| American Life Insurance Company (Pakistan )
Limited |
|
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| Annual
Report 1999 |
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| CONTENTS |
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| Corporate
Information |
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|
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| Notice
of Meeting |
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| Financial
Highlights |
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|
|
| Directors'
Report |
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| Pattern
of Share Holding |
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| Auditors'
Report |
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| Balance Sheet |
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| Revenue
Account |
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| Profit
& Loss Account |
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| Cash
Flow Statement |
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| Notes
to the Accounts |
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|
| Classified
Summary of the Assets |
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| BOARD
OF DIRECTORS |
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|
| CHAIRMAN
& CHIEF EXECUTIVE |
|
|
| ARIF
SULTAN MUFTI |
|
Chartered Accountant |
|
| Bungalow
No. 85 / 1,26th Street |
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| Phase-VI,
Defence Housing Authority, |
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| Karachi. |
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| DIRECTORS |
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|
| ABBAS
KHALAF |
|
Business Executive |
(Alternate Director)
MOHAMMAD MUQEEM |
|
| Verdun Street |
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| Verdun
2000 Building, 9th Floor |
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| P.O.
Box 14-5644 |
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| Beirut-
Lebanon |
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| BILAL
AHMED QURESHI |
|
Business Executive |
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| 67,
Khayaban-e-Mujahid, |
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| Defence
Housing Authority |
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| Phase
V, Karachi. |
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|
| BRUCE
EMMITT DOZIER |
|
Attorney |
(Alternate Director) S.G.
SHAHABUDDIN |
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| 18
Quail Hollow Drive |
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| Hockessin
DE 19707-1404, USA |
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|
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| EHSAN
AHMAD NOMANI |
|
Advocate |
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| 6,
Embassy Villas, Clifton, Karachi. |
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| KHALID
ANIS-UR-REHMAN |
|
Business Executive |
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| 19
/ 2 / A, 32nd Street, Phase V, |
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| Defence
Housing Society, Karachi. |
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| KHURSHID
MALIK |
|
Business Executive |
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| 6th
Floor, Sidco Avenue Centre |
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| Maulana
Deen Mohammad Wafai Road, |
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| Karachi. |
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| MOHAMMEDMIAN
SOOMRO |
Business Executive |
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| D-7
Akbar Apartment |
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| Opp.
British Council Library |
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| Bleak
House Road, Karachi. |
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| MUHAMMAD
KALIM |
|
Business Executive |
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| 11
5-C, Shahrah-e-lran |
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| Clifton-5,
Karachi. |
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| NISAR
A. MEMON |
|
Business Executive |
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| 78/2,
Khayaban-e-Sehar, |
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| Defence
.Housing Authority |
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| Phase
VI, Karachi. |
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|
| ROBINSON
K. NOTTINGHAM |
. Business Executive |
(Alternate Director)
MUJIB KHAN |
|
| 2401
Pennsylvania Avenue |
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| Unit
1603 Wilmington DE 19806, USA |
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|
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| SAIYID
SAEED AKHTAR |
|
Consulting Actuary |
|
| 6A-1,
Third North Street, |
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| Phase
1, DHA, Karachi-75500. |
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|
| SIMON
RATTRAY |
|
Insurance Executive |
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| 22
Maule Street, Monifieth, Angus, |
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| Scotland
DD'54 NR |
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| CORPORATE
INFORMATION |
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| COMPANY
SECRETARY |
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| S.G.
Shahabuddin |
|
| A-15,
Block 'C' North Nazimabad, Karachi. |
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| Office
Tel. No. 5683564 |
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|
| AUDITORS |
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| U/s.
Coopers & Lybrand |
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| Chartered
Accountants |
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| 1104
Kashif Centre, 11th Floor |
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| Shahrah-e-Faisal,
Karachi. |
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| Tel.
No. 5662353, 5677376 |
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| Fax
No. 92 (21) 5683752 |
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|
| LEGAL
ADVISERS |
|
| Surridge
and Beecheno |
|
| Finlay
House, I.I. Chundrigar Road, Karachi- 74000 |
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| Tel.
