The Securities and Exchange Commission of Pakistan (SECP) has issued show cause notices to 28,761 companies for not submitting details of ultimate owners while taking steps to ensure corporate transparency.

According to the SECP notification, companies not submitting the mandatory Form 19 regarding Ultimate Beneficial Owner, a person holding 25% or more shares or voting rights in the company will be considered as the ultimate owner.

The declaration states that the person having direct or indirect effective control over the company will also be considered as the ultimate owner, providing details of the ultimate owners is mandatory under the Companies Act, 2017.

SECP It says that the concerned companies have been given 30 days to submit Form 19, legal action will be taken against the companies that do not comply within the stipulated period.