ISLAMABAD – A shocking audit report exposed massive financial irregularities in Securities and Exchange Commission of Pakistan (SECP), revealing that top officials awarded themselves huge pay raises and allowances without government approval.
Auditor General of Pakistan (AGP) report said billions meant for national treasury were never deposited, and SECP Chairman Akif Saeed’s salary package skyrocketed to over staggering Rs40 Crores in FY2023-24, while each commissioner pocketed Rs35 Crore after backdated hikes.
On top of that, the watchdog officials distributed Rs1.1 billion as “entertainment allowance” among commissioners and staff, all without legal sanction.
The report declared SECP Policy Board’s October 2024 approval of salary hikes illegal, stressing that only the Ministry of Finance has authority to sanction such increases. In total, the irregular pay and perks have drained a whopping Rs37.7 billion.
Furthermore, SECP withheld nearly Rs14 billion in revenues, including Rs7.1 billion from licensing, insurance, securities, and corporate fees, that should have been deposited into Federal Consolidated Fund. An additional Rs6.99 billion in surplus income was also kept back in violation of the Public Finance Management Act 2019.
The revelations paint picture of regulator accused of breaking the very financial laws it is supposed to uphold. AGP called on the Ministry of Finance to either regularize the pay hikes or roll them back, and to recover billions owed to the treasury.
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