11/08/2025
ENCYCLOPEDIA
OF CORPORATE JUDGMENTS OF SUPERIOR COURTS & TRIBUNALS OF PAKISTAN
The Encyclopedia Contains:
Sr. Pages No.
1. COMPANIES––CASE-LAW 1 – 456
• Supreme Court—Judgments 1 – 66
• High Courts—Judgments 67 – 335
• Tribunals—Judgments 336 – 456
Note: The Case-law of 2024 are available on the following pages: 8, 10, 15, 39, 59, 66, 85, 93, 95, 144, 152, 163, 169, 180, 184, 185, 189, 190, 191, 200, 203, 253, 280, 313, 315, 316, 319, 321, 324, 329, 347, 351, 379, 382, 383, 402, 408, 435, 440 & 453
2. BANKING––CASE-LAW 457 – 900
• Supreme Court—Judgments 457 – 504
• High Courts—Judgments 505 – 867
• Tribunals—Judgments 868 – 900
Note: The Case-law of 2024 are available on the following pages: 470, 480, 504, 528, 559, 582, 591, 592, 598, 616, 617, 618, 625, 641, 659, 661, 668, 674, 687, 704, 743, 806, 821, 826 & 836
3. INSURANCE––CASE-LAW 901 – 1160
• Supreme Court—Judgments 901 – 931
• High Courts—Judgments 931 – 1083
• Tribunals—Judgments 1084 – 1160
Note: The Case-law of 2024 are available on the following pages: 911, 920, 987, 996, 1000, 1061, 1092 & 1099
4. COPYRIGHTS––CASE-LAW 1161 – 1183
5. INTELLECTUAL PROPERTY––CASE-LAW
1184 – 1217
6. TRADE MARKS––CASE-LAW
1218 – 1288
Note: The Case-law of 2024 are available on the following pages: 1176, 1178, 1179, 1199, 1202, 1204, 1214, 1225 & 1259
_________
C o n t e n t s
COMPANIES––CASE-LAW
(Supreme Court—Judgments)
Sr. Page No.
A
1. Acquisition of assets and funds beyond known sources of income 7
2. Amount transferred by a company to the WPPF 8
3. Anti-competitive agreement 8
4. Appeal filed against short orders of the High Court 9
5. Applicability of the Income Tax Ordinance, 2001 10
6. Applications filed under the Companies Act, 2017—Limitation 10
7. Appointment of Chief Executive Officer 11
8. Authority and discretion of customs department to fix the "Import Trade Price" 11
B
9. Bail—refusal of 12
10. Banking Court—jurisdiction of 12
11. Banking Court—territorial jurisdiction 13
12. Banking Mohtasib—proceedings against 13
13. Banking scam—Bail—grant of 14
C
14. Capital Value Tax—payment of 15
15. Carrying on business not authorized by memorandum—carrying on unlawful activities 16
16. Charitable trust—Zakat—exemption from 16
17. Circular No. 14 of 2011 dated 6th October, 2011—Income tax—exemption from 17
18. Claim relatable to a contract for insurance 18
19. Company Court/Judge—jurisdiction of 18
20. Company Judge after the winding up of a company 20
21. Company securing input adjustment of sales tax on purchases made from its alleged subsidiary/sister concern 20
22. Compulsory winding up of a company by Court 20
23. Constitution of Pakistan (1973), Art.185(3) 21
24. Constitution of Pakistan, Art. 15 21
25. Constitution of Pakistan, Arts. 199(1)(c) & 184(3) 21
26. Constitutional petition 22
27. Contract of guarantee—Bank/insurance guarantee 25
28. Co-operative Development Corporation converted into a Banking Society 25
D
29. Dealing in foreign exchange without permission of concerned authorities 26
30. Declaration of income under the normal or presumptive tax regime 27
31. Deduction of expenses spent on the management 27
32. Deductions not allowed in computing income 27
33. Default in payment of debt 28
34. Defrauding and cheating the public at large 28
35. Dispute regarding valuation of shares—Fiduciary duties of directors 29
36. Duty of utmost good faith on part of insured 30
E
37. Employees of a State-owned company outsourced to a contractor—Regularization in service 31
38. Evaluation and due diligence by the Board of Directors 32
39. Excess amount of excise duty retained by an Insurance Company 32
40. Ex*****on proceedings instituted 32
41. Exemption of corporation from insolvency proceedings 33
F
42. Fake/benami bank accounts connected with various individuals and entities used for money laundering 33
43. Fertilizer manufacturing company and marketing company 35
44. Finance/loan agreement—Mark-up accrued 35
45. Forfeiture of earnest money—Legality 36
46. Forum competent to try such offence 37
47. Fraudulent transfer of shares 37
48. Funds provided to non-profit body by the Provincial Government 37
G
49. Goods subject matter of the contract between the parties 38
50. Group of Companies—Implied contractual obligations 39
I
51. Immovable property mortgaged with bank 39
52. Income from transactions with non-resident 39
53. Income on account of supplies made to a company 41
54. Incorrect information to Insurance Company 41
55. Indemnity clause—Interpretation and construction 42
56. Interim injunction grant of 43
57. Investigation of affairs of company on application by members or report by registrar 43
L
58. Labour Court—jurisdiction of 44
59. Legal heirs of insured person—Payment of liquidated damages on late settlement of claims 44
60. Legality and Constitutionality 44
61. Letter of credit—Bills of Lading 45
62. Lien/right to set off—Determination 47
63. Loan agreement between bank and borrower 47
M
64. Misuse/misappropriation of Modarabas by companies 47
65. Mortgage by deposit of title deeds 48
N
66. Notification S.R.O. No.519(I)/1992, dated 25-5-1992 49
O
67. Objects of a company—interpretation of 49
68. Obligations of Financial Institutions/Person standing as guarantor/surety for loan 50
69. Output tax of Electricity Distribution Supply Companies 50
P
70. Payment for goods and services 51
71. Payment of certain percent of profits of a company to the Workers' Participation Fund 52
72. Petition for winding up of company 52
73. Policy—notification or an executive order 53
74. Power of Banking Court to adopt any procedure for sale of immoveable property 53
75. Powers of Registrar—Joint Stock companies/Security Exchange Commission to call meetings of Board of Directors of the Company 53
76. Pre-requisites—Banking Court 54
77. Property mortgaged with Bank 55
78. Protection against double punishment 55
79. Protection against double punishment 55
80. Public sector companies—Recruitment and appointment 56
Q
81. Qualification for appointment 56
R
82. Recovery of finances—Establishment of Banking Court 57
83. Recovery of Loans—Advances—Credits and Finances 57
84. Recovery suit against company before the Banking Court 58
85. Refund—claim for 59
86. Removal and substitution of Companies with another Modarabas management company 59
87. Retirement of Directors of the company 60
88. Retrospective effect 61
S
89. Sale of immoveable property in ex*****on of a decree—procedure for 61
90. Sale of property by Bank without intervention of the Court—Procedure 61
91. State Bank of Pakistan and Securities and Exchange Commission of Pakistan—liability of 62
92. Statute dealing with companies 63
93. Subsidiary/sister concern relationship 63
94. Super tax—imposition of 63
T
95. Territorial jurisdiction of Islamabad High Court 64
U
96. Unreasonable restraint on trade—Rule of reason 64
W
97. Winding up of company 65
98. Workers Profit Participation Fund (WPPF) 66
99. Writ of quo warranto 66
___________________
COMPANIES––CASE-LAW
(High Courts—Judgments)
Sr. Page No.
