SECP probes alleged insider trading in Unity Foods shares

Business Recorder reported that the Securities and Exchange Commission of Pakistan has escalated its inquiry into suspected insider dealing and irregular share transactions at Unity Foods Limited, a PSX-listed firm. The regulator has called four people, among them the company's chief executive Muhammad Farrukh, to appear for questioning on Thursday, September 3, in their personal capacity. The four had skipped an earlier summons issued on August 31, which led the SECP to serve final notices.

Farrukh has been directed to provide a full record of the company's shares he has pledged with banks. Safdar Sajjad, Fahmida Amin and Hina Safdar must explain their buying and selling of Unity Foods stock and submit related dealing records with backup papers. The SECP has been probing the matter since June 2 under Section 139 of the Securities Act, 2015.

The Federal Investigation Agency has opened a criminal case against the firm's former leadership, citing alleged financial irregularities that followed an SECP inquiry. The gap totals roughly Rs44.7 billion between figures made public and the firm's own ledgers. The company, incorporated in 1991, began as the textile firm Taha Spinning Limited before turning to edible oil refining.