1. The present matter arises out of a Show Cause Notice bearing No. SMD/SCN/4/2005 dated 15.07.2005 issued to Sherman Securities (Pvt.) Ltd., a Corporate Member of the Karachi Stock Exchange (G) Ltd. ("the Respondent").
2. Brief facts of this case are that between 01.03.2005 and 31.03.2005, the Respondent carried out 231 trades involving total 486,500 shares of Oil & Gas Development Company ("OGDC"), Pakistan Oil Field Limited ("POL"), Pakistan Petroleum Limited ("PPL"), Pakistan State Oil Limited ("PSO") and Pakistan Telecommunications Company Limited ("PTCL") through the Karachi Automated Trading System ("KATS") on behalf of 4 of its clients.
3. In the course of these trades, the Respondent purchased and sold, on behalf of the said 4 clients, 210,700 shares of OGDC, 200 shares of POL, 260,800 shares of PPL, 11,300 shares of PSO and 3,500 shares of PTCL. Each of these trades cancelled each other out with the effect that there was no change in the beneficial ownership of the shares.
4. The Securities and Exchange Commission of Pakistan (the "Commission") obtained the KATS data from the Karachi Stock Exchange (G) Ltd. ("KSE") for the relevant period, which revealed that during the month of March 2005 the Respondent had executed the following trades which cancelled each other out and did not result in change of beneficial ownership: {{TABLE}} DATE CLIENT CODE NAME OF SHARE NUMBER OF SHARES PERCHASE AND SALE RATE TIME OF EXECUTION 7/03/2005 9226 OGDG-REG 10000 142.5 1040340022 7/03/2005 9226 OGDG-REG 5100 140.5 1140240025 8/03/2005 9226 OGDG-REG 10000 144.95 1206230043 8/03/2005 9226 OGDG-REG 100 145.05 1213480048 8/03/2005 9226 OGDG-REG 5800 145.7 1231510039 8/03/2005 9226 OGDG-REG 500 145.7 1231560063 9/03/2005 9226 OGDG-REG 19600 158.5 1120170055 9/03/2005 9226 OGDG-REG 100 158.5 1120180053 9/03/2005 9226 OGDG-REG 100 158.65 1121140093 9/03/2005 9226 OGDG-REG 100 158.65 1121190030 9/03/2005 9226 OGDG-REG 100 158.7 1136130032 9/03/2005 9226 OGDG-REG 1000 158.7 1137230018 9/03/2005 9226 OGDG-REG 2500 158.6 1142080032 9/03/2005 9226 OGDG-REG 500 158.6 1142090064 9/03/2005 9226 OGDG-REG 100 158.6 1142340063 9/03/2005 9226 OGDG-REG 100 158.7 1145530013 9/03/2005 9226 OGDG-REG 200 158.55 1148300003 9/03/2005 9226 OGDG-REG 500 159.15 1156360075 9/03/2005 9226 OGDG-REG 1200 158.75 1204540028 9/03/2005 9226 OGDG-REG 100 158.7 1204540029 9/03/2005 9226 OGDG-REG 1300 158.65 1208480002 9/03/2005 9226 OGDG-REG 200 158.65 1213460047 9/03/2005 9226 OGDG-REG 100 158.65 1213470022 9/03/2005 9226 OGDG-REG 100 158.65 1214170022 9/03/2005 9226 OGDG-REG 100 158.6 1216160040 9/03/2005 9226 OGDG-REG 100 158.6 1216220040 9/03/2005 9226 OGDG-REG 100 158.6 1216440003 9/03/2005 9226 OGDG-REG 700 158.6 1216470009 9/03/2005 9226 OGDG-REG 100 158.6 1216580052 9/03/2005 9226 OGDG-REG 2600 158.5 1219580029 9/03/2005 9226 OGDG-REG 100 158.3 1227040009 9/03/2005 9226 OGDG-REG 1800 158.5 1231520014 9/03/2005 9226 OGDG-REG 3800 158.5 1231520015 9/03/2005 9226 OGDG-REG 500 158.7 1236350007 9/03/2005 9226 OGDG-REG 100 158.85 1412530012 10/03/2005 9226 OGDG-REG 100 164.9 1036290074 10/03/2005 9226 