The Securities and Exchange Commission of Pakistan (SECP) and the National Accountability Bureau (NAB) have agreed to strengthen joint action against illegal deposit-taking and investment schemes that continue to defraud the public.

The decision was made during a meeting between NAB Chairman Nazir Ahmed Butt and SECP Chairman Dr. Kabir Ahmed Sidhu. Both institutions agreed to sign a memorandum of understanding (MoU) to improve information sharing and coordinate enforcement efforts.

Under the proposed framework, SECP and NAB will work together to identify and take swift action against individuals and entities collecting deposits or investments without the required regulatory approvals.

SECP Chairman Dr. Kabir Ahmed Sidhu said illegal investment schemes are causing substantial financial losses to citizens, warning that operators promising unrealistically high returns will face strict legal action.

The SECP also clarified that a company’s registration does not authorize it to accept deposits from the public. Any entity collecting public funds without the necessary licence is operating illegally.

NAB Chairman Nazir Ahmed Butt assured the regulator of full cooperation, saying closer coordination between the two institutions would strengthen enforcement against financial fraud and provide greater protection to investors.