No. 2427292- 94 & 97 |
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| Fax
No. 92 (21) 2418298 |
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|
| BANKERS |
|
| Muslim
Commercial Bank Ltd. |
|
| Habib
Bank Ltd. |
|
|
| REGISTERED
OFFICE |
|
| Lakson
Square, Bldg. No. 1, 11th Floor, Sarwar Shaheed Road, |
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| Karachi-
74400 Pakistan. |
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| Tel.
No. 5685241,5687339, 5682876, 5661146-48 |
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| Fax
No. 92 (21) 5688042 |
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| UAN:
111-111-711 |
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| SHARE
DEPARTMENT |
|
| Ground
Floor, Sheikh Sultan Trust Building No. 2, |
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| Beaumont
Road, Karachi. |
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| Tel.
No. 5686658, 5689021 |
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| Fax
No. 92 (21) 5685095 |
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|
| HEAD
OFFICE |
|
| Lakson
Square, Bldg. No. 1, 11th Floor, Sarwar Shaheed Road, |
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| Karachi-
74400 Pakistan. |
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| Tel.
No. 5685241,5687339, 5682876, 5661146-48 |
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| Fax
No. 92 (21) 5688042 |
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| KARACHI
AGENCY OFFICES |
|
| Amil
Colony No. 2, |
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| Jamshed
Quarter Nariman Road, Karachi |
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| Tel.
No. 4914142, 4913268, 4913417, 4913832 |
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| Fax
No. 4922712 |
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|
| Madina
City Mall, 5th Floor, |
|
Park Avenue, 7th Floor,
Shahrah-e-Faisal, |
|
| Abdullah
Haroon Road, Karachi. |
Block 6, P.E.C.H.S,
Karachi. |
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| Tel.
No. 5651530-37 |
|
Tel. No. 4312068-79 |
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| Fax
No. 5681539 |
|
Fax No. 4312076 |
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| LAHORE
OFFICE |
|
| AI
Malik Bldg. 3rd Floor, |
|
| 19
Davis Road Lahore- Pakistan' |
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| Tel.
No. 6369882, 6369807, 6375590, 6375591,6375596, 6374140 |
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| Fax
No. 92 (42) 6375589 |
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|
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| NOTICE
OF ANNUAL GENERAL MEETING |
|
|
| Notice
is hereby given that the Fifth Annual General Meeting of American Life
Insurance Company (Pakistan) Limited will be |
|
| held
at Crystal Ball Room, Pearl Continental Hotel, Karachi on Thursday, April 20,
2000 at 10:30 a.m. to transact the following |
|
| business:- |
|
|
| 1.
To confirm the minutes of the last Annual General Meeting of the Company held
on March 27, 1999. |
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| 2.
To receive, consider and adopt the Annual Audited Accounts of the Company
together with the Directors' and Auditors' |
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| reports
thereon for the year ended December 31, 1999. |
|
|
| 3.
To appoint auditors for the year ended December 31, 2000 and to fix their
remuneration. The retiring auditors |
|
| M/s.
Coopers & Lybrand, Chartered Accountants, being eligible have offered
themselves for re-appointment. |
|
|
|
By order of the Board |
|
|
| March
29, 2000 |
|
S.G. Shahabuddin |
|
| Karachi |
|
Company Secretary |
|
|
| NOTES: |
|
|
| 1.
The Share Transfer Books of the Company will remain closed from April 05,
2000 to April 20, 2000 (both days |
|
| inclusive). |
|
|
| 2.
A member entitled to attend and vote at this meeting may appoint another
member as his/her proxy to attend, speak |
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| and
vote instead of him. A company or corporation may, by means of a resolution
of its directors, appoint a person who |
|
| is
not a member, as proxy or as its representative under section 162 of the
Companies Ordinance 1984. Form of proxy |
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| is
enclosed with the Annual Report. |
|
|
| 3.
