Modaraba company : 1 Modaraba company Syed Mohammed Jamshaid Iqbal Shah Bukhari
M.com Morning AL-QURAN : 2 AL-QURAN يَـٰٓأَيُّهَا ٱلَّذِينَ ءَامَنُواْ ٱتَّقُواْ ٱللَّهَ وَذَرُواْ مَا بَقِىَ مِنَ ٱلرِّبَوٰٓاْ إِن كُنتُم مُّؤۡمِنِينَ
Believers, fear Allah and give up what is still due to you from usury, if you are believers;
[SURAH AL-BAQARAH Preparation of Annual account : 3 Preparation of Annual account In addition to the documents modaraba co. shall furnish documents to the registrar and to the certificate holder.
Five copies of the account submit to the registrar with the circulation of these documents to the certificate holder. Audit of Account : 4 Audit of Account Account of modaraba shall be audited by an charted accountant
In addition to the other matters the auditor shall also state in his report whether in his opinion the business conducted investment made and expenditure incurred by the modaraba Distribution of profits and reserves : 5 Distribution of profits and reserves Distribution in cash or issue of bonuses or any other security
No distributions can be made otherwise than out of the profit
Carefully distribution of profit
In case of Joint holder registered any one of them give effectual receipt any profit payable o certificate Distribution of profits and reserves : 6 Distribution of profits and reserves Carefully Post on register address
If joint holder has no register address then inform through newspaper circulating in the neighborhood of the register office of a co.
The final distribution of the profit shall be made within six weeks after reopening of the register of certificate holder. Issue of modaraba certificate : 7 Issue of modaraba certificate Where modaraba co. decide to increase the modaraba fund of a modaraba issue new modaraba certificate shall subject to the conditions imposed by registrar.
Issue within signed by director or any other authorized by them prescribed by registrar Preparation of Annual account : 8 Preparation of Annual account Within six months from the close of accounting year prepare and circulate holders of modaraba certificate.
Annual balance sheet & profit and loss account
A report of auditor & profit and loss acnt.
Report on the activities & prospectus & amount of profit distribution. Issue of modaraba certificate : 9 Issue of modaraba certificate Also filed to the registrar before sent to certificate holder
In case of unsubscribed of certificate or any part then modaraba co. may offer the unsubscribed part approved by the registrar
Modaraba certificate forming part of the modaraba fund are to be issued to the public a prospectus shall be issued which shall comply in all respect Prospectus : 10 Prospectus Modaraba companies and modaraba rules.
Prospectus issued by modaraba co. in respect of any modaraba shall be dated
Date of publication of prospectus
Copy of prospectus
Signed by every person who is named therein as a director of the modaraba company prospectus : 11 prospectus Without copy and signed, prospectus cannot be registered
If it issue without copy and members know it then they will be liable to fine under section 32 of modaraba ord, which is Rs.100,000 and Rs.1000 per day if default continues. WINDING UP OF MODARBA COMPANY : 12 WINDING UP OF MODARBA COMPANY Winding up voluntarily
Winding up by the Tribunal Winding up voluntarily : 13