Islamabad May 29 2025: The Excise and Taxation Department, Government of Punjab, has sealed the factory premises of Pakistan Engineering Company Limited (PECO) due to non-payment of property tax amounting to PKR 1.9 million, according to company filing to the Pakistan Stock Exchange.
“The management is actively engaging with the relevant authorities to resolve the matter and ensure restoration of access to the factory offices to avoid disruption in administrative functions” the notice added.
With reference to the announcement of a Right Issue by the Company dated 21st January 2025, the company informed that PECO has not proceeded with the said Right Issue due to directives issued in two separate proceedings initiated by the Securities and Exchange Commission of Pakistan (SECP).
The SECP has restricted PECO from proceeding with the Rights Issue, citing regulatory limitations primarily due to the Company’s name appearing in the CIB report in relation to an overdue liability. The Company is actively pursuing appropriate forums and representations to clarify that the proposed Right Issue is aimed at addressing these very compliance concerns, and therefore, the restrictions should not apply in such a context.