A
1. Abrogation of appointment 84
2. Accounting on cash/accrual basis 84
3. Accounting system—Interest—maintaining of 84
4. Acquisition of shareholding of more than 10% in an Insurance Company 85
5. Adjudication by Regulatory Authorities 85
6. Adjudication of application for leave to defend 86
7. Adjudication of application for winding-up a company 86
8. Adjudication of Banking disputes 86
9. Adjudication of complaints by Banking Mohtasib 87
10. Adjustments from unregistered persons 88
11. Affiliation of Associations 88
12. Affixation of stamp on certified copies 89
13. Allegation of disclosing trade secret and confidential information 89
14. Allegation of fake invoices—Offence falling under crime against society 89
15. Allegation of misconduct against employee 90
16. Allotment of flat as employee of company—cancellation of 91
17. Allowance of perquisites paid by certain corporations 92
18. Alternate and efficacious remedy—Factual controversy 92
19. Alternate and efficacious remedy—Right of appeal 93
20. Alternate remedy—availing of 94
21. Alternate remedy—non-availing of 94
22. Amalgamation of a Banking Company with any other company 95
23. Amalgamation of companies—Scheme of arrangement 95
24. Amalgamation of wholly owned subsidiaries in holding company 95
25. Amounts subsequently recovered in respect of deductions 96
26. Annual general meeting—Invalid proceedings 96
27. Annual General Meeting—Restraining order 97
28. Appeal against such order filed before Division Bench of the High Court under S. 152(4) of the Ordinance—Limitation 97
29. Appeal to High Court in certain cases 97
30. Applicant Companies were providing cellular phone services and claimed to be "industrial undertakings" 98
31. Application for appointment as Director of Insurance Company 98
32. Application for enforcement of Insurance policy claim 99
33. Application for leave to appear and defend the suit 99
34. Application for recovery of accidental death benefits 99
35. Application for recovery of Insurance amount 100
36. Application for winding-up of company 100
37. Application on behalf of deceased husband for payment of group claim 101
38. Application seeking restoration of petition 101
39. Application to Court 102
40. Application to High Court 102
41. Application/petition under S. 152 of the Companies Ordinance, 1984 for rectification of register of members 102
42. Appointment of Managing Director/Chief Executive Officer of a Corporation controlled by Government 103
43. Appreciation of evidence 103
44. Appreciation of evidence—Jurisdiction of Banking Courts 104
45. Approval of merger 105
46. Approval of merger—Duty of Court 105
47. Approval of mergers from Competition Commission—exemption from 106
48. Assessment order—amendment of 106
49. Association incorporated as a company 107
50. Attachment of franchise fee before judgment—Permissibility 107
51. Audi alteram partem—doctrine of 108
52. Audit of companies—Duties of auditor 108
53. Authority of a local government to levy taxes 109
54. Authorization through a Board resolution 109
B
55. Bailee—negligence of 110
56. Bank guarantee—encashment of 110
57. Bank or Insurance guarantee 111
58. Banking Companies 111
59. Banking Court—Procedure 112
60. Banking licence—cancellation of 112
61. Banking Mohtasib (Ombudsman)—Non-judicial powers 113
62. Banking Mohtasib (Ombudsman)—powers of 113
63. Banking Mohtasib—jurisdiction of 114
64. Binding nature of State Bank of Pakistan Circulars 115
65. Board of Directors of company—Reconstitution of 116
66. Board resolution—absence of 116
67. Books of accounts of company—Inspection 116
68. Books to be open to inspection—Public office and Public officer 117
69. BPD Circular No. 29—applicability of 117
70. Burglary policy—claim under 118
71. Business and objects of a company 118
C
72. Calculation of Liquidated Damages payable by Insurance Company on late settlement of claims 119
73. Cancellation of incorporation certificate—Registration of Trade Organization 119
74. Capital gain tax on disposal of securities 120
75. Capitalization of the reserves/issuance of bonus shares 120
76. Case of further inquiry—Subsequent developments 121
77. Cases in which Companies may be wound-up by Court 122
78. Chairman and directors of a company 122
79. Change of Directors of a company 122
80. Charging of tax—Principle 123
81. Charitable institution affairs of—Determination 124
82. Circular No. 11 dated 1-7-2010—implementation of 124
83. Civil Court—jurisdiction of 125
84. Clarification introduced in scheme 125
85. Clause in Insurance Policy specified territory for institution of suit 126
86. Collection of premium 126
87. Collection of tax in the case of private Companies and associations of persons 127
88. Competence of liquidator to apply to court for implementation of his findings 127
89. Composite Banking Income 128
90. Compromise with creditors and members 129
91. Compromises—arrangements and reconstruction of companies 130
92. Compulsory group Insurance compensation 131
93. Compulsory winding up of a company 131
94. Computation of period of limitation for filing of claim 131
95. Computation of period of limitation 132
96. Conditions of registration of Insurance Company 133
97. Constitution of Pakistan, Art. 170(2)(f) 133
98. Constitution of Pakistan, Arts. 18, 24 & 25 134
99. Constitutional jurisdiction of High Court 134
100. Constitutional petition 138
101. Constitutional petition—Alternate remedy 139
102. Constitutional petition—Audit 140
103. Constitutional petition—Customer 141
104. Constitutional petition—Maintainability 141
105. Constitutional petition—Mal-administration 145
106. Constitutional petition—Sales tax on services 145
107. Constitutional provisions relating the Judicature 145
108. Constitutionality of such power 146
109. Consumer Court—jurisdiction of 146
