All
Authorized Dealers
In Foreign Exchange,
Dear
Sirs,
Attention
of Authorized Dealers is invited to F.E. Circular No.33
dated the 15th March, 1992 conveying permission
to non-residents to trade freely in the shares quoted on
the Stock Exchanges in Pakistan through "Special Convertible
Rupee Accounts" maintained for this purpose.
2.
The following further instructions are issued in this regard:-
-
Dividend
payable to the non-residents maintaining special convertible
rupee accounts may also be credited to such accounts.
-
The
terms "remittance from abroad" as used
in the 3rd sentence of paragraph 2 of F.E.
Circular No.33 of 1992 and "transferred outside
Pakistan" as used in the last sentence include
transfer from/to a foreign currency account maintained
by a non-resident with an Authorized Dealer in Pakistan.
-
In
case of transfer of shares between two non-residents
maintaining special convertible rupee accounts as permitted
vide F.E. Circular No.33 of 1992, the consideration
money may be transferred from the special convertible
rupee account of the buyer to the special convertible
rupee account of the seller.
3.
The Authorized Dealer maintaining the special convertible
rupee account of the non-resident 'Seller' will issue a
certificate to the effect that the securities are held by
the seller on repatriable basis (indicating name of
the company, date of purchase of shares and the source of
financing etc.). This certificate will be kept on record
by the Authorized Dealer making payment on behalf
of the buyer.
4.
Similarly, the Authorized Dealer maintaining the special
convertible rupee account of the non-resident 'Buyer' will
issue a certificate confirming that the purchase price of
shares (indicating date of sale agreement, number of shares,
price per share, name of the company etc.) has been paid
by debit to the special convertible rupee account of the
said buyer. On the basis of this certificate, the non-resident
sellers special convertible rupee account will be
credited by the concerned Authorized Dealer.