Karachi December 31 2022: Pakistan Stock Exchange (PSX) shifted Dewan Farooque Motors Limited from defaulter segment to normal counter subsequent to its execution of Technical License Agreement with KIA Corporation.
On August 26, 2022 Pakistan Stock Exchange issued Show Cause Notice (SCN) for initiating winding-up proceedings against M/s. Dewan Farooque Motors Limited ("DFML") by Securities and Exchange Commission of Pakistan (SECP) was notified for information of all concerned.
In this context, it is hereby informed that SECP vide Order dated December 29, 2022 dropped the winding-up proceedings initiated against DFML through SCN with no further action, notified vide PSX Notice No.PSX/N-1329 dated December 30, 2022. Further, M/s. Feroze Sharif Tariq and Company, Chartered Accountants (Auditor of DFML) has shared the certificate dated December 20, 2022, stating that the substantial measures and various arrangements undertaken by DFML subsequent to its execution of Technical License Agreement with KIA Corporation, Seoul, Republic of Korea, lead to reverse the adverse opinion expressed by them on the financial statements for the year ended June 30, 2022. Hence, DFML has rectified the non-compliances of PSX Regulations 5.11.1.(b), (i) and (I).
In view thereof, DFML shall be shifted to the "Normal Counter" of the Exchange with effect from January, 2 2022.
DFML has been advised to ensure meticulous compliance of all applicable Rules and Regulations so that the interests of minority shareholders remain protected at all times.