110. Contempt proceedings—initiation of 148
111. Contract employee—Regularization of service 148
112. Contract of guarantee—Liability of guarantor/surety 149
113. Contracts/Agreements between cellular Companies and their customers 149
114. Corporate democracy—principle of 150
115. Correction in Register of Members—Statutory notice 150
116. Corruption and corrupt practices 151
117. Cost of funds—Determination 151
118. Cost of funds—non-awarding of 152
119. Council of Common Interest—powers of 152
120. Court of original jurisdiction 153
121. Court—jurisdiction of 153
122. Credit Information Bureau (CIB) list 154
123. Credit Information Bureau—Placing name in the list 156
124. Criminal proceedings initiated under the Companies Ordinance, 1984 156
125. Customer and Finance—Definition 156
D
126. Damage by fire to imported goods before reaching bonded warehouse 157
127. Damages—Recovery—Onus to prove 157
128. Death of employee during service—Benefits that formed part of "Tarka" 158
129. Deduction of tax at source 158
130. Deduction on account of debris 159
131. Deeper appreciation of evidence 159
132. Default in holding statutory meeting/two consecutive annual general meetings 159
133. Default in obligations of customers of microfinance institutions 160
134. Defaulter list—placing name in 160
135. Deferred cost—Concept and scope 160
136. Delisting of Insurance Company by Bank 161
137. Delisting of such Co-insurer Company by Bank 161
138. Depletion allowance—calculation of 162
139. Deputy Commissioner or Commissioner Inland Revenue—Powers of 162
140. Determination of electricity tariff 163
141. Determination of pecuniary jurisdiction 163
142. Directive by Securities and Exchange Commission of Pakistan 164
143. Discretionary powers of Court 164
144. Discretion—exercise of 165
145. Dishonored cheque 165
146. Dismissal of suit for non-prosecution 166
147. Dispute—determination of 166
148. Distinction between the two statutes 166
149. Documents--production of 167
150. Double taxation—avoidance of 167
151. Duty of Court 168
E
152. Elected director—removal of 168
153. Election dispute—Concealing of facts 168
154. Employee of Pakistan Re-insurance Company Limited—Dismissal from service 169
155. Enforcement of contractual obligation—Arbitration clause 169
156. Enforcement of money charged on immovable property 170
157. Eventualities—Onus to prove 170
158. Ex parte decree—setting aside of 170
159. Excise duty—refund of 171
160. Ex*****on of decree of Banking Court 172
161. Ex*****on of decree 172
162. Ex*****on proceedings 174
163. Executive Officer of the company 174
164. Exemption from levy of sales tax—Packaging material 175
165. Exemption from payment of tax and exemption from applicability of tax 175
166. Exemption from tax 176
167. Exemption or lower rate certificate—Applicability 176
168. Exemptions from total income—Industrial undertaking—definition of 177
169. Exercise of powers by Banking Mohtasib 177
170. Exercise of powers of Liquidator subject to sanction 178
171. Exercise of powers under enactment 178
172. Ex-parte judgment and decree—setting aside of 179
173. Expiry of licence of Sales Manager of Insurance Company 179
174. Extension of the SMEDA's CEO 180
F
175. Factual controversy—Ombudsman—decision of 181
176. Fair reserve price—determination of 181
177. Fatal accident—Suit for recovery of damages 182
178. Federal Ombudsman—decision of 182
179. Fidelity and secrecy—Right as to equality of citizens 183
180. Financial Institution—definition of 183
181. Financial Institution—meaning of 183
182. Financial institutions and other companies 184
183. Financial institutions and other Companies Bill boards and sign boards 185
184. Foreign company—Professional tax 185
185. Fraudulent transfer eradication of 185
186. Front man—status of 186
187. Functional test of employer company and institution 186
188. Functions—Powers and Terms and Conditions of Service 187
G
189. Grievance—non-redressal of 187
190. Group insurance—payment of 187
191. Group insurance—Tarka of deceased 188
192. Group relief—benefit of 188
193. Guaranteeing resolution of trade 189
194. Guaranteeing resolution of trade/commercial/corporate 190
H
195. High Court acting under special jurisdiction 191
196. House Finance—Default by customer 191
I
197. Impleadment of party during pendency of suit 191
198. Implementation of provisions of law 192
199. Implementing order of Supreme Court—Review of order 193
200. Imposition of fine 193
201. Inability to pay debts—Determination 193
202. Income from mark-up declared in return 194
203. Income from transactions with non-resident 194
204. Inconsistency between Federal and Provincial law 195
205. Incurred But Not Reported claims 195
206. Independence and autonomy of contracts of guarantee 196
207. Independent Director—Appointment 196
208. Individual grievance—Scope 198
209. Industrial undertaking—definition of 198
210. Inquiry---investigation and other proceedings in respect of regulated persons 198
211. Insurance Bond/Guarantee of Insurance Company 200
212. Insurance business and normal business—Taxability 201
213. Insurance business—Provision or a reserve as disclosed by the assessee 201
214. Insurance company—Petition for winding up 201
215. Intangible assets—Amalgamation of Banking Companies 202
216. Interim injunction—refusal of 203
217. Interim/interlocutory order 203
218. Interpretation of Section 19 of the Financial Institutions (Recovery of Finances) Ordinance, 2001 204
219. Interpretation of Section 82-D of the Banking Companies Ordinance, 1962 205
220. Intra-court appeal—Equalization surcharge 205
221. Intricate questions—Determination 206
222. Investigation into affairs of company 207
223. Investigation of company's affairs in other cases 208
224. Issues—non-framing of 209
J
