An Ordinance to provide for matters relating to registration of modaraba companies and the floatation, management and regulation of modarabas.

[Gazette of Pakistan, Extraordinary, Part I, 26th June 1980]

No. F. 17(1)/80-Pub.- The following Ordinance made by the President on the 26th June, 1980 is hereby published for general information :-

Whereas it is expedient to provide for matters relating to registration of modaraba companies and the floatation, management and regulation of modarabas and for matters connected there with or ancillary thereto;

Whereas the President is satisfied that circumstances exist which render it necessary to take immediate action;

Now, therefore, in pursuance of the Proclamation of the fifth day of July 1977, read with the Laws (Continuance in Force) Order, 1977, (C.M L.A. Order No. 1 of 1977), and in exercise of all powers enabling him in that behalf, the President is pleased to make and promulgate the following Ordinance :-

1. Short title, extent and commencement.- (1) This Ordinance shall be called the Modaraba Companies and Modaraba (Floatation and Control) Ordinance, 1980.

(2) It extends to the whole of Pakistan.

(3) It shall come into force at once.

2. Definitions.- (1) In this Ordinance, unless there is anything repugnant in the subject or context,-

(a) "Commission" means the Commission as defined in the Securities and Exchange Commission of Pakistan Act, 1997 (XLII of 1997);

(ab) "modaraba" means a business in which a person participates with his money and another with his efforts or skill or both his efforts and skill shall include Unit Trust and Mutual Funds by whatever name called;

(b) "Modaraba Certificate" means a certificate of definite denomination issued to the subscriber of the modaraba acknowledging receipt of money subscribed by. him;

(c) "modaraba company" means a company engaged in the business of floating and
managing modaraba;

(d) "Modaraba Fund" means a fund raised through floatation of modaraba;

(e) "prescribed" means prescribed by rules;

(f) "Registrar" means the Registrar appointed under section 3;

(g) "rules" means rules made under this Ordinance; and

(h) "Tribunal" means a Tribunal constituted under section 24.

(2) All terms and expressions used but not defined in this Ordinance shall have the same meaning as in Companies Act, 1913 (VII of 1913).

3. Appointment of Registrar.- The Federal Government, shall by notification in the official Gazette, appoint a person to be the Registrar for the purpose of this Ordinance.