The instrument appointing a proxy, in order to be effective, must be received
at the registered office of the Company, |
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| duly
signed, stamped & witnessed, not later than forty-eight hours before the
time appointed for the meeting. A |
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| member
shall not be entitled to appoint more than one proxy. If more than one
instrument of proxy are deposited by a |
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| member
with the Company, all such instruments of proxy shall be rendered invalid. |
|
|
| 4. Members are requested to communicate
promptly to the Company of any change in their address. |
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|
|
| FINANCIAL
HIGHLIGHTS |
|
|
|
(Rupees in 000) |
|
|
Dec 31 |
Dec 31 |
Dec 31 |
|
|
1999 |
1998 |
1997 |
|
|
| Balance Sheet |
|
| - Total Equity |
|
325,000 |
325,000 |
130,000 |
|
| -
Total Liabilities (other than shareholders' equity) |
48,622 |
36,145 |
16,211 |
|
| - Total Assets |
|
357,489 |
322,599 |
116,764 |
|
| -
Total Capital Funds (Shareholders' equity) |
|
308,867 |
286,454 |
100,553 |
|
| -
Ordinary Share value (Face value per share Rs.10/-) |
|
|
| Market
Price Per Share (Rs. 19.50 on March 15, 2000) |
15.00 |
17.50 |
20.85 |
|
| -
Right Share issue |
|
-- |
150% |
-- |
|
| Revenue
Account |
|
|
|
| -
Net Premium Income |
|
89,400 |
64,253 |
34,234 |
|
| -
Investment and other Income |
|
36,499 |
12,716 |
11,434 |
|
|
|
|
| Operating
Expenses |
|
|
|
| - Net Claim |
|
12,922 |
7,623 |
2,852 |
|
| -
Direct Expenses Commission |
|
14,240 |
11,604 |
5,548 |
|
| -
Management Expenses |
|
74,591 |
66,843 |
46,600 |
|
|
|
| REPORT
OF THE DIRECTORS |
|
|
| The
Directors of the Company are pleased to report to you for the year ended
December 31, 1999. |
|
|
| ECONOMY |
|
| The
economic situation of Pakistan during 1999 marred by turbulences and
instability. Economic environment badly affected by |
|
| sanctions
of IMF, World Bank and West following the nuclear tests on May 28, 1998 did
not improve as yet and deteriorated |
|
| further
due to political unrest and changes of Government. |
|
|
| The
present bad to worse macro economic condition with double digit inflation,
negative GDP growth, poor average per capita |
|
| income,
low literacy rate are the main causes of concern for insignificant economic
progress. |
|
|
| OPERATIONS |
|
| Your
company has completed its fourth full year of operation in 1999 with adequate
growth. Net premium income grew to Rs. |
|
| 89.4
million, an increase of 39% over Rs.64.2 million registered in the previous
year. This good result was made possible by the |
|
| improving
performance and quality of the agency sales force. As a result of the
Company's new Agents Training Program the |
|
| development
of many qualified agents has been attained according to the company's
standard established worldwide. A |
|
| majority
of the premiums came from individual policyholders, which sounds well for
future growth, persistency and stability of |
|
| the
portfolio. The market welcomes our unique policies reflecting the continued
popularity of the company's products which are |
|
| becoming
known day to day in every walk of life. |
|
|
| ORDINARY
LIFE |
|
| Ordinary
Life premium during 1999 amounted to Rs. 66 million recording a growth of
43.16% over 1998. |
|
|
| Ordinary
Life premiums include those of ordinary life riders and Income Shield &
Shifa Care riders. Tahafuz plan was launched |
|
| in
July 1999 which is specially designed to cater lower income group. |
|
|
| Further
new riders called Muhafiz Technical and Muhafiz Executive were launched at
the end of October 1999. These products |
|
| were
welcomed in the market with promising start and are sold by new graduates
from Basic Training School (BTS) and Sales |
|
| Trainees
under Senior Management Trainee (SMT) program. Again these graduates will
form part of field force in the near |
|
| future.