225. Judicial restraint—principle of 210
226. Jurisdiction of Banking Court in Pakistan 210
227. Jurisdiction of Banking Mohtasib 211
228. Jurisdiction of Civil Court 212
229. Jurisdiction of Commissioner for Workmen's compensation 212
230. Jurisdiction of Securities and Exchange Commission of Pakistan 213
231. Jurisdiction of the Banking Mohtasib 213
232. Jurisdiction of the Court 214
233. Jurisdiction under Payment Systems and Electronic Fund Transfers Act, 2007 214
234. Jurisdiction—powers and procedure of Courts under Companies Act, 2017 215
L
235. Lease Key Money—Double taxation 215
236. Leave to defend—refusal of 216
237. Legislative intent behind such mediation 216
238. Legislative intent in S. 166 of Companies Act, 2017 217
239. Legislative intent of the Companies Act, 2017 218
240. Levy of advance income tax and customs duty 218
241. Liability for fraudulent conduct of business 218
242. Licensed Marketing Companies of Liquefied Petroleum Gas 219
243. Limitation for filing such application—Condonation of delay 220
244. Limitation period—calculation of 220
245. Liquidated damages 220
246. Liquidation expense and payment to unsecured creditors 222
247. Liquidation of assets of company 222
248. Liquidation proceedings—Revival of proceedings 223
249. Loan advanced by Foreign Branch of Bank (plaintiff) 223
250. Loan to employees—Factual controversy 223
251. Local Government Taxes—Fees—Rates and Tolls 224
M
252. Maintainability of constitutional petition against such company 224
253. Major penalty—Termination from service 225
254. Mal-administration—Fraud committed by bank manager 225
255. Managing Director—appointment of 225
256. Mandatory nature of rules—Determination 226
257. Mandatory retirement—Discrimination 226
258. Mark-up—recovery of 227
259. Marriage of companies—Corporate divorce 228
260. Marriage of companies—De-merger 228
261. Mediation of disputes/complaints 228
262. Meetings and Procedure—Calling of extraordinary general meeting 229
263. Meetings and proceedings of company 229
264. Merger and demergers 229
265. Merger and demergers—Sanction of the Court 229
266. Merger of companies—Approval of 230
267. Mergers—demergers and acquisitions by or of companies 230
268. Microfinance Institution and Microfinance Bank 231
269. Microfinance Institution not to be deemed to be a Banking Company 231
270. Microfinance institutions—Recovery of finance 231
271. Minimum tax on income of certain Companies and registered firms 232
272. Minimum tax on income—Subsidy on tariff 232
273. Mohtasib (Ombudsman)—powers of 233
274. Mutual Insurance Company—Solvency of non-life insurer 233
N
275. Negotiable instrument—Presumption of truth 234
276. Nominee and elected directors—Distinction 235
277. Non-availability of compromise agreement on record 235
278. Non-functional companies—Loss of substratum 236
279. Non-judicial powers 237
280. Non-Profit Organization and Non-Governmental Organization 237
281. Non-statutory rules of service 237
282. Notification No. 6/34/2015-PE-III dated 01-10-2015 239
283. Notification SRO No. 585(1)/86 dated 13-07-1987 240
284. Notification SRO No. 772(I)/2018, dated 14-6-2018 241
285. Notification SRO No. 840(I)/2017 dated: 17-08-2017 241
286. Notification SRO No.101(I)/2016, dated 9-2-2016 242
287. Notification SRO No.1017(I)98 dated 21.7.1998 242
288. Notification SRO No.190 (I) 2002 dated 2-4-2002: 243
289. Notification SRO No.583(I)/2017 dated 1-7-2017 243
290. Number of workers—determination of 243
O
291. Objections to auction proceedings 244
293. Objections—non-filing of 246
294. Offer of shares/debentures for sale 246
295. Opinion formation—absence of 247
296. Oppression and mismanagement 247
297. Ouster of jurisdiction of any other court on matters under Companies Act, 2017 248
P
298. Packaging/Merging of construction contracts 248
299. Partnership business—Receiver—appointment of 249
300. Pawnee's right—Offer of shares/debentures for sale 249
301. Payments for goods and services—Maximum tax 250
302. Payments made to associated companies/undertakings 250
303. Pecuniary jurisdiction of Assistant Collector 251
304. Penalty for carrying on ultra vires business 251
305. Person performing function in connection with affairs of federation 252
306. Petition for leave to appear and defend 252
307. Petitioner Companies sought approval of Scheme of their merger 253
308. Petitioners claimed that transfer of their shares to respondents were illegal 253
309. Pledged stock—sale of—Procedure 254
310. Policy directives issued by the Federal Government with respect to RLNG allocation 254
311. Post bid conditions—framing of 254
312. Power of Commission to enforce compromises and arrangements 255
313. Power of company limited by shares to alter its share capital 255
314. Power of Court to rectify register 256
315. Power of Court to rectify Register—Limitation 256
316. Power of court to stay winding up of a company 257
317. Power of Ombudsman to punish for contempt 257
318. Power of Registrar to strike defunct company off register 258
319. Power of Securities and Exchange Commission 259
320. Power to acquire property and to make contracts 259
321. Power to declare interim dividend 260
322. Powers and jurisdiction of Banking Mohtasib 260
323. Powers of Commission to facilitate reconstruction or amalgamation of companies 261
324. Powers to prohibit or restrict imports and exports 261
325. Pre-arrest bail—grant of 262
326. Prevention of oppression and mismanagement 262
327. Previous management of defendants—liability of 264
328. Prior approval of Federal Board of Revenue 265
329. Priority of requirement of natural gas—Political wisdom 265
330. Privileged information—Fishing inquiry 266
331. Procedure and powers of the Banking Court 266
332. Procedure for filing complaints before Banking Mohtasib 266
