REGISTERED NO. M-302
L-7646

S.R.O. 231(I)/2000.-- In exercise of the powers conferred by sections 32 and 33 of the Securities and Exchange Ordinance, 1969 (XVII of 1969), the Federal Government is pleased to make the following amendments in the Asset Management Companies Rules, 1995, namely:--

In the aforesaid Rules.--

(1) in rule 5, after sub-rule (1), the following new rule shall be inserted, namely:--

"(IA) Application processing fee of fifty thousand rupees in the form of bank draft payable to the Commission shall accompany the application,";

(2) in rule 6, after sub-rule (2), the following new sub-rule shall be added, namely:--

"(3) an asset management company may apply to the Commission for the cancellation of its registration as an asset management company it if has, with the prior approval of the Commission, transferred the management of its scheme to another asset management company, or its scheme has been de-authorized under rule 11, or the company no more intends to function as an asset management company,";

(3) in rule 10, in sub-rule (2), in clause (e),--

(i) in word "and", at the end, shall be omitted; and

(ii) for the semi-colon and word ",and", at the end, a colon shall be substituted and thereafter the following proviso shall be inserted, namely:--

"Provided that an undertaking may not be given in case a scheme has been established prior to the commencement of these Rules; and";

(4) in rule 13, after sub-rule (4), the following new sub-rule shall be added, namely:--

"(5) In case a scheme has been in operation prior to the commencement of these Rules and has been subsequently authorized under these Rules, the investments made prior to the grant of authorization shall be exempt from the restrictions mentioned in sub-rules (3) and (4) for such a period as may be specified by the Commission,"; and

(5) in rule 15, in sub-rule (3), for the full stop, at the end, a colon shall be substituted and thereafter the following proviso shall be added, namely:--

"Provided that this condition shall not apply to a scheme which has been in operation prior to the commencement of these Rules and has been subsequently authorized under these Rules. However, the management company shall furnish to the Commission the details of such investments within thirty days of authorization of the scheme and also report the changes within fifteen days of the change. furthermore, such information shall also be disclosed in the annual report and the half-yearly accounts of the scheme."

[No. F. 1 (10) CF/AMC/99.]
HIZBULLAH SIDDIQUE,
Deputy Chief