Investment Corporation of Pakistan Ordinance, 1966

The Investment Corporation of Pakistan Ordinance, 1966 established the Investment Corporation of Pakistan (ICP), a body created to encourage and broaden investment and help develop Pakistan's capital market.

Section 3 establishes the Corporation as a body corporate with perpetual succession, headquartered as set out in Section 10 (Karachi), able to acquire, hold and dispose of property and to sue and be sued in its own name; it is explicitly not treated as a banking company. Section 4 sets the Corporation's authorised share capital at twenty crore rupees, divided into twenty lakh ordinary shares of one hundred rupees each, with an initial paid-up capital of five crore rupees, increasable with Federal Government approval; shares are to be listed on stock exchanges as the Board determines. Section 5 deems ICP shares to be approved securities under the Trust Act, 1882, the Insurance Act, 1938, and the Banking Companies Ordinance, 1962. Sections 6-9 cover share numbering, the shareholder register, qualification to be a shareholder (must be legally competent to contract), and the Corporation's refusal to recognise trust notices on its register.

Section 11 vests general direction and superintendence of the Corporation in a Board of Directors, which must act on commercial considerations while having regard to the investment climate and the interests of the capital market, depositors, and the public; the Federal Government may issue binding directions to the Corporation in the public interest or to protect depositors. Sections 12-16 cover the Board's composition, the Chairman, the Managing Director, directors' qualifications and disqualifications, and the Executive Committee. Sections 17-22 address general and special shareholder meetings, Board/Executive Committee meetings, meeting fees, appointment of officers and advisers, a declaration of fidelity and secrecy required of officials (set out in the Schedule), and indemnity for directors.

Section 23 defines the business the Corporation is authorised to transact (investment-related activities), Section 24 covers its borrowing powers, and Sections 25-27 cover special powers, the Federal Government's power to impose conditions, and disposal of profit. Sections 28-31 require auditors, annual returns, allow the Corporation to call for early payment in certain cases, and set out recovery of the Corporation's dues. Section 33 covers offences (without specific penalty figures stated in this extract), Section 34 addresses liquidation, and Sections 35-36 give the Federal Government and the Board rule-making and regulation-making powers respectively, covering matters like share allotment, ICP Mutual Funds, borrowing conditions, and staff recruitment.

This is an older ordinance from 1966 with amendments over time (for example, the 1971 amendment inserting Mutual Fund provisions, the 1999 amendment to the "ICP Mutual Funds" definition, and the 1975 replacement of "Central Government" with "Federal Government"). Readers should check the current official text for up-to-date details, including any specific penalty amounts.