ISLAMABAD: With the retirement of Mr Zafar Abdullah today, two slots of commissioners will fall vacant in the Securities and Exchange Commission of Pakistan (SECP) and active lobbying has already started by the aspirants to grab them.

Zafar Abdullah, head of Securities Market Division, was re-appointed as commissioner on August 17, 2012 after completing his first five-year term.

After his retirement, the corporate sector regulator will be left with three commissioners, out of the sanctioned five posts, and it is expected that one of the new commissioners to be appointed by the government is likely from the strong lobby of stock brokers.

Two vacant slots to be filled by incoming govt

Out of the five commissioners in the SECP, only two can be internal appointees - that is only two can be employees of the SECP promoted to the post.

Since two commissioners have already been appointed internally, the remaining slots must be filled by outsiders.

“Though nobody says this officially, but the stock brokers always want to have a strong presence in the commission. At the same time, the government wants to maintain its power,” said an official of the SECP.

“There is always a tug of war, not only between the various lobbies in the stock exchange, but the brokers also vie to get a slot. Just like the former chairman SECP Zafar Hijazi was handpicked by the then finance minister Ishaq Dar – the upcoming PTI government too would like to have a trustworthy commissioner,” the official added,

However, the appointment of commissioners can take around two months after the formation of the cabinet, as the prescribed procedure is lengthy.

Published in Dawn, August 16th, 2018