ISLAMABAD, April 15: Securities and Exchange Commission of Pakistan has allowed listed companies, subject to its prior approval and fulfilment of certain conditions, to place their quarterly accounts on their websites, says an announcement.

Under section 245 of the Companies Ordinance, 1984, every listed company is required to transmit to its members its accounts within one month of the close of the first, second and third quarter.

The SECP had received proposals from listed companies suggesting that as the dispatch of periodic accounts to all the shareholders by mail was a costly and cumbersome exercise, they might be allowed to place the same on their websites. This would also ensure timely availability of information to the shareholders and investors.

The SECP has now decided that placement of quarterly accounts of listed companies would be treated as compliance with the provisions of Section 245, subject to their meeting certain conditions such as:

1. The companies would seek the consent of their shareholders in a general meeting and consult the respective stock exchange(s) before placing their accounts on their website.

2. They would seek prior permission of the SECP by an application which will indicate website address.

3. The company, after obtaining the requisite permission, would inform its shareholders about the website through an advertisement in the press.

4. The respective Stock Exchange(s) and the SECP shall be informed in writing by post.

5. The companies shall also transmit their periodic accounts electronically to the stock exchange(s) concerned so as to place the same on their website.

6. The requirement of filing the prescribed number of copies of periodic accounts with the SECP and the stock exchange(s) by post shall be fulfilled, in addition to transmission of the same through the website of the SECP and the Stock Exchange(s).

7. The listed companies shall supply the copies of quarterly accounts to shareholders on demand at their registered addresses free of cost within one week of such demand.

8. A group of companies under the same management may maintain a single website instead of having an independent website for each company. Such a website would, however, display the link to each company at a prominent place on its website.

9. The enforcement department of the SECP would maintain a list of companies who have been granted such permission and this list would be placed on the SECP's website.

10. The listed companies shall also intimate to the SECP, through e-mail, that quarterly accounts have been placed on their websites by the due date.