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Securities and Exchange Ordinance (XVII of 1969)------- --------S. 15-E(2)-------Securities and Exchange Commission of Pakistan Act (XLII of 1997), S.33-------Inside trading-------Appellant was employed at broker company, and responsible for execution of orders of the foreign clients of the company-------Trading data of "Karachi Automated Trading System (KATS)", had shown that brother of the appellant traded extensively in the shares of various companies-------Information related to the trading and order placement of the foreign clients was sought from the company-------Appellant, being insider, by virtue of his position as "Karachi Automated Trading System" operator of the broker company, had passed on/disclosed the inside information relating to trading orders received from foreign clients to his brother, based on which brother of the appellant indulged in insider trading-------Hearing in the matter was held, and on the date fixed, Chief Executive Officer and Chief Operating Officer of the company appeared but appellant appeared and left without attending the hearing-------Appellant was given a final opportunity to attend the hearing but instead, his brother appeared and made verbal submissions-------Director/Head of Department (MSRD) of the Commission, dissatisfied with the submissions made by the brother of the appellant, held that appellant was an insider, by virtue of his position, he used to receive material, non-public information relating to trading orders of foreign clients and it was established that appellant provided information relating to trading orders of foreign clients to his brother-------Fine of Rs.100,000 was imposed on the appellant for passing on/disclosing inside information relating to trading orders of foreign clients to his brother, who was not required to possess such inside information-------Appellant, admitted his default, but stated that he was unable to pay the fine imposed on him-------Appellant, having admitted his default, there was no reason to interfere with the impugned order. THIS ORDER PASSED BY: TAHIR MAHMOOD, COMMISSION (CLD) AND FIDA HUSSAIN SAMOO, COMMISSIONER (INSURANCE):-------------- 1. This order is in Appeal No.…

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