A comprehensive presentation given by Akif Saeed Executive Director of SECP and for compliance of Revised Code of Corporate Governance representative of Lahore Stock Exchange Salman Bokhari also deliver a presentation. Key speaker Akif Saeed said that over all structure of the company should be interlink to the management concerning compliance and stated that it is state of mind set regarding composition of the Board.
He also elaborate about key points ie limit for the Board of Directors, Responsibility, Power and function of Directors, Appointment of Chief Executive, recording the minutes of the Board Meeting, Directors Training Program, Directors remuneration and non Executive Directors of the Companies.
He also talked about establishment of Company Law Commission and mandatory development website of Public Limited companies. He said in today's presentation based on understanding of code of Corporate Governance and its Scope. Latter on he briefed about effective date for implementation of Revised Code of Corporate Governance is after the next election of the board.
He elaborated all the points step by step and said that Board of Directors of each listed company shall have at least one and preferably one third of the total members of the Board as independent Directors, Executive Director ie Paid Executives of the Company from among the Senior management, shall not be more than one third of the Elected Directors including the Chief Executive, A Director shall not be serving on the Board of more than Seven (7) listed companies, this limit shall not include the directorships in the listed Subsidiaries of a listed holding company.
Any casual vacancy on the Board of Directors of a listed company shall be filled up by the directors at the earliest but not later than 90 days thereof. About holding the Board Meetings all written notice, including the agenda of meetings shall be circulated at least seven days prior to the meetings but in case of emergency board meetings the notice period may be reduce or waved.
For the Training purpose of the Directors of the listed companies it was stated that all the Directors of the companies to have Certification under any Director's training program from institutions meeting the Criteria specified by the SECP offered by local or foreign institution, minimum one director to obtain certification each year, Appointment and removal of CFO, Company Secretary and head of Internal Audit shall be made with the approval of the Board of Directors.