Annual Report 2012 - Lahore Stock Exchange

Regulatory Affairs DivisionDuring the year, the Regulatory Affairs Division wasreorganized and structured as under:LSE has taken following measures to improvethe quality of work of the Regulatory Division:MD / CEOBoard of DirectorsRegulatoryAffairsCommitteeChief Regulatory Officer(CRO) Independent post of Chief Regulatory Officer (CRO). CRO is the convener of the Arbitration Committee andthe member of the Arbitration Committee are comprisedof the management staff & Broker. Periodical progress reporting to the Board. Online mechanism of submission of investors'complaints through LSE website & status update. Dedicated 'Investor Relations Department' set upunder the Division. Launching investors' education/awareness campaign.LEGAL AND ARBITRATION DEPARTMENTLegal Counsell&RegulatoryAffairs SectionEnforcement &ComplianceSectionTREC HolderAffairs (MRD)SectionSurveillanceMonitoring & RiskManagementSectionTrading AffairsSectionListing /Company AffairsSectionInvestor Complaints,Arbitration &Litigation SectionEarlier Primary Role: Looking after the outsourced legal matters. Dealing with Investors' Complaints/Arbitration.Expanded Mandate: Maintenance of confidence of investors. Serving as single point of contact for all sorts ofinvestors' related matters. Expeditious disposal of investors' complaints byexpeditiously conducting Arbitration proceedings. Conducting Investors' awareness programs. Providing satisfactory feedback to the investors. In-house legal resource for rendering advice to themanagement and the Board. More than 30% of the law suits of the Exchange arehandled by in house team of lawyers. Reviewing and reporting on the adequacy of thesurveillance & monitoring actions taken by theOperations Division.Legal matters:The in house legal team of LSE is well competent toprovide professional services to the LSE. The team ishandling more then 30% of the law suits of the Exchangeare handled by in house team of lawyers. in a timely andcost effective manner in which LSE is directly or indirectlyinvolved. Further, expert legal opinions and vettingservices are provided by the Department as and whenrequired by the LSE.Arbitration Proceedings:Arbitration as an alternate method of dispute resolutionhas long been recognized as convenient, efficient & lessexpensive than the traditional lawsuits in the courts oflaw. LSE provides an arbitration forum and complaints/grievances of members and investors are transparentlyprocessed and decided by the Sole Arbitrators/Panels ofArbitrators & Appellate Benches. The Awards/Decisionsof the Sole Arbitrators/Panels of Arbitrators & AppellateBenches are effectively implemented and the GoverningBoard of Directors takes strict actions under theRegulations in case of any non-implementation of theawards by issuing notice(s) of expulsion frommembership to implement the awards.Investors’ Complaints - 2010Opening Balance 97Received Complaints and Appeals 214Disposed off 126Pending Complaints 18560LAHORE STOCK EXCHANGE