Regulatory Alerts2020-09-29
Added · Updated
Amendments to the Collateral Management Companies Regulations, 2019
The Securities and Exchange Commission of Pakistan amends the Collateral Management Companies Regulations, 2019, to redefine key terms including Collateral Management Company, Depositor of Produce, and Electronic Warehouse Receipt. The amendments expand the powers and duties of Collateral Management Companies to include implementing electronic warehouse receipt systems, levying fees, conducting inspections, and enforcing insurance requirements. New regulations establish procedures for the cancellation of warehouse accreditation, grant inspection powers to Collateral Management Companies, and introduce Goods Receiving Notes as a temporary alternative to electronic receipts. The changes also update permitted information disclosures and standardize warehouse storage agreements to enhance regulatory oversight of agricultural commodity warehousing.