New graduates are the main source of our current success. |
|
|
| The
MRG Millenium Challenge worldwide started in May 1999. Rs.4.75 million of
premium was submitted during the contest |
|
| period
and a prize of Honda CD 70 motorcycle was awarded to a member of the field
force. |
|
|
| GROUP |
|
| Group
premiums amounted to Rs. 23.4 million for the year, an increase of 29% as
compared to Rs. 18.1 million in the previous |
|
| year.
Additional sales in the first quarter of year 2000 are encouraging and
indicate that another substantial increase in income |
|
| from
group business, can be expected in 2000. We are confident of exciting
progress in the future, for this product line and |
|
| expect
continued improvement. A recently developed VGA product for Group line of
business is very promising and |
|
| arrangements
are being made to launch it very soon. |
|
|
| The
unique features of your Company's new schemes, Managed Care is well accepted
by the market. Through this scheme we |
|
| have
established contact with 47 hospitals covering the main cities in Pakistan. |
|
|
| The
Employees Benefits Training School for selected agents started from March
10th 1999 in order to assist in increasing the |
|
| market
share of group sales by collecting information and data through various
agents. So far more than 20 agents passed the |
|
| Group
Sales Training exam. The activity by agents was started in 2nd quarter 1999
with some business. Your company is now |
|
| well
positioned to handle and provides services to corporate customers having in
place with latest systems and procedures in |
|
| Claims,
Agency, Administration and IT as well as experienced and trained personnel. |
|
|
| CLAIMS |
|
| Risk
selection, disciplined underwriting, better service to policyholders, prompt
payment of claims alongwith good expense |
|
| control
has been laudable and contributed significantly towards the progress of the
company. Total claims amounted to Rs. |
|
| 12.9
million, which is only 14.4%, while commission expense is only 15.9% of
premium income. |
|
|
| INVESTMENTS |
|
| Total
Investment income amounted to Rs. 35.4 million out of total income Rs. 125.9
million as compared to investment income |
|
| of
Rs. 11.8 million out of total income Rs. 76.9 million in the previous year.
The increase in investment income is the result of |
|
| careful
use of additional capital and good selection for investment in high yield
Government and quality Corporate bonds. The |
|
| composition
of income analysis given below includes investment income at 28% compared to
15% from previous year, of total |
|
| income,
which is well above the target. |
|
|
| OPERATING
RESULTS |
|
| Net
income over outgo amounted to Rs. 22.4 million compared to negative Rs. 9.09
million recorded in the previous year, |
|
| showing
a complete change to positive cash flow due to consistent growth in premium
and maximization of investment income. |
|
| The
losses in the initial years of inception for a Life Insurance Company are
expected to vanish in subsequent years by |
|
| maintaining
growth in production. This statement has now come true and the losses of
previous years are being reduced. The |
|
| Life
Fund will quickly move into the positive over the next couple of years. |
|
|
| AGENCY
DEVELOPMENT |
|
| Growth
of the company's agency force for the year was not as expected, due to the
high turnover of the field force, experienced |
|
| in
1999. The high attrition among agents was a cause of concern during the year
and the total agency force did not reach our |
|
| growth target. |
|
|
| The
Direct Sales Training School which was introduced in 1998 continued during
the year with the help of ALICO's regional |
|
| personnel
to provide intensive training of agency recruits, to better prepare them to
cope with ongoing marketing challenges |
|
| and
to accelerate their start into life insurance sales. This initiative proved
to be a valuable aid in launching products and |
|
| development
of agents and in equipping them with the necessary selling skills. Graduates
of this program are now the mainstay |
|
| of
the agency force. Presently the number of agents working with us is 244 as on
above date. |
|
|
| Further
we have introduced new Senior Management Training (SMT) program to develop
senior marketing staff for our future |
|
| needs. |
|
|
| In
addition, an experienced agency executive Mr. Simon Rattray from the United
Kingdom was assigned to the company from |
|
| February
1, 1999 to assist and setup agency training and development program which has
accomplished its first phase. Our |
|