OGDG-REG 100 164.9 1036310038 10/03/2005 9226 OGDG-REG 100 164.9 1036330011 10/03/2005 9226 OGDG-REG 100 165.3 1108040002 10/03/2005 9226 OGDG-REG 4500 165.1 1117240034 10/03/2005 9226 OGDG-REG 100 165.5 1126290044 10/03/2005 9226 OGDC-REG 100 165.45 1128140033 10/03/2005 9226 OGDC-REG 100 165.5 1129410039 10/03/2005 9226 OGDC-REG 300 166.3 1136370005 10/03/2005 9226 OGDC-REG 100 165.3 1303080003 10/03/2005 9226 OGDC-REG 100 162 1348020024 16/03/2005 9226 OGDC-REG 5000 192.4 1233580019 17/03/2005 9226 OGDC-REG 16600 178 1031300014 21/03/2005 9226 OGDC-REG 8000 160.2 947420008 29/03/2005 0121 OGDC-REG 100000 123.55 1050160019 29/03/2005 9226 OGDC-REG 500 123.55 1106290007 30/03/2005 9226 OGDC-REG 3000 126.8 1318310034 4/03/2005 9226 POL-REG 100 344.5 1018300026 4/03/2005 9226 POL-REG 100 344.5 1018550002 1/03/2005 9226 PPL-REG 100 251.75 1000350008 1/03/2005 9226 PPL-REG 100 251.75 1000510077 1/03/2005 9226 PPL-REG 3900 251.5 1027300053 2/03/2005 9226 PPL-REG 100 266 1020430090 2/03/2005 9226 PPL-REG 100 264.9 1027090014 2/03/2005 9226 PPL-REG 100 264.4 1033270005 4/03/2005 9226 PPL-REG 25000 272.1 948190005 7/03/2005 9226 PPL-REG 100 269.05 954130055 7/03/2005 9226 PPL-REG 100 263 1154510092 7/03/2005 9226 PPL-REG 400 265.4 1213030038 7/03/2005 9226 PPL-REG 100 265.4 1213480010 7/03/2005 9226 PPL-REG 100 265.4 1213510054 7/03/2005 9226 PPL-REG 100 266.95 1238510057 7/03/2005 9226 PPL-REG 100 263.7 1326060043 7/03/2005 9226 PPL-REG 100 263.5 1351350011 7/03/2005 9226 PPL-REG 5000 261 1414190027 8/03/2005 9226 PPL-REG 100 258.6 1014380047 8/03/2005 9226 PPL-REG 100 255 1034370066 8/03/2005 9226 PPL-REG 100 256 1043010018 8/03/2005 9226 PPL-REG 300 256.5 1054280044 8/03/2005 9226 PPL-REG 9800 257.9 1101020040 8/03/2005 9226 PPL-REG 3100 258 1102160049 8/03/2005 9226 PPL-REG 5000 261.8 1106460023 8/03/2005 9226 PPL-REG 5000 261.5 1106470039 8/03/2005 9226 PPL-REG 30000 261.1 1107370052 8/03/2005 9226 PPL-REG 100 263 1301040039 8/03/2005 9226 PPL-REG 100 263 1301220009 8/03/2005 9226 PPL-REG 100 263.5 1304430026 8/03/2005 9226 PPL-REG 100 264.85 1310130031 8/03/2005 9226 PPL-REG 600 263.5 1331100042 9/03/2005 9226 PPL-REG 100 282.9 1022260023 9/03/2005 9226 PPL-REG 100 281.05 1039460048 9/03/2005 9226 PPL-REG 100 281.5 1042260055 9/03/2005 9226 PPL-REG 100 281.5 1044290002 9/03/2005 9226 PPL-REG 100 281.55 1046370112 9/03/2005 9226 PPL-REG 100 284 1057350005 9/03/2005 9226 PPL-REG 100 284.75 1100310005 9/03/2005 9226 PPL-REG 100 284.7 1101040040 10/03/2005 9226 PPL-REG 100 297.1 1108300046 10/03/2005 9226 PPL-REG 100 297.5 1109090029 10/03/2005 9226 PPL-REG 100 298.45 1109300008 10/03/2005 9226 PPL-REG 3700 299.1 1221150035 11/03/2005 9226 PPL-REG 5000 298 1131310064 11/03/2005 9226 PPL-REG 100 297.4 1134210015 11/03/2005 9226 PPL-REG 1900 297.4 1134380040 11/03/2005 9226 PPL-REG 100 296.5 1134490061 11/03/2005 9226 PPL-REG 100 297 1135420007 11/03/2005 9226 PPL-REG 100 297 1135510023 11/03/2005 9226 PPL-REG 100 297 1135540080 11/03/2005 9226 PPL-REG 1000 297.1 1136180007 11/03/2005 9226 PPL-REG 900 297.1 1136200015 11/03/2005 9226 PPL-REG 100 297.1 1136320002 11/03/2005 