All
Authorized Dealers
In Foreign Exchange,
Dear
Sirs,
AUTHORIZED
MONEY CHANGERS
Attention
of Authorized Dealers is invited to F.E. Circular No. 142
dated the 6th October, 1991 read with F.E.
Circulars No. 50 of 1992 and No.
58 of 1994 which contain detailed instructions for grant
/ renewal of the Authorized Money Changers licenses.
2.
It has been decided to revise some of the terms and conditions
for grant of the Authorized Money Changers license.
- The
application processing fee and the annual renewal
fee has been raised from (a) Rs.10,000/- to Rs.50,000/-
and (b) from Rs.1,000/- to Rs.10,000/- per annum respectively.
- In
case of the company, the paid up capital should not
be less than rupees one million and in case of individual
or partnership firm, the net-worth should not be less
than half million rupees as per the wealth statement
filed with the Income Tax Department.
- The
license will be issued to only those Pakistani nationals
/ firms and companies who are paying income tax.
- Tax
defaulter will not be eligible for grant of license.
- The
license will not be issued to persons involved in
illegal activities as per police report.
3.
Other terms and conditions for grant of Authorized Money
Changers License as embodied in the F.E. Circulars
mentioned in paragraph 1 of this
circular will remain unchanged.
4.
The changes envisaged in Para 2 above
shall become applicable to the applications for grant/renewal
of the licenses received in State Bank of Pakistan Offices
on or after the date of issue of this circular.
5.
Consequently, the following amendments may be made in paragraph
6, Chapter II of Exchange Control Manual (7th
Edition, 1992):-
- The
figures of Rs. 10,000.00 and Rs.1,000.00
appearing in paragraph 6 (i) may be changed to Rs.50,000.00
and Rs.10,000 respectively. Further, the
last sentence of this sub-para may be replaced by the
following:-
"The
applications for renewal of the licenses will be made
within 7 days of expiry of the license. In case application
for renewal is not made within the above time limit
the relative license shall be treated to have lapsed
and the concerned party will be required to obtain fresh
license on payment of prescribed fee."
- Para
6 (ii) may be replaced by the following ;-
"The
Paid up capital in case of a company should not be less
than Rs. 1,000,000.00 as per audited accounts of the company
and in case of individual /partnership firm, the
net worth should not be less than RS 500,000.00 as per
the wealth statement filed with the Income Tax Department.
-
At
the end of sub-para (iii) of Paragraph 6 the words "who
are paying income tax" may be added after removing
full stop.
-
Following
sub-paras may be added in Paragraph 6:-
- Tax
defaulters will not be eligible for grant of licences.
- The
licences will not be issued to persons involved
in illegal activities as per police report.
6.
Please bring the above to the notice of your constituents.