| competition
and trophy awards programs are working well, to create healthy competition in
the field force and help with monthly |
|
| target
achievements giving us top scorers and high producers. Our best agents have
achieved overseas trips, which have |
|
| helped
spread the good name of Alico Pakistan amongst our worldwide life insurance
producers. For San Francisco |
|
| convention,
four agents qualified from our field force. For Bangkok trip, eight agents
qualified. During the year Startrack daily |
|
| reporting
program had proved a very good tool for maintaining disciplined and quality
business production. |
|
|
| Alico
Pakistan experienced maintained growth in the year 1999. Two new products,
Muhafiz and Tahafuz marketed that were |
|
| widely
welcomed by the customers. In terms of agency development, it will be
worth-noting that Alico's trained sales force is |
|
| expected
to cross the 500 mark by the end of the year 2000. Moreover, your Company is
expanding its wings by opening up |
|
| branches
all over the country. Further, 3 independent agencies have recently been
inaugurated in Karachi. Additional |
|
| agencies
are targeted for 2000. |
|
|
| Alico
was ranked highest in Pakistan during the period 1952- 72 and it was one of
the top ranking in Middle East and Africa. We |
|
| are
determined to make Alico number one again and bring back past glory not only
in Pakistan but also in the Middle East, Africa |
|
| and
South Asia regions. We will concentrate on coverage provided, premium income,
stockholders' interest and above all the |
|
| customer
service. |
|
|
| Alico's
sales force and staff comprise of professionally developed and dedicated
individuals who are continually striving to |
|
| achieve
the highest of business and ethical standards. One of Alico's managers
qualified to represent Pakistan in an |
|
| international
conference held in Amsterdam. Further, one of the senior manager who had
completed his FLMI attended LOMA |
|
| convention
in USA. Your company is running continued education program of LOMA and there
are dozen of employees and |
|
| field
force who have qualified various stages of LOMA examination in order to reach
and qualify as FLMI, in near future. |
|
|
| OUTLOOK
FOR THE FUTURE |
|
| The
management will continue its policy of focusing on quality underwriting and
direct sales through qualified trained agents. |
|
| With
the addition of new products during the year in both the individual and group
life business, the company has started |
|
| providing
more attractive selection of benefits for a wider variety of clients. Most
recently introduced were the Muhafiz and |
|
| Tahafuz
policies. These policies offer Worldwide Protection in case of accidental
loss of life or a major disability coverage, 24 |
|
| hour
protection, on or off the job. Both products are gathering momentum and
generated good business in the year under |
|
| report.
We expect to add to further range of products in 2000 allowing us to better
serve the needs of the market place. |
|
|
| Our
computer systems are now moving to LAN networking in order to provide speedy
transfer of information between the |
|
| departments
and other independent agency offices. |
|
|
| Operating
expenses are strictly controlled and investments are secured and effectively
placed. Prospects for better results in |
|
| 2000
are promising and good. |
|
|
| PARENT
COMPANY |
|
| American
Life Insurance Company (ALlCO) incorporated in the United States of America
having its registered office at ONE |
|
| ALlCO
PLAZA, Wilmington, State of Delaware, 19899, U.S.A. is the sponsor and
holding company of American Life Insurance |
|
| Company
(Pakistan) Limited. |
|
|
| PATTERN
OF SHAREHOLDING |
|
| The
pattern of Shareholding in the company as at December 31, 1999 is included
with the report. American Life Insurance |
|
| Company
holds 51% while local shareholders hold 49% of the company's total
shareholding. |
|
|
| DIRECTOR |
|
| Our
gratitude goes to Mr. Saiyid Saeed Akhtar, a Senior Consulting Actuary, who
is a Director of the company, for his continued |
|
| guidance,
insurance expertise and skills extended to the company during the year and
years to come. |
|
|
| YEAR
2000 COMPLIANCE |
|
| The
management is pleased to announce that our computer systems both hardware and
software are now year 2000 compliant |
|
| and
company have addressed seriously to eliminate any possibility of Y2K problem
in computer system presently working and |
|
| attached
to main frame computer. Subsequent to year end 1999 report we have tested all
computer systems for working |
|
| smoothly.