333. Procedure of Banking Court 267
334. Procuring agency—definition of 268
335. Prohibition on acceptance of deposits from public 268
336. Promotion against the post of Electrician 269
337. Property tax—exemption from 270
338. Public limited company—Discrimination 270
339. Public project—Utilization of funds 271
340. Publication of name by a company 272
Q
341. Quarterly Tariff Adjustment 272
342. Quashing of proceedings 273
343. Quo warranto—Onus to prove 274
R
344. Rash or negligent act or omission—Safety measures 274
345. Reasonable "information" about the person to be proscribed 275
346. Recharacterisation of income and deductions 275
347. Reconstitution of—Removal of a "Nominee Director" 276
348. Reconstruction or amalgamation of companies 276
349. Recording of evidence 278
350. Recovery of bank loan—suit for 279
351. Recovery of Loans—Advances—Credits and Finances 279
352. Recovery of money on the basis of cheque 279
353. Recovery of sales tax—Jurisdiction 280
354. Recruitment policy—change in 280
355. Rectification of register of members—Limitation 281
356. Redetermination of tariff—Failure to provide opportunity of hearing 282
357. Reduction in share capital 282
358. Reference to investigating agency 283
359. Reference—"Banking Company" and "Investment Bank" 284
360. Refusal of injunction 284
361. Registered office of a company 285
362. Registrar—jurisdiction of 285
363. Registration and regulation 286
364. Regulated activity—Regulated person 286
365. Regulation of Modaraba Management companies 287
366. Regulatrory Authority's approval 288
367. Repugnancy to Injunctions of Islam 288
368. Requirement to register a mortgage or charge 289
369. Res judicata—Applicability 290
370. Resolution of Board of Directors—absence of 290
371. Resolution of dispute of private character 291
372. Restoration of suit dismissed for non-prosecution 292
373. Restructuring of finance facility 292
374. Restructuring/rescheduling plan for a company undergoing winding-up 293
375. Retrospective effect—Applicability 294
376. Return of benefits—Principle 294
377. Right as to equality of citizens—Discriminatory treatment 295
378. Right to fair trial and due process 295
379. Right to fair trial and equality of citizens 296
380. Rule of Indoor Management 296
S
381. Sales tax—levy and collection 297
382. Scheme for arrangement—Approval 297
383. Scheme of amalgamation of companies 298
384. Scheme of arrangement 298
385. Scheme of arrangement/amalgamation—Approval 299
386. Scheme of Arrangement—Implementation 300
387. Scheme of arrangement—Merger and demergers 300
388. Scheme of arrangement—Sanction 301
389. Scheme of Arrangements—Settling of liabilities 302
390. Scheme of Merger—Approval 302
391. Securities and Exchange Commission of Pakistan pressed pre-merger clearance 303
392. Securities and Exchange Commission of Pakistan—jurisdiction of 303
393. Selection of case for audit—Payments made outside Banking channels 304
394. Seniority—determination of 305
395. Service of notices/summons on the defendant 305
396. Share capital—reduction in 306
397. Shares of bank—acquiring of 306
398. Shares—non-adjustment of 307
399. Sharing of costs of Insurance Ombudsman Secretariat by insurance companies 307
400. Show-cause notice—issuance of 307
401. Signing and verification of plaint 308
402. Special Power of Attorney—Letter of Authority and/or Board's Resolution of company 309
403. State Bank BCD Circular No. 4 of 2013 309
404. State Bank of Pakistan Circulars—Legislative instrument 310
405. Statutory requirement of publication 310
406. Stay of proceedings of winding up of company under original/civil jurisdiction by High Court 311
407. Subsequent events—Press publication 311
408. Subsidy—entitlement of 311
409. Subsidy—withdrawal of 312
410. Suit for damages for malicious prosecution—filing of 312
411. Suit for damages—Impleadment of parties 314
412. Suit for declaration and injunction 314
413. Suit for declaration—damages and compensation 315
414. Suit for recovery filed before the Banking Court by a Company undergoing winding up 315
415. Suit for recovery filed under O. ###VII, C.P.C. filed by microfinance institution was decreed 316
416. Suit for recovery of damages 317
417. Suit for recovery of finance 318
418. Suit for recovery of loan amount and damages 319
419. Suit for recovery 319
420. Suit for specific performance and injunctions was rejected 320
421. Suit for specific performance of agreement to sell 320
422. Suit for specific performance of agreement 321
423. Super tax for rehabilitation of temporarily displaced persons 322
424. Suspension of order—denial of 323
T
425. Tax exemption—Electricity consumption 323
426. Tax on undistributed profits of public limited companies 324
427. Taxable supply—Adjustment of input tax from output tax 324
428. Term "sufficient cause" 325
429. Trading by directors—officers and principal shareholder 325
430. Transactions exempted 327
431. Transfer of shares and debentures 327
432. Transfer of shares to successor-in-interest 328
433. Transfer of shares—Procedure 328
434. Transmission license—Sale and purchase of electricity 328
435. Turnover—Subsidy granted by Federal Government 329
U
436. Unanimous approval of merger scheme and swap ratio by all the shareholders 330
437. Union Insurance Company received an intimation of loss from Bank on account of fire 331
438. Unwillingness/inability to pay debts—Distinction 331
V
439. Vacancies of university—filling of 331
W
440. Winding up of company 332
441. Winding up proceedings stay of 333
442. Winding up proceedings—Claim settlement of 333
443. Winding-up of company—High Court—jurisdiction of 334
444. Winding-up of company—Pre-condition 334
445. Workers' Welfare Fund—Adjustment—availing of 335
________________
COMPANIES––CASE-LAW
(Tribunals—Judgments)
Sr. Page No.
