Voice of the People
Justice delayed is justice denied
NAB, Admiral Fasih Bukhari has suggested ECP to give up useless marathon exercise of scrutiny of all candidates for it is impossible for the commission to complete the job. He further said “if action is taken against the candidates they would be barred from contesting the coming election giving the impression that their political parties are being victimized.” The suggestions, being discouraging, cannot be praised. No law of our country directs to take care of the consequences of any right and legal decision. The scrutiny of all the candidates and to judge their ability under Article 62 and 63 of the Constitution of Pakistan is not a useless marathon exercise. In the last five years the Apex court had to waist its precious time to make Parliament free of dishonest parliamentarians. Had the then Election Commission taken action against those candidates whose degrees were fake, who were tax evaders, bank loans and utility dues defaulters, the time of the Apex Court and the image of our Parliament could have saved. As far as the idea “our political party is being victimized is concerned” will be propagated at the very time whenever the Election Commission of Pakistan and The Apex Court will try to judge the candidates according to the Constitution. Election Commission cannot save itself from the allegation of victimizing a political party, regardless of the fact that it scrutinizes the candidate before and after election. The people who have deceived this nation does not deserve to be in the Parliament again. So ECP should not let them take part in the elections come what may. —Lahore zens. I recall the spirit of genuine camaraderie that existed between the people and the armed forces until the mid sixties. Unfortunately since early seventies, camaraderie of the sixties began to be replaced by a feeling of alienation. This is not the place to go into the whys and wherefores of this transformation in the general public’s perception. However, suffice it to say that measures like creating exclusive areas for the armed forces where common people are denied access, albeit in the name of security, alienate people from the armed forces.
This is particularly so when the overall security situation of the country in far from ideal. People have now become aware that it is taxpayers’ money that is being spent to provide security to only a special category of persons at the cost of leaving the majority “exposed “to the dangers. The realization is becoming strong that this is unjust situation which should not be allowed to continue. It is time that those who wield the decision-making apparatus do away with the blatantly discriminating security dispensations for the selected few. Before it is too late let us institute inclusive security arrangements and do away with the exclusive arrangements which are in vogue at present. —Islamabad unfair action by the company, the regulators should exercise the discretion given to them by Pakistan’s laws and deny the de-listing.
However a minority shareholder I would like to highlight that delisting of such high weightage company from the KSE will open floodgates for all other Multinational Corporations’subsidiaries to follow, and minority shareholders will be thrown out in the streets with the message that they have no voice in Pakistan. The MNC is privatise its Pakistani subsidiary at a cheap valuation because it feels it can. they saw value in the Pakistani subsidiary at current valuations given its long term growth prospects.
They are taking advantage of the de-listing rules in Pakistan because they are more lenient than elsewhere. Minority interests are clearly disadvantaged as their objections carry no weight. This is different from other markets where more stringent rules apply. For example, in India the threshold for approval is 90% of all votes.
Furthermore, the privatisation must be approved by two thirds of the minority shareholders at a price agreed through a process of reverse book building. Undoubtedly a matter of concern for the protection of minority interests, the credibility and development of the Stock Exchange, and the development of the capital market in Pakistan if controlling shareholders, particularly multinationals, can delist companies so easily. We would urge the KSE to resist such initiatives and would encourage the Exchange to toughen its delisting procedures and bring them more in line with international norms.
If this attempt of MNC to delist in Pakistan is successfully blocked, it will send a powerful message to the investor community at large about the protection of minority shareholder rights and the presence of an efficient and fair regulatory bodies in the country. I request the concerned authorities towards this neglected issue that will affect the minority shareholders today but will damage the whole Pakistan’s national finance in future. —Islamabad