LAHORE, Jan 13: Justice Umar Ata Bandial of Lahore High Court on Tuesday allowed time to brokers till Jan 21 to sort out their differences with the Securities and Exchange Commission of Pakistan.

Justice Bandial had been hearing several petitions moved by Y S Securities and Services, HSZ Securities and others against the SECP’s order of Dec 11.

Under the order, the SECP had suspended the powers of regulatory bodies of stock exchanges of the country for 90 days.

The petitioners’ counsel Shahzeb Masood said all stock exchanges of the country, with prior approval of the SECP, placed a floor on the closing prices of the securities on Aug 27 and 28. On Dec 11, the SECP exercised its powers and directed all exchanges to remove the floor, adding it also ordered the board of directors of all stock exchanges not to take any action that would interfere in the functioning of the exchanges and the trading on securities, he said. The lawyer pleads without a market-supporting fund, the floor’s opening would prove disastrous for traders and investors, and it was likely that the market would not be able to sustain the downward pressure.

Masood said that during the floor closing, the government and the SECP ensured the investors of a ‘bailout package’ to protect them from a complete market crash, but it has not been provided so far.

Counsel said the SECP, ignoring all previous assurances and commitments, directed to open the markets within two working days without giving due consideration to relevant facts.