ISLAMABAD, Sept 11: Securities and Exchange Commission of Pakistan (SECP) has allowed another insurance company — M/s Prime Insurance Company — to resume its operations following fulfilment by it of the condition of minimum paid-up capital of Rs50 million, it was official stated here on Thursday.
Section 28 of the Insurance Ordinance, it will be recalled, directed the non-life insurance companies operating in Pakistan to get their paid-up capital raised to Rs50 million by December 31, 2002.
The companies which failed to comply with this requirement were directed to cease entering into new insurance contracts under section 63 of the ordinance.
As M/s Prime Insurance Company has since met with the condition, the restriction on it against entering into new business has been lifted by the regulator with immediate effect. It thus became the first company to raise its paid-up capital as required under section 28.
