Islamabad, March 17, 2026 – The Securities and Exchange Commission of Pakistan (SECP) has taken strict action against 41 state-owned enterprises (SOEs) for failing to comply with mandatory reporting requirements, including submission of annual audited accounts and annual returns.
According to an SECP press release on Tuesday, hearings for the non-compliant entities have been scheduled as part of the Commission’s efforts to strengthen corporate governance, improve transparency, and support the government’s reform agenda in the SOE sector.
The SECP found that 33 SOEs did not file their audited accounts, while 26 companies failed to submit annual returns. Additionally, seven SOEs did not hold their Annual General Meetings (AGMs). In total, 66 show cause notices have been issued to 41 entities.
Following due process, the Commission will complete proceedings and issue penalty orders after adjudication. Names of the non-compliant SOEs will be published on the SECP website, and copies of the orders will be shared with the Principal Accounting Officers and the Director General of the Central Monitoring Unit.
Separately, State Life Insurance Corporation has not submitted its audited financial statements for the year ending December 31, 2024. The SECP has directed the CEO to submit the accounts immediately, warning of regulatory action in case of non-compliance.
The review also identified significant governance gaps:
• 48 SOEs currently have no female representation on their boards, contrary to SECP regulations.
• Four SOEs are operating without appointed Chief Executive Officers.
The Commission is coordinating with ministries and board nomination committees to address these issues.
To further strengthen oversight, the SECP is implementing a comprehensive enforcement plan and establishing a dedicated wing at its head office to monitor compliance and governance practices of all SOEs.