Again this was achieved with the help and assistance of our Regional IT
Department. |
|
|
| GRATITUDE |
|
| We
take this opportunity to express our appreciation to the Government of
Pakistan, Ministry of Commerce and Department of |
|
| Insurance
for their invaluable assistance and guidance. We would like to also express
our sincere thanks to the company's |
|
| officers,
field force and staff for their substantial efforts toward the company's
remarkable achievements during the year, which |
|
| has
laid a milestone in the life insurance industry in the private insurance
sector of Pakistan. |
|
|
| Lastly,
our thanks go to thousands of shareholders and policyholders whose
confidence, continued commitment and support |
|
| for
the Company has been a leading source of encouragement and inspiration. |
|
|
| On
behalf of the Board of Directors. |
|
|
| Arif S. Mufti |
|
| CHAIRMAN
& CEO |
|
March 20, 2000 |
|
|
|
| PATTERN
OF SHAREHOLDING |
|
| AS
OF 31 DECEMBER 1999 |
|
|
| No. of |
Having Shares |
|
Shares Held |
Percentage |
|
| Share Holders |
From |
To |
|
|
|
| 99 |
1 |
100 |
8850 |
0.0272% |
|
| 402 |
101 |
500 |
183200 |
0.5636% |
|
| 35 |
501 |
1000 |
31850 |
0.0980% |
|
| 98 |
1001 |
5000 |
193250 |
0.5946% |
|
| 10 |
5001 |
10000 |
70950 |
0.2183% |
|
| 3 |
10001 |
15000 |
37100 |
0.1142% |
|
| 4 |
15001 |
20000 |
75850 |
0.2333% |
|
| 20 |
20001 |
25000 |
493900 |
1.5196% |
|
| 3 |
25001 |
30000 |
88900 |
0.2735% |
|
| 1 |
45001 |
50000 |
49500 |
0.1523% |
|
| 1 |
55001 |
60000 |
58000 |
0.1784% |
|
| 1 |
60001 |
65000 |
62500 |
0.1923% |
|
| 1 |
65001 |
70000 |
69000 |
0.2123% |
|
| 1 |
70001 |
75000 |
72000 |
0.2215% |
|
| 1 |
85001 |
90000 |
88100 |
0.2710% |
|
| 1 |
90001 |
95000 |
92500 |
0.2846% |
|
| 1 |
100001 |
105000 |
103250 |
0.3176% |
|
| 1 |
445001 |
450000 |
449300 |
1.3824% |
|
| 1 |
1215001 |
1220000 |
1215700 |
3.7406% |
|
| 1 |
2095001 |
2100000 |
2100000 |
6.4615% |
|
| 1 |
2310001 |
2315000 |
2314000 |
7.1200% |
|
| 1 |
2450001 |
2455000 |
2451050 |
7.5426% |
|
| 1 |
2495001 |
2500000 |
2500000 |
7.6923% |
|
| 1 |
3120001 |
3125000 |
3125000 |
9.6153% |
|
| 1 |
16565001 |
16570000 |
16566250 |
50.9730% |
|
| ---------- |
---------- |
---------- |
---------- |
---------- |
|
| 690 |
|
32500000 |
100.0000% |
|
| ========== |
========== |
========== |
========== |
========== |
|
|
|
| CATEGORIES
OF SHAREHOLDERS |
|
|
| Particulars |
|
Shareholders |
Shareholding |
Percentage |
|
|
|
|
|
| INDIVIDUALS |
|
680 |
12035300 |
37.03% |
|
| INSURANCE
COMPANIES |
|
1 |
1000 |
0.00% |
|
| JOINT
STOCK COMPANIES |
|
4 |
1371200 |
4.22% |
|
| FINANCIAL
INSTITUTIONS |
|
4 |
2526250 |
7.77% |
|
| FOREIGN
COMPANIES |
|
1 |
16566250 |
50.97% |
|
|
---------- |
---------- |
---------- |
|
| Company
Total |
|
690 |
32500000 |
100.00% |
|
|
========== |
========== |
========== |
|
|
|
|
|
| AUDITORS'
REPORT TO THE MEMBERS |
|
|
| We
have audited the annexed Balance Sheet of American Life Insurance Company
(Pakistan) Limited as at 31 December |
|
| 1999
and the related Revenue Account, Profit and Loss Account and Cash Flow
Statement, together with the notes forming part |
