ISLAMABAD, Dec 14: The Securities and Exchange Commission of Pakistan (SECP) on Thursday said that it engaged the US firm Diligence for conducting forensic probe into stock market crash on the recommendation of the task force during the tenure of former SECP chairman Dr Tariq Hassan.

In a press release issued here, the commission stated that services of the US firm were hired after thorough research for selecting possible forensic investigators locally. Since forensic investigation is a specialised type of activity and the firm providing these services were required to have technical, investigative and intelligence capability.

"In Pakistan, there are no specialised entities to provide these services. Nevertheless, some big accounting and auditing firms who have the ability to conduct forensic investigations also could not be engaged because of conflict of interest with majority of the top badla providing brokers”.

Accordingly, the commission in January 2006 in exercise of its powers conferred under the Securities and Exchange Commission of Pakistan Act, 1997 decided to appoint Diligence for undertaking forensic investigations, the press release added.

Diligence Inc. was a leading provider of investigative, business intelligence, and due-diligence services to leading multinational companies, financial institutions, international organisations and law firms around the globe.