having passed the LL.B. final examination and the Assessment Test."

-------------------

Name of member	Shares held or no. of votes	Result of resolutions
		Resolution No. 1	Resolution No. 2	Resolution No. 3
		No. of votes in favor or against	No. of votes in favor or against	No. of votes in favor or against
Total		xxxxxxx		xxxxxxx

dates for casting Electronic Vote
Total members opted for Proxy E-Voting

Resolution 1	Details
Resolution 2	Details
Resolution 3	Details