|
| thereof,
for the year then ended and we state that we have obtained all the
information and explanations which to the best of our |
|
| knowledge
and belief were necessary for the purpose of our audit and after due
verification thereof, we report that; |
|
|
| (a)
in our opinion, proper books of accounts have been kept by the company as
required by the Companies Ordinance, |
|
| 1984; |
|
|
| (b)
in our opinion: |
|
|
| i)
the Balance Sheet, Revenue Account and Profit & Loss Account together
with the notes thereon, have been |
|
| drawn
up in conformity with the provisions of the Insurance Act, 1938 and are in
agreement with the books of |
|
| accounts
and are further in accordance with the accounting policies consistently
applied; |
|
|
| ii)
the expenditure incurred during the year was for the purpose of the company's
business; |
|
|
| iii)
the business conducted, investment made and expenditure incurred during the
year were in accordance with |
|
| the
objects of the company; |
|
|
| (c)
in our opinion and to the best of our information and according to the
explanations given to us and as shown by the |
|
| books
of the company, the Balance Sheet, Revenue Account, Profit and Loss Account
and Cash Flow Statement, |
|
| together
with the notes forming part thereof, give the information required by the
Insurance Act, 1938 in the manner so |
|
| required
and respectively give a true and fair view of the state of the Company's
affairs as at 31 December 1999 and of |
|
| the
profit and the cash flow statement for the year then ended; |
|
|
| (d)
we have verified the cash and bank balances and investments by actual
inspection or by the production of certificates; |
|
|
| (e)
as required by Regulation 11 of part 1 of Third Schedule to the Insurance
Act, 1938, we certify that the company has not |
|
| paid
to any person any commission in any form outside Pakistan in respect of the
insurance business transacted by the |
|
| company
in Pakistan and that the company has not received, outside Pakistan, from any
person any commission in any |
|
| form
in respect of any business reinsured abroad; |
|
|
| (f)
pursuant to clause (a) of subsection (2) of Section 40-B of the Insurance
Act, 1938, we certify that all expenses of |
|
| management
in respect of life insurance business transacted by the company in Pakistan
have been fully debited in the |
|
| Revenue
Account as expenses; |
|
|
| (g)
no part of the assets of the Life Insurance Fund has been directly or
indirectly applied in contravention of the provisions |
|
| of
the Insurance Act relating to the application and investment of Life
Insurance Funds; |
|
|
| (h)
in our opinion no zakat was deductible at source under the Zakat and Ushr
Ordinance, 1980. |
|
|
|
Coopers & Lybrand |
|
| KARACHI:
March 20, 2000 |
|
Chartered Accountants |
|
|
|
| BALANCE
SHEET AS AT 31 DECEMBER 1999 |
|
|
|
|
1999 |
1999 |
1999 |
1998 |
|
|
|
LIFE |
OTHER |
TOTAL |
TOTAL |
|
|
Note |
Rupees |
Rupees |
Rupees |
Rupees |
|
| CAPITAL
AND LIABILITIES |
|
|
| SHARE
CAPITAL |
|
|
| Authorised |
|
| 50,000,000
ordinary shares |
