Exercising power: Govt removes 3 nominees from house of Pak Datacom Limited
Nominees embody arch executive; movement taken after nominated members gave 3-year prolongation to association chief. CREATIVE COMMONS
ISLAMABAD: The supervision has private a nominees from a house of a open listed association – Pak Datacom Limited – by sportive powers for a initial time accessible underneath a recently promulgated Companies Ordinance 2016.
The supervision sprang into movement after a nominated Board members gave an “illegal three-year extension” to a now sacked arch executive of a company; Brig late Muhammad Arshad Khan Kayani.
Kayani had gotten a three-year use prolongation from a association board, that a Ministry of Law announced as “irregular and illegal”.
By sportive powers accessible underneath a Companies Ordinance 2016, a supervision final week private a 3 nominees on a Pak Datacom Limited, pronounced Aftab Bhatti, Chairman of a Pak Datacom house of directors and additional secretary Ministry of Information Technology. It has private Arshad Kayani, Taimur Faiz Cheema and Shahzad Sami Qureshi.
Bhatti pronounced that 3 new members have been allocated in their place. These are Ameena Sohail, now portion as Member Legal of Ministry of Information Technology, Syed Ibrar Hussain Shah, corner secretary of a method and Syed Mohammad Harris, Chief Finance Officer of Universal Services Fund.
He pronounced that a Board by fortitude has also authorized to mislay a company’s Chief Executive Arshad Kayani. In his place, Ibrar Hussain Shah has been given a additional assign of a Chief Executive, Bhatti added. The supervision has also transposed a association secretary and allocated Miss Farhat Mansoor as a new association secretary.
However, a sacked Chief Executive has not taken his dismissal easily and has taken a supervision to a court.
“I am in control of a things and have not relinquished a assign of a office,” pronounced Kayani while articulate to The Express Tribune, adding that he went to bureau on Tuesday. Kayani pronounced that a Islamabad High Court has given a stay sequence compartment Dec 9. He claimed that a government’s movement was unlawful, as a exercised powers were germane usually to a open zone association while Pak Datacom was a open listed company.
The sacked arch executive went on to explain that a Securities and Exchange Commission of Pakistan (SECP) has supposed his indicate of perspective and did not change a names of a directors in a database.
Response from Bilal Rasul, orator of a SECP, was awaited compartment a filing of a story.
The recently promulgated Companies Ordinance 2016 says that a arch executive nominated by a supervision in a open zone association “shall reason bureau during a pleasure of a government”.
SECP Chairman Zafar Hijazi pronounced final week that in box of open zone companies a nominated directors paint a shareholder, that in this box is a supervision and it has a right to mislay them.
Pak Datacom is one of a heading communication services providers of a nation and is obliged for providing services for a country’s 3 armed forces, law coercion agencies, a State Bank of Pakistan, blurb banks, telecommunication companies and airlines. It is a auxiliary of Telecom Foundation, that has 55% equity in a company, since ubiquitous open and unfamiliar investors done 45% investments in it.
Kayani pronounced that a sacked association secretary gave a matter that a officials of a Ministry of Information Technology forced him to change a names in form 29 of a SECP that deals with a names of a company’s directors.
If one goes by Kayani’s chronicle there are now dual Chief Executives of a Pak Datacom, during slightest compartment Dec 29. The Telecom Foundation works underneath a Ministry of Information Technology according to a government’s manners of business of 1973. Pak Datacom was incorporated as a private singular association in Jul 1992 and was subsequently converted into a open singular association in Jun 1994.
During Kayani’s 3 year tenure, a company’s increase drastically reduced. In Jun 2013, a company’s after-tax distinction was Rs96.1 million and a gain per share (EPS) stood during Rs9.8. However, within a camber of 3 years, a EPS plunged to usually Rs3.78 as of Jun 2016. The after-tax distinction decreased to a small Rs37.1 million by Jun 2016.
Published in The Express Tribune, Dec 7th, 2016.
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Article source: http://tribune.com.pk/story/1255650/exercising-power-govt-removes-three-nominees-board-pak-datacom-limited/