Since 1948, when Pakistan came into being, Indian Companies Act, 1913 is used by corporations until the promulgation of Companies Ordinance, 1984. Corporate entities in Pakistan primarily regulated under Securities and Exchange Ordinance,
1969 and SECP Act, 1997.With the changes in the International Business Environment SEC took responsibilities and powers of the Corporate Law Authority in, 1999. The SEC has focused on encouraging businesses to adopt good corporate governance practices to manage
business challenges internationally.
Purpose is to provide transparency and responsibilities to corporate sector and to safeguard the interests of stakeholders, including protection of minority shareholders' rights and strict audit