9226 PPL-REG 100 297 1136320003 11/03/2005 9226 PPL-REG 3000 297 1136490055 11/03/2005 9226 PPL-REG 100 296.5 1137430034 11/03/2005 9226 PPL-REG 100 298 1158110047 11/03/2005 9226 PPL-REG 100 298.5 1432030054 11/03/2005 9226 PPL-REG 100 298.95 1439050054 11/03/2005 9226 PPL-REG 100 295.5 1514550047 11/03/2005 9226 PPL-REG 100 295.5 1515160018 11/03/2005 9226 PPL-REG 100 295.6 1515380050 11/03/2005 9226 PPL-REG 100 296.5 1516560037 11/03/2005 9226 PPL-REG 100 296.9 1518470051 11/03/2005 9226 PPL-REG 5000 295.5 1526520034 11/03/2005 9226 PPL-REG 100 295.6 1541300015 11/03/2005 9226 PPL-REG 17900 302 1555140008 14/03/2005 9226 PPL-REG 100 307.2 1110500019 14/03/2005 9226 PPL-REG 100 308.5 1208080020 14/03/2005 9226 PPL-REG 100 307 1258130033 14/03/2005 9226 PPL-REG 100 306.8 1408010050 14/03/2005 9226 PPL-REG 100 307 1412400078 14/03/2005 9226 PPL-REG 100 306 1414090071 15/03/2005 9226 PPL-REG 7100 308.75 948020049 15/03/2005 9226 PPL-REG 17500 307.5 954290072 15/03/2005 9226 PPL-REG 25100 306.5 957470032 15/03/2005 9226 PPL-REG 100 313.9 1021390051 15/03/2005 9226 PPL-REG 2000 312.7 1032310095 15/03/2005 9226 PPL-REG 100 313 1036210071 15/03/2005 9226 PPL-REG 20000 315.5 1041520013 15/03/2005 9226 PPL-REG 100 312.5 1124050027 15/03/2005 9226 PPL-REG 100 312.8 1130040028 15/03/2005 9226 PPL-REG 100 311.5 1137060038 15/03/2005 9226 PPL-REG 100 311.5 1137140082 15/03/2005 9226 PPL-REG 100 311.5 1137260031 15/03/2005 9226 PPL-REG 100 311.5 1137320049 15/03/2005 9226 PPL-REG 25100 311.9 1205440008 15/03/2005 9226 PPL-REG 100 312 1220250007 15/03/2005 9226 PPL-REG 100 312 1220310024 15/03/2005 9226 PPL-REG 100 312 1220320044 15/03/2005 9226 PPL-REG 100 312 1220340021 15/03/2005 9226 PPL-REG 100 312.5 1220510047 15/03/2005 9226 PPL-REG 1000 313 1224110056 15/03/2005 9226 PPL-REG 100 312.65 1252590040 15/03/2005 9226 PPL-REG 100 312.8 1253200025 15/03/2005 9226 PPL-REG 100 312.8 1253280057 15/03/2005 9226 PPL-REG 100 314 1347300005 15/03/2005 9226 PPL-REG 100 314.05 1356410054 15/03/2005 9226 PPL-REG 3700 314.5 1402510056 16/03/2005 9226 PPL-REG 100 306.05 1116570008 16/03/2005 9226 PPL-REG 1900 307 1128120066 16/03/2005 9226 PPL-REG 3600 300.25 1301560022 17/03/2005 9226 PPL-REG 100 286 1008590002 18/03/2005 9226 PPL-REG 100 280 937040051 18/03/2005 9226 PPL-REG 100 280 937230046 18/03/2005 9226 PPL-REG 300 286 1057020061 18/03/2005 9226 PPL-REG 100 286 1057350055 18/03/2005 9226 PPL-REG 100 286.55 1058590076 18/03/2005 9226 PPL-REG 100 286.55 1059120037 18/03/2005 9226 PPL-REG 100 286.65 1100170014 18/03/2005 9226 PPL-REG 700 286.1 1112490048 18/03/2005 9226 PPL-REG 100 288 1115220043 18/03/2005 9226 PPL-REG 100 288 1115590053 18/03/2005 9226 PPL-REG 100 290.1 1448250023 18/03/2005 9226 PPL-REG 100 277 1539490054 21/03/2005 9226 PPL-REG 100 265.9 959390021 21/03/2005 9226 PPL-REG 100 265.9 959470022 21/03/2005 9226 PPL-REG 200 263.8 1037270030 21/03/2005 9226 PPL-REG 5000 267.5 1044410048 21/03/2005 9226 PPL-REG 100 268 1056390002 21/03/2005 9226 PPL-REG 100 267.6 1102270025 21/03/2005 9226 PPL-REG 100 261.05 1141450007 21/03/2005 9226 PPL-REG 100 261.75 1205250008 