The appointment of Shaukat Hussain Abbasi as Chairman SECP on May 11, 2018 (during last month of PML-N’s government) was based on nepotism. It was due to these allegations that Prime Minister Imran khan on October 3, 2018 ordered removal of Shaukat Abbasi as Chairman SECP

KARACHI: National Accountability Bureau (NAB) opened an inquiry against Khaqan Abbasi for violating merit in appointment of Shaukat Hussain Abbasi as SECP Chairman, sources informed.

The NAB has initiated a new inquiry against former Prime Minister Shahid Khaqan Abbasi for making the appointment of Chairman Securities and Exchange Commission of Pakistan (SECP) against merit.

It is alleged that the appointment of Shaukat Hussain Abbasi as Chairman SECP on May 11, 2018 (during last month of PML-N’s government) was based on nepotism. It was due to these allegations that Prime Minister Imran khan in October 3, 2018 ordered removal of Shaukat Abbasi as Chairman SECP.

In order to secure the privileged position, Shaukat Abbasi tendered his resignation from the post of Chairman but sustained to work as Commissioner in SECP at monthly remuneration of over Rs 2.5 million.

According to sources, the investigating agency has acquired all record relevant with recruitment and Shaukat Hussain Abbasi’s promotions from the Finance Division.  It is also alleged that Shaukat Hussain Abbasi was not even among shortlisted candidates but Khaqan Abbasi first appointed him Commissioner at the SECP and than designated him Chairman SECP.

As per official record of ministry of finance, a summary was moved on May 9 by the Ministry of Finance through Finance Minister Mifta Ismail to appoint the senior most Commissioner Tahir Mahmood as Chairman SECP. The summary was signed by 75 percent of Cabinet Members and a notification was issued.

Surprisingly on May 11, another summary was circulated by the ministry of finance seeking withdrawal of the appointment of Tahir Mehmood as SECP Chairman and instead recommending appointment of Shaukat Hussain as SECP Chairman.

The Ministry of Finance issued the appointment Notification of Shaukat Hussain, which is violation of Article 90 and 91 of the Constitution of the Islamic Republic of Pakistan, 1973 as the Cabinet has approved the appointment of Tahir Mehmood as Chairman SECP.

Shaukat Hussain was serving as most junior Director at SECP in 2017. On January 10, 2018, he was promoted from the post of Director to the Executive Director on probation for a period of six months. Later on, the former prime minister appointed Shaukat Hussain as Commissioner, SECP under Section 5 and 7 of the SECP Act, 1997 on March 27, 2018 for a period of three years.

It is pertinent to mention here that Tahir Mehmood, whose appointment notification was withdrawn by the former prime minister, is the most senior Commissioner of SECP serving since, 1989. Prior to his appointment as Commissioner SECP in September 2010, Tahir had been serving as the Executive Director (Enforcement) since, July, 2006, but the Khaqan Abbasi appointed Shaukat as Chairman SECP.