A
1. Abuse of dominant position 343
2. Abusing of dominant position—entering into prohibited agreement 344
3. Accounting Regulations 344
4. Acquisition of additional voting shares 345
5. Acquisition of an Insurance company by another company 345
6. Admissible assets—Advance—determination of 346
7. Advance tax paid by the taxpayer 346
8. Adverse environmental effects 347
9. Alteration of memorandum of a company 347
10. Amendment of assessment 348
11. Annual Audited Financial Statement 349
12. Anti-Competitive conduct 350
13. Anti-money laundering regulatory framework, non-compliance of 350
14. Appeal against order passed by the Federal Ombudsman 351
15. Appeal against order 351
16. Appeal before Competition Appellate Tribunal—Fraudulent use of a logo trademark 352
17. Appellant was fined for not publishing—circulating 352
18. Appellant/Surveyor—conducted survey of non-life classes of business 352
19. Application for designation as a group—Group taxation 353
20. Application for grant of licence 353
21. Appointment of Directors of the company—Eligibility 354
22. Appointment of Directors without approval by an Insurance Company 354
23. Appointment of unqualified person as Auditor 355
24. Apportionment of deductions 355
25. Assessee a Life Insurance Company 356
26. Assessee company filed its return claiming exemption 357
27. Associated companies 358
28. Audit of Annual Financial Statement of the company 358
B
29. Binding for every listed company to advise and keep advised Stock Exchange 359
30. Breach of fiduciary duty by auditors 360
C
31. Cancellation of Licence to undertake Asset Management Service for contravention of Rules and Regulations 360
32. Capital contribution by the shareholders' fund to statutory fund—distribution of 361
33. Charge—non-registration of 362
34. Code of Conduct for Credit Rating companies/Agencies 362
35. Company had appointed three persons as Directors without approval 363
36. Company's Legal Counsel had admitted such situation 364
37. Complaints against the Insurance Companies 364
38. Compulsory registration—Imposition of penalty 365
39. Computation of Income of Banks and Insurance Companies 365
40. Computation of profits and gains of Insurance business 366
41. Conditional licence—grant of 367
42. Conditions for issue of shares other than right 367
43. Condonation of delay 67
44. Consolidated financial statements 368
45. Contravention of requirements of the Regulations relating to the recording and reporting of investment properties 369
46. Criteria for sound and prudent management 370
D
47. Damage to stock of insured due to monsoon rains 370
48. Deceptive marketing practices—Undertaking 371
49. Deduction not admissible 371
50. Defunct Company—restoration of 372
51. Delay in filing returns of beneficial ownership 372
52. Depositing premium by Insurance Agent 373
53. De-registration—blacklisting and suspension of registration 373
54. Directive to comply with requirement of law 373
55. Dismissal of application for grant of licence 374
56. Distribution agreement—non-considering of 375
57. Distribution of false or misleading information 375
58. Dividends—issuance of 376
59. Doctrine of 'per se'—applicability of 376
60. Dominant position—Meaning 377
61. Duties of the Directors of Insurance Company 377
E
62. Effect of Memorandum and Articles 378
63. Election of Directors of Company 378
64. Election of directors—procedure for 379
65. Election—term of office and duties of the Directors 379
66. Employees' provident funds and securities 380
67. Engaging of insurer in misleading or deceptive conduct 381
68. Entering into prohibited agreements and deceptive marketing practices 381
69. Environmental Protection Agency—powers of 382
70. Environmental Protection Order—issuance of 383
71. Exemption from disclosures 383
F
72. Failure of Auditor to bring out material facts about the affairs of the company 384
73. Failure of beneficial owner to tender or recover amount of gain 385
74. Failure of Director to disclose nature of his interest in respect of any contract 385
75. Failure of insurer to meet criteria for sound and prudent management 386
76. Failure to annex Director's Report with accounts filed with Registrar of companies 387
77. Failure to appoint Share Registrar by the company 387
78. Failure to appoint whole time secretary 388
79. Failure to comply with conditions imposed on registered insurers 388
80. Failure to file Annual Audited Accounts and Regulatory Returns within time 389
81. Failure to file interim financial statements 389
82. Failure to file return of beneficial ownership within prescribed period 390
83. Failure to fulfil minimum insolvency requirement 391
84. Failure to hold Annual General Meeting within stipulated time 392
85. Failure to maintain statutory deposit—Exemption 392
86. Failure to make out disclosures for the remuneration of Chief Executive 393
87. Failure to make report of said transactions to the Commission 393
88. Failure to meet criteria for sound and prudent management by Insurance Company 394
89. Failure to pay tax due on taxable services 395
90. Failure to prepare and transmit quarterly/half yearly accounts 396
91. Failure to prepare—transmit and file quarterly accounts 396
92. Failure to publish—circulate and file "Statements of Compliance" 397
93. Failure to seek approval of the Commission before appointing Chief Executive Officer 398
94. Failure to submit Audited Annual Accounts 398
95. Failure to submit statements forming part of the Regulatory Returns 399
96. Failure to submit the Director's report while filing Accounts with the Registrar 399
97. Failure to submit the statement of assets for solvency by Insurance Company 400
98. False statement in documents 400
99. Filing of circular with regard to further issue of capital 401
100. Filing return of beneficial ownership—Limitation 402
101. Fitness and proprietary of the Company Secretary 402
102. Further issue of capital to increase capital of the company 403
G
103. Giving false statement—effect 404
H
104. Holding of Annual General Meeting by Company 404
105. Holding the Office of Chief Executive Officer by Director 405
I
106. Imposition of penalty 405
107. Imposition of penalty for false statement 406
108. Inclusion of deposits received as security against guarantees as admissible assets 407
109. Income from other sources 407
110. Independent directors—requirement of 408
111. Individual grievance—Scope 408
112. Ineligibility of a person to become director of a company 409