SECURITIES & EXCHANGE COMMISSION OF PAKISTAN (Securities Market Division) *** 21/03/2005 9226 PPL-REG 100 261.05 1209560028 21/03/2005 9226 PPL-REG 100 261.1 1210130012 21/03/2005 9226 PPL-REG 100 261.1 1210210013 21/03/2005 9226 PPL-REG 100 261.7 1219070012 21/03/2005 9226 PPL-REG 100 261.7 1219140002 29/03/2005 9226 PPL-REG 100 218 1328270022 30/03/2005 9226 PPL-REG 2300 228.9 957590016 30/03/2005 9226 PPL-REG 100 228 1001430014 30/03/2005 9226 PPL-REG 100 224.85 1022460005 30/03/2005 9226 PPL-REG 100 223.5 1028450005 30/03/2005 9226 PPL-REG 100 223.7 1028570028 30/03/2005 9226 PPL-REG 100 223.5 1029420009 30/03/2005 9226 PPL-REG 500 224.65 1042270027 30/03/2005 9226 PPL-REG 2000 224.7 1042290029 30/03/2005 9226 PPL-REG 900 229.45 1056360026 30/03/2005 9226 PPL-REG 100 234.7 1237070005 30/03/2005 9226 PPL-REG 100 235.75 1247540009 30/03/2005 9226 PPL-REG 100 236 1410300040 31/03/2005 9226 PPL-REG 100 232 1018470018 31/03/2005 9226 PPL-REG 100 233.2 1042110049 31/03/2005 9226 PPL-REG 200 233.2 1042300006 31/03/2005 9226 PPL-REG 100 233.5 1043250035 31/03/2005 9226 PPL-REG 100 233.5 1043280027 31/03/2005 9226 PPL-REG 100 233.5 1043340028 31/03/2005 9226 PPL-REG 100 233.7 1113420025 31/03/2005 9226 PPL-REG 100 233.7 1114040006 31/03/2005 9226 PPL-REG 100 234.1 1115310018 31/03/2005 9226 PPL-REG 100 233.65 1115520005 31/03/2005 9226 PPL-REG 100 233.65 1116120016 31/03/2005 9226 PPL-REG 100 234.3 1116460056 31/03/2005 9226 PPL-REG 100 234 1119580005 31/03/2005 9226 PPL-REG 100 233.95 1120430034 31/03/2005 9226 PPL-REG 100 233.55 1122400034 31/03/2005 9226 PPL-REG 100 233.5 1123090016 31/03/2005 9226 PPL-REG 100 233.5 1123200025 31/03/2005 9226 PPL-REG 1100 233.5 1148260016 31/03/2005 9226 PPL-REG 2000 233.6 1148400044 31/03/2005 9226 PPL-REG 100 233.6 1150320011 31/03/2005 9226 PPL-REG 100 228.1 1203450014 14/03/2005 31 PSO-REG 9500 482 1111000032 21/03/2005 9226 PSO-REG 100 444.1 1156480005 24/03/2005 9226 PSO-REG 100 402.5 1032070003 28/03/2005 4210 PSO-REG 100 385.5 1029130011 29/03/2005 9226 PSO-REG 100 346.55 1003440015 29/03/2005 9226 PSO-REG 100 345.95 1022350007 29/03/2005 9226 PSO-REG 100 344.9 1028340003 29/03/2005 9226 PSO-REG 100 345.7 1105480017 29/03/2005 4210 PSO-REG 1000 366.9 1207140006 30/03/2005 9226 PSO-REG 100 415 1136550045 4/03/2005 9226 PTC-REG 1500 75 1137480015 8/03/2005 9226 PTC-REG 500 84.6 1322320042 31/03/2005 9226 PTC-REG 500 75.55 1034390012 31/03/2005 9226 PTC-REG 500 75.55 1034520008 31/03/2005 9226 PTC-REG 500 71.4 1226250061 {{TABLE}}
5. In view of the preceding a Show Cause Notice was issued to the Respondent on 15.07.2005, detailing the aforesaid facts and asking it as to why action should not be initiated against it under Section 17 of the Securities and Exchange Ordinance 1969 ("the Ordinance") and the Brokers and Agents Registration Rules, 2001 ("the Rules"). A copy of the KATS data was also sent to the Respondent in order to allow it an opportunity of answering the same. The Respondent was asked to submit a written reply with in 5 days from the date of the Show Cause Notice and the hearing was fixed in Islamabad for 03.08.2005.
