PTBP Web Desk
The Securities and Exchange Commission of Pakistan (SECP) has come under renewed scrutiny following revelations that Rs1.191 billion was disbursed in salaries, perks, privileges, and post-retirement benefits to its officials and staff over a 16-month period.
The SECP salaries and benefits payout controversy relates to payments made between July 1, 2023 and October 31, 2024. According to official data, the entire amount was approved by the SECP Policy Board under its governing framework.
Breakdown of Payments
A detailed breakdown shows that senior officials received a significant share of the total amount. The then chairman and three members collectively received Rs65.559 million. Meanwhile, nine executive directors were paid Rs68.787 million, and 16 directors received Rs87.046 million.
Further down the hierarchy, 33 directors drew Rs135.123 million, while 32 joint directors received Rs56.391 million. Additionally, 58 additional joint directors were paid Rs68.541 million, 42 deputy directors Rs25.142 million, and 55 assistant directors Rs18.296 million.
Other payouts included Rs53.839 million for 140 staff and non-management employees. Overall, Rs579.139 million was disbursed as salary arrears and perks, while Rs612.054 million was allocated to gratuity, trust, and pension funds.
Parliamentary Concerns and Oversight Questions
The issue gained attention after Anusha Rahman raised concerns in parliament, highlighting broader financial governance issues. She pointed out that large sums—reportedly up to Rs2,000 billion—may be parked outside the government’s main account system, raising questions about transparency and compliance with financial regulations.
The SECP salaries and benefits payout controversy has therefore sparked debate not only about compensation levels but also about oversight mechanisms and fiscal discipline.
SECP Response and Justification
In its defense, the SECP stated that the payments were made in accordance with the SECP Act 1997, under which its Policy Board is authorized to approve financial decisions. The regulator clarified that Rs579 million represented arrears accumulated over 16 months, while the remaining Rs612 million was allocated for employee retirement benefits.
The commission also noted that the compensation structure was revised following a benchmarking exercise conducted by KPMG. This exercise aimed to align salaries with market standards and ensure competitiveness in attracting and retaining talent.
Audit and Accountability Questions
Despite these explanations, questions remain regarding audit scrutiny. The SECP confirmed that the matter has not yet been reviewed by the Departmental Accounts Committee. However, it stated that it follows a structured process to address audit observations raised by the Auditor General of Pakistan.
The controversy highlights the ongoing challenge of balancing institutional autonomy with transparency and accountability in public sector organizations.
