Islamabad—Chairman Securities and Exchange Commission of Pakistan (SECP) Zafar Hijazi has directed the surveillance and enforcement teams to take strict action against all those involved in market manipulation and to expedite the implementation of the measures.
A statement issued by SECP here Thursday said that in order to protect investors from market abuse in wake of a surge in stock market activity, the surveillance team of SECP is actively monitoring trading activity at the Pakistan Stock Exchange (PSX).
Zafar Hijazi also directed the teams to take measures against listed companies experiencing unusual trading activity are being directed to issue clarifications regarding movements in the price or volume of their shares under Section 97 of Securities Act, 2015.
Investors were advised to exercise great caution before investing in the shares of a company that has no explanation for a surge in its stock price or traded volume. SECP has approached the FIA to take action against those who were spreading rumors through social media.
The SECP has shared complete information of some individuals who have been engaged in such malicious activities on social media. The FIA has been requested to take all necessary actions, including blocking of these Facebook accounts and to take cognizance of such activities under cybercrime laws.
It also directed that ongoing inspections of a number of brokerage houses by the SECP staff to check segregation of client cash and shares are to be completed within a week.—APP