6. The Respondent submitted a written reply to the Show Cause Notice on 26.07.2005 and also appeared in person through its authorized representative Mirza Mahmood Ahmad, Advocate. The main points raised by the Respondent in its written reply and in the course of hearing were as follows:
(a) It is apparent from the Show Cause Notice that the Commission has only picked certain isolated transactions from the entire record of the trading account of the clients and the scrutiny of the clients trading record has not been done on the basis of a certain criteria.
(b) The clients' accounts in question are trading/arbitrage accounts and in such accounts, as opposed to trading in delivery accounts, the investor takes split second decision for buying and selling of various scrips. For this reason there is possibility that the position in such accounts may stand squared at the end of the day.
(c) The Respondent stated that it traded on behalf of its clients, in their accounts, in both future and ready market. The trading in both ready and future market is most likely to result in squaring of a clients' position in certain scrips. However it certainly does not involve any illegality and there cannot possibly be any such intention when the accounts are not delivery accounts.
(d) The record of the clients accounts shows massive trading on each particular day involving buying and selling of hundreds of shares. The transactions in question form far less than even 1% of the daily trading in the said accounts. Therefore it is highly improbable that the clients could gain any huge advantage in such a minimal number of transactions. Further it is possible in some cases that an order may be cancelled out with another order previously placed by the same client.
(e) The record annexed with the Show Cause Notice itself shows that the Client purchased and sold OGDCL, POL, PPL, PTCL and PSO on various dates and on different rates. This clearly shows that the sole objective of the client was to earn little profit on each of the many transactions they carried out. This trend shows that there was no intention on the part of the Respondent or its client to keep beneficial ownership of a few thousand shares of the above-mentioned scrips.
(f) During the period in question hundreds or millions of shares of OGDCL, POL, PPL, PTCL and PSO were traded on the Stock Exchange. In such a scenario it is highly improbable that the Respondent or any of its clients could gain any illegal or undue advantage from squaring the trade of a few thousand shares of any particular scrip.
(g) Further, the Respondent pleaded during the hearing, that the market cannot be manipulated with such a low trade volume, particularly in the case of shares in question as these shares were already being traded heavily during the month of March, 2005.
(h) He further asserted that Section 17 read with Section 22 of the Ordinance entails penal actions.
Therefore under the general principal of the law the two Sections read together only come into play when the acts prohibited under Section 17 are done by a person with mala fide intention to commit fraud. The explanations given through written reply and during the hearing clearly shows that these transactions were not executed intentionally/with mala fide intentions.
7. On the basis of the aforesaid the Respondent requested that the Show Cause Notice be withdrawn as it had not violated any of the provisions of the Ordinance, including Section 17 of the Rules. The trades were not executed to mislead or manipulate the market price of the shares and in any event constituted a very small part of the total trades executed on those dates and therefore were not capable of manipulating the market.
8. I have heard the views and contentions of the Respondent at length after carefully examining the record, I find that the following issues arise out of this matter:
(a) Whether the acts of commission and omission as alleged against the Respondent constitute a breach of Rules? If so, up to what extent?
(b) What should the order be?
Each of these issues has been examined seriatim:
(a) Whether the acts of commission and omission as alleged against the Respondent constitutes a breach of Rules? If so, up to what extent?
9. In the course of its written as well as oral contentions, the Respondent has neither generally nor specifically denied the fact of carrying out all 231 trades detailed in the Show Cause Notice.
However the Respondent has pleaded that these trades were executed as a result of high volume of trading done by the clients and were not executed in order to manipulate the market price.
