Rule 50 'Kha' provides that at the time of a creation of fund for fixed period under a scheme, the duration and the amount of the scheme is to be mentioned unless it is an Open-end scheme. At least one year before the end of the scheme period, three-fourths unit-holders by votes may extend the scheme for another such period. .....Chairman, SEC =VS= Md Ali Zaman, (Civil), 2017 (2)– [3 LM (AD) 184] ....View Full Judgment

In exercise of its power under section 20A (before amendment) the Securities and Exchange Commission ordered that the tenure of Closed-end Mutual Funds shall not be more than 10 years and that the Closed-end Mutual Funds whose tenure of 10 years has already expired shall be deemed to have been extinguished. .....Chairman, SEC =VS= Md Ali Zaman, (Civil), 2017 (2)– [3 LM (AD) 184] ....View Full Judgment

Securities & Exchange Ordinance, 1969
Section 20A r/w
The Securities and Exchange Commission (Mutual Fund) Rules, 2001
Rule 50(Kha)
Section 20A of the Securities and Exchange Ordinance, 1969 before adding the non-obstante clause by amendment shall prevail over Rule 50(Kha) of the Securities and Exchange Commission (Mutual Fund) Rules, 2001 on the analogy that the power given in the Ordinance shall prevail over the subordinate legislation, that is, the Securities and Exchange Commission (Mutual Fund) Rules, 2001 when there is a conflict in between the power conferred under the Ordinance and the subordinate legislation. The provisions of the Ordinance shall prevail over the subordinate legislation. .....Chairman, SEC =VS= Md Ali Zaman, [3 LM (AD) 184] ....View Full Judgment

Over and above,(1) BRAC Bank Limited, (2) BRAC Stock Brokerage Limited, (3) United Commercial Bank Limited, (4) VIPB Asset Management Company and (5)IDLC Investment Limited have been holding more than 50% of the units and they are not willing to continue with the mutual fund. They are to take back their investment. When the majority of the unit-holders are not willing to continue either by extension of the closed-end mutual fund or by conversion into open-end mutual fund, we are of the view that the instant Close-end Mutual Fund should not continue any further. .....Chairman, SEC =VS= Md Ali Zaman, (Civil), 2017 (2)– [3 LM (AD) 184] ....View Full Judgment