PAK LAW GPT — Pakistan Case Law AI justice scale emblemPAK LAW GPTCase law · Urdu & English

TAKAFUL PAKISTAN LIMITED vs The DIRECTOR (INSURANCE) INSURANCE DIVISION, SECP Ss — 2025 CLD 1309 SECURITIES-AND-EXCHANGE-COMMISSION-OF-PAKISTAN

Case information

Citation
2025 CLD 1309 SECURITIES-AND-EXCHANGE-COMMISSION-OF-PAKISTAN
Year
2025
Reporter
CLD
Parties
TAKAFUL PAKISTAN LIMITED vs The DIRECTOR (INSURANCE) INSURANCE DIVISION, SECP Ss

Fields are extracted from the reported citation and judgment text. Where a detail is not stated in the record, it is not shown.

Judgment text as reported

TAKAFUL PAKISTAN LIMITED VS The DIRECTOR (INSURANCE) INSURANCE DIVISION, SECP Ss. 11(1), 28 & 156---Securities and Exchange Commission (Insurance) Rules, 2002, R. 9---SRO 828(I)/2015 dated 18-08-2015---Requirement to meet the minimum paid-up-capital---Failure---Margin of good faith or benefit of "clean hands"---Appellants (Takkaful /Insurance Company and its directors) were penalized by the Director Insurance, Securities and Exchange Commission of Pakistan, for failing to meet the requirement to raise its paid-up capital for the relevant periods---Validity---Appellants had not denied in the pleadings that the Company was required to meet the requirement of the minimum paid-up capital of Rs. 500 million on December 31, 2017---Appellants admitted that the said requirement was subsequently met on June 30, 2018---Record revealed that the Company attempted to issue the right shares through two transactions to enhance its paid-up capital, however, such efforts could not succeed and materialize in time---Thus, the Company was aware of its responsibility to enhance its paid-up capital and in said regard its efforts were on record, therefore, the margin of good faith or benefit of "clean hands" should have been given to the appellants---Furthermore, most of the directors who were penalized via the impugned order were no longer on the Company's board, therefore, maintaining the penalty order against such directors would not serve the purpose as the Company subsequently complied with the requirement of minimum paid-up capital---Appellate Bench while maintaining the merits of the impugned order converted the penalty into a warning---Appeal was disposed of accordingly.

Other judgments reported in 2025 CLD

Back to the case-law library · Search Pakistani case law in Urdu or English