Further it has been contended that these trades constitutes a very nominal percentage of total volume traded on those days, therefore cannot in any way effect the market price resulting in any benefit to the clients or Respondent.
10. The plea of the Respondent that the transactions in question have been selected without any criteria is not correct as the data annexed to the Show Cause Notice has been selected on the criteria where the buyer and the seller is the same and the transaction has cancelled each other out without any change of beneficial ownership. Further it has been asserted by the Respondent that the trades given in the Show Cause Notice constitute a nominal percentage of the total traded volume in particular scrips on a particular day. Therefore cannot in any way affect the market price of shares. Whereas, the fact is that these trades did become the part of over all trading volume and such trades gave a false impression of active trading in these scrips at the time of execution.
11. The contention of the Respondent that the trading in both "Ready" and "Future" markets is most likely to result in squaring of a client's position in certain scrips does not hold ground as both the markets are different and a trade in "Future" market cannot be cancelled out with another trade in "Ready" market and vice versa. Furthermore the Respondent was asked during the hearing to identify the transactions which relate to "Future" and "Ready" markets and that cancelled each other out. The Respondent showed inability to identify the same from the KATS data.
12. It is evident from the relevant KATS data obtained from KSE, (which has not been disputed by the Respondent) that aforesaid trades did not result in the change in beneficial ownership of these shares. However, such trading activity interferes with the fair and smooth functioning of the market due to the fact that it gives the impression of shares being traded in the market when in fact throughout the trades the shares remain in the possession of the same person. The interest of the investor suffer in turn due to the fact that they receive a false impression of trading in the market which influences their financial decision to invest or trade in the market.
13. Further the plea of the Respondent that it is possible in some cases that a particular order may be squared up with another order previously placed in the ready market, by the same client on the same day, is not acceptable as it was the duty of the Respondent to inform the client about his unexecuted orders and abstained from placing the new order in the KATS. Moreover, the occurrence of series of transactions which cancelled each other out is not merely a coincidence instead it is an act of sheer negligence on the part of the Respondent. This clearly shows that the Respondent did not at all times maintain high standards of integrity, promptitude and fairness in the conduct of all its transactions as required under the Code of Conduct prescribed in the Third Schedule to the Rules.
14. In engaging in and allowing trading in the ready market merely for the purpose of creating a false impression of trading activity in particular scrips, is not only contrary to high standards of integrity but is also improper, dishonorable, disgraceful and contrary to law.
15. It is evident from the facts detailed above that the Respondent has failed to follow the requirements of the Code of Conduct prescribed for brokers in that by executing and permitting to execute trades which cancelled each other out and did not result in the transfer of beneficial ownership, it has indulged in acts which have interfered with the fair and smooth functioning of the market to the detriment of the interest of investors.
16. In failing to ensure that a proper system was in place to avoid repeated occurrence of these trades where buy and sell orders by the same client cancel out each other, the Respondent has failed to act with due skill, care and diligence in the conduct of its business. Consequently, the Respondent has failed in its duty to maintain high standards of integrity, promptitude and fairness in the conduct of all its business and has in fact indulged in dishonorable, disgraceful and improper conduct on the Stock Exchange and has therefore acted in gross and blatant violation of Rule 8(iv) read with Rule 12 of the Rules.
(b) What should the order be?
17. The Respondent has acted contrary to provisions 1, 2, 4 and 5 of the Code of Conduct prescribed for the broker in the Rules in violation of Rule 8(iv) read with Rule 12 of the Rules. The violation of the Rules is a serious matter which entitles to suspend the Respondent's license; however, I have elected not to exercise this power at present. Therefore in exercise of the powers under Rule 8(b) of the Rules, I hereby impose on the Respondent, the penalty of Rs.100,000.00 (Rupees One hundred thousand). This sum of Rs. 100,000.00 should be deposited in the account of the Commission being maintained in the designated branches of Habib Bank Ltd., no later than thirty (30) days from the date of this Order. A copy of the Challan form evidencing the deposit of penalty amount must be sent to the Commission.
18. In addition to the aforesaid, I hereby direct the Respondent to abstain from buying and selling of shares in a manner that these do not result in a change in the beneficial ownership of the shares failing which action will be taken against him in accordance with law.
19. This Order is issued without prejudice to any other action that the Commission may initiate against the Respondent in accordance with law on matters subsequently investigated or otherwise brought to the knowledge of the Commission.