Controversial decisions should be nullified, funds recovered.
TARIQ KHATTAK
ISLAMABAD (Dec 08-2025)
A new wave of criticism has intensified around the Securities and Exchange Commission of Pakistan after recent audit findings and internal disputes triggered public calls to place the chairman, commissioners, and senior executives on the Exit Control List until ongoing inquiries are concluded. The push follows disclosures by the Auditor General of Pakistan that SECP approved large payments and allowances without mandatory approval, raising questions over governance and personal gain. Highlighting accountability can reassure the audience that efforts are underway to restore integrity.
According to the audit for FY 2023 to 24, more than 260 million rupees in unauthorised salaries and benefits were disbursed to the chairman and commissioners despite precise requirements that the Finance Ministry must vet such packages. The audit also pointed to failures in depositing billions in regulatory revenues into the Federal Consolidated Fund, a statutory obligation for all public bodies.
Corporate sector and market professionals argue that the seriousness of the allegations warrants immediate restrictions on foreign travel to ensure accountability, especially in a sector where regulatory decisions directly influence corporate conduct, investor behaviour, and public funds. Insiders also insist that all such decisions taken by the chairperson, driven by personal vendetta or favouritism, should be declared void after independent review, warning that such actions may have harmed businesses, distorted competition, and undermined market fairness.
SMEs report growing uncertainty over regulatory approvals and licensing delays. At the same time, investors say the controversy threatens to weaken trust in the equity and insurance markets. Masses are indirectly affected as weaker regulatory oversight can raise risks. Analysts note that Pakistan can ill afford institutional instability at a time of high inflation, volatile foreign exchange reserves, and ongoing commitments under the IMF programme. Emphasizing market trust underscores the importance of stability for stakeholders.
Business leaders have renewed demands for a full forensic audit of SECP operations, including revenue flows, payroll, procurement activities, and potential assets beyond declared means. Recovery of public funds must be initiated from any official found responsible, including the chairperson, commissioners, and executive directors. Reinforcing the need for justice can foster a sense of fairness and confidence in the process.
The government has been asked to review the AGP findings in the coming weeks. Any decision on the ECL, a forensic audit, and administrative action will depend on the pace of ongoing inquiries and recommendations.
Allowing politically connected SECP officials to walk away at the end of their terms would set a damaging precedent across government institutions, risking further erosion of trust. Senior officials can evade accountability for questionable decisions, potentially increasing governance risks and diminishing investor confidence, thereby impacting capital inflows and future investments.
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