113. Inside trading 409
114. Inspection of books of accounts by Inspection Team appointed by Securities and Exchange Commission 410
115. Insurance company—Amendment of assessment 411
116. Investment in associated Companies and undertakings 412
117. Investments by Company in an associated Companies and undertakings—without the authority of a special resolution 412
118. Investments in associated Companies and undertakings in violation of resolution 413
119. Investments in associated Companies and undertakings 414
120. Irregularities in calculation of 'Net Capital Balance' (N.C.B.) 414
121. Issuance of bonus shares in violation of Rules 414
122. Issuance of different policies on a single risk 415
123. Issuance of 'No objection certificate' 416
124. Issuance of prospectus for raising capital 417
125. Issuance of shares at discount—Limitation 417
126. Issuance of unqualified audit report by Auditor—Imposition of penalty 418
J
127. Jurisdiction of Commissioner far Workmen's Compensation 419
L
128. Liquidated damages—Computation of 419
129. Loss due to destruction of stock by fire 420
130. Maintenance of employees' provident fund 421
M
131. Maintenance of reinsurance treaty arrangement with fake Insurance Corporation by the Insurance Company 421
132. Making gain by beneficial owner of listed equity securities by purchase and sale transaction 422
133. Merger of companies—Post-merger risks 422
134. Merger of companies—Relevant market' 423
135. Merger—approval of 423
136. Misstatement in accounts by company 424
N
137. Non-compliance of Regulations 425
138. Non-forwarding of copy of balance-sheet to the Registrar of companies 425
139. Non-providing of opportunity of hearing 426
140. Notification No.1061(1)/ 2005 dated 18-10-2005; SRO No.49(I)/2009 dated 23-1-2009 427
141. Notification S.R.O. No. 1227/2005, dated 12-12-2005 427
142. Notification S.R.O. No.499(I)/2009 dated 13.06.2009 428
143. Notification SRO 154(1)/2015 dated 19-2-2015 428
144. Notification SRO No.586(I)/91, dated 30-6-1991 429
145. Notification SRO No.659(I)/2009, dated 14-7-2009 429
146. Notification SRO No.682(I)/2008 dated 25-6-2008 430
P
147. Passing resolution by Association without convening meeting 431
148. Payment of huge remuneration to chairperson of the company in contravention of condition of licence 432
149. Penalty for contravention of Rules 432
150. Person liable to pay tax Return 432
151. Power of Registrar of Companies to call for information or explanation 433
152. Power to dispense with "Limited" in the name of charitable and other companies 433
153. Power to prohibit or restrict importation and exportation of goods 434
154. Powers of the Environmental Protection Agency 434
155. Premature termination of rating contract 435
156. Pre-merger proceedings—Acquiring of shares 435
157. Procurement policy—Competitive process 436
158. Prohibited agreements—Concession agreement 436
159. Prohibition for payment of remuneration to member of the company 437
160. Prohibition on Stock Exchange deals by insiders 438
161. Protection against retrospective punishment 438
Q
162. Quarterly financial statements—non-transmitting of 439
163. Question before Appellate Tribunal was whether the status of taxpayer was of a distributor 440
R
164. Rectification of name of company 440
165. Reinsurance—income of 441
166. Reinvestment of profit 441
167. Requirements of Accounting and Financial Reporting Standard 441
168. Restrictions on declaration of dividend 442
169. Revaluation of fixed assets 443
170. Review Report with the Securities and Exchange Commission 444
171. Revocation of appointment of Inspector 444
172. Revocation of licence 444
S
173. Services provided by banking Companies or non-banking financial companies 445
174. Shareholders of the company—filed application 446
175. Show cause notice—Anti-competitive practices 447
176. Special provisions relating to Banking business 447
177. Submission of revival plan—Misstatement 448
178. Substantial lessening of competition 448
179. Super Tax—Exemption from 449
T
180. Telecommunication services—Tax coverage 450
181. Trade union—Cancellation of registration 450
182. Trading by beneficial owner of more than ten per cent of its listed equity securities 451
183. Transaction with associated companies 451
184. Transmitting electronically the Quarterly Financial Statements to Securities and Exchange Commission of Pakistan by a Company 452
V
185. Vertical/unilateral horizontal effects of merger and countervailing factors 453
186. Violation of conditions of licence 454
W
187. Welfare of members of the association 454
188. Withdrawal of appeal 455
____________________
BANKING––CASE-LAW
(Supreme Court—Judgments)
Sr. Page No.
A
1. Ad-interim bail—confirmation of 462
2. Amendment of assessment by Commissioner 462
3. Appeal against judgment of Banking Court 463
4. Auction of judgment debtor's properties 463
5. Auction of mortgaged property by Bank 464
6. Auction proceedings 465
7. Auction proceedings set-aside by Banking Court 466
8. Auction proceedings 466
B
9. Bank making payment to State Bank on behalf of the loanee (exporter) 467
10. Banking and Finance—Gold medal—award of 468
11. Banking Court—jurisdiction of 468
12. Banking Court—territorial jurisdiction 469
13. Banking scam—Bail—grant of 469
14. Board of the Bank—functions of 470
15. Bona fide auction purchaser 470
C
16. Constitution of Pakistan, Art. 15 471
17. Constitution of Pakistan, Arts. 199(1)(c) & 184(3) 471
18. Constitutional petition under Art. 184(3) 471
19. Contract of guarantee—Bank/Insurance guarantee 472
20. Co-operative Development Corporation converted into a Banking Society 472
D
21. Decree by Banking Court—Ex*****on proceedings 473
22. Decree of Banking Court 473
23. Decree of Banking Court—Ex*****on 474
24. Delay—Condonation of 475
25. Dismissal of application for cancellation of auction proceedings 475
E
26. Ex-parte decree against judgment debtor 476
27. Ex*****on of decree passed by Banking Court 476
28. Ex*****on of decree—Second ex*****on application 477
F
29. Fake/benami bank accounts connected with various individuals and entities used for money laundering 478
30. Finance facility availed by loanee from Bank to settle its liability with the State Bank 479
31. Finance/loan agreement—Mark-up accrued 479
32. Forum competent to try such offence 480
G
33. Guardian in the suit—appointment of 480
I
34. Immovable property mortgaged with bank 481
35. Income on account of supplies made to a company 481
36. Interim injunction grant of 481
J
37. Judgment-debtor failing to pay part of decretal amount 483
L
38. Legal and procedural errors during ex*****on proceedings 483
39. Letter of credit—Bills of Lading 484
40. Lien/right to set off—Determination 485
41. Loan agreement between bank and borrower 486
M
42. Mark-up allowed only till date of repayment of amount 486
43. Misappropriation—corruption and fraud 486
44. Mortgage by deposit of title deeds 487
N
45. Not exempted from levy of excise duty 488
46. Notification S.R.O. No.519(I)/1992, dated 25-5-1992 489
O
47. Objection application against such sale 489
48. Objection petition regarding non-serving of notice at address outside Pakistan 489
49. Objects of a company—interpretation of 490
P
50. Person standing as guarantor/surety for loan 490
51. Plea of forged documents negated by admission 491
52. Power of Banking Court to adopt any procedure for sale of immoveable property 491
53. Power of Banking Court to order interim sale 491
54. Pre-requisites—Banking Court 492
55. Property mortgaged with Bank 492
56. Property mortgaged with bank—Ex*****on proceedings 493
57. Protection of rights of a bona fide purchaser of auctioned property 493
R
58. Recovery of finance—Authority to institute suit 494
59. Recovery of Loans—Advances—Credits and Finances 494
60. Recovery suit against company before the Banking Court 495
61. Recovery suit filed by Bank against borrower/defendant 496
62. Recovery suit—Auction of judgment-debtor's property 496
63. Removal from service before expiry of employment period 497
64. Retrospective effect 499
S
65. Sale of immoveable property in ex*****on of a decree—procedure for 499
66. Sale of judgment debtor's property by way of public auction 500
67. Sale of mortgaged property by Financial Institution under S.15 of Financial Institutions (Recovery of Finances) Ordinance, 2001 without intervention of the Court 500
68. Sale of mortgaged property by way of public auction 501
69. Sale of property by Bank without intervention of the Court—Procedure 501
70. State Bank of Pakistan, BCD Circular No. 32 dated 26-11-1984 502
71. State Bank of Pakistan—Purpose and functions 503
72. Statement of account submitted by financial institution before the Banking Court 503
73. Suit against company before the Banking Court 503
74. Suit for recovery of finance 504
75. Suit for recovery of loan 504
_________________
BANKING––CASE-LAW
(High Court—Judgments)
Sr. Page No.
A
1. Absconder from law 527
2. Accounting on cash/accrual basis 527
3. Accounting system—Interest—maintaining of 527
4. Acquisition of shareholding of more than 10% in an Insurance Company 528
5. Adjudication by Banking Court 528
6. Adjudication of application for leave to defend 529
7. Adjudication of Banking disputes 530
8. Adjudication of complaints by Banking Mohtasib 531
9. Adjudication of Statement of accounts 532
10. Adjudication of such dispute in ex*****on proceedings 532
11. Adjudication of such suit 533
12. Admissibility in evidence before the Banking Court 533
13. Admitting of appeal—Pre-conditions 534
14. Alleged default in repayment of loan 534
15. Alternate and efficacious remedy—availability of 535
16. Amalgamation of a Banking Company with any other company 536
17. Amendment in plaint 536
18. Amicus curiae appointed by Banking Court 536
19. Amicus curiae—appointment and report of 537
20. Appeal against interlocutory order 537
21. Appeal against interlocutory order of a Banking Court 537
22. Appeal against interlocutory order of Banking Court under S.22 of the Financial Institutions (Recovery of Finances) Ordinance, 2001 538
23. Appeal against judgment and decree of Banking Court 538
24. Appeal against order in leave application—maintainability of 539
25. Appeal under S. 22 of Financial Institutions (Recovery of Finances) Ordinance, 2001 539
26. Appeal—Limitation—Delay 539
27. Appellant availed financial facility from Bank against mortgage of property 540
28. Appellants/applicants applied for grant of succession certificate and Letter of administration 540
29. Application for appointment as Director of Insurance Company 540
30. Application for leave to appear and defend the suit 541
31. Application for leave to defend 542
32. Application for leave to defend—acceptance of 546
33. Application for leave to defend—adjudication of 547
34. Application for leave to defend—Banking documents 548
35. Application for leave to defend—dismissal of 548
36. Application for leave to defend—Statement of accounts 549
37. Application for postponement of sale of mortgaged property during ex*****on proceedings 549
38. Application for recovery of Insurance amount 550
39. Application for rejection of plaint 550
40. Appreciation of evidence 551
41. Appreciation of evidence—Jurisdiction of Banking Courts 553
42. Approval letter—non-issuance of 554
43. Arrest and detention of judgment debtor 555
44. Assessment order—amendment of 555
45. Attachment before judgment 556
46. Auction of mortgaged property 556
47. Auction of mortgaged property by the Banking Court 557
48. Auction purchaser—rights of 558
49. Authority of a local government to levy taxes 559
50. Automatic conversion of decree into ex*****on petition 559
B
51. Bail—refusal of 560
52. Bank guarantee—encashment of 561
53. Bank or Insurance guarantee 562
54. Bank record—seeking of 562
55. Banking Court decreed suit in favour of Bank 563
56. Banking Court granted pre-arrest bail to the accused 563
57. Banking Court—Customer 563
58. Banking Court—Jurisdiction of 564
59. Banking Court—Procedure 566
60. Banking licence—cancellation of 566
61. Banking Mohtasib (Ombudsman)—Non-judicial powers 567
62. Banking Mohtasib—jurisdiction of 567
63. Banking Mohtasib—proceedings against 569
64. Banking offence—Registration of case 570
65. BCD Circular No. 8 of 2013 570
66. Benami owner—declaration of 571
67. Bid—modification of 571
68. Binding nature of State Bank of Pakistan Circulars 572
69. Blacklisting and suspension of registration 572
70. Blacklisting of suppliers subsequent to transaction with taxpayer 573
71. Blank documents—Presumption 573
72. Books to be open to inspection—Public office and Public officer 574
73. Burglary policy—claim under 574
C
74. Calculation of cost of funds 575
75. Calculation of Liquidated Damages payable by Insurance Company on late settlement of claims 575
76. Cause of action—accrual of 576
77. Certification of Statement of Accounts 576
78. Chairman and directors of a company 577
79. Charging of interest by banks on loans given by them to the
