2009 PLP 1607 (CLD)

(under subsection (2) of section 484 of the Companies Ordinance, 1984) TAHIR MAHMOOD, EXECUTIVE DIRECTOR (ENFORCEMENT).

This order shall dispose of the review application filed against order dated October 20, 2008 passed by the undersigned whereby a fine aggregating to Rs.120,000 (Rupees one hundred twenty thousand only) was imposed on the Chief Executive arid five other Directors of Messrs Progressive Insurance Company Limited (hereinafter referred to as "the Company") for making default, in complying with provisions of subsection (1) of section 245 of the Companies Ordinance, 1984 ("the Ordinance").

2. The review petition dated November 13, 2009 was filed by Mr. Ali Sarwar, authorized representative on behalf of the Chief Executive and Directors of the Company wherein he A requested for waiver of amount of fine due to financial constraints faced by the company. The Commission was requested to review the said order on the following grounds:-- (i) The company is concentrating to redesign and revamp its organizational structure and financial reporting system in spite of the fact that it is facing critical financial crunch and lack of human resource. (ii) The inability of the company to hire right persons to right positions due to lack of financial resources is basic cause of non-compliance and failure to file the financial statements within due time. (iii) The failure to file statutory returns is without any deliberate intention and just for the reasons and circumstances beyond the control of the company. In the review application, the Chief Executive and Directors of the Company have not come with any new issue or new arguments in favour of their plea. All of the arguments repeated in an application have been adequately addressed earlier in the said order dated October 20, 2008. Consideration of the matter, it is imperative that applicant must bring out new facts or evidence could not be produced at the time of passing of order. Further, no error or omission has been set out in said order which could have any significant impact on the Order. The hearings of the review application were fixed for December 1, 2008, February 24, 2009, March 11, 2009, March 19, 2009 and April 1, 2009 but neither any of the Directors of the Company or authorized representative appeared in any of these scheduled hearings. In view of the foregoing, the undersigned finds no reason to review the said order. Therefore, set aside the review application, the Commission's order dated October 20, 2008 is upheld. H.B.T./14/SEC Application dismissed.