Karachi December 10 2022: Pakistan Stock Exchange (PSX), in exercise of powers conferred upon it under, Section 7 of the Securities Act, 2015, has made amendments in PSX Regulations with the approval of the Securities and Exchange Commission of Pakistan (SECP).
In line with the relevant sections of the Securities Act, 2015 and Futures Market Act, 2016, a new Chapter 7A titled “Market Misconduct Regulations” has been inserted in the PSX Regulations. This newly inserted Chapter empowers PSX to detect and prevent market misconduct such as insider trading, false trading, market rigging and market manipulation, to ensure orderly and fair market.
Furthermore, under this Chapter, PSX can also enquire and obtain information, records and documents to determine whether any market misconduct has occurred. In case of any adverse findings, PSX shall take consequential actions in accordance with regulations.
PSX Regulation 4.25 has also been amended, empowering PSX to conduct verification, review or inspection of a Securities Broker, to ensure its compliance with the requirements of PSX Regulation 4.25.1 Or require a Securities Broker to submit audit report on compliance with the requirements of the aforesaid Regulation in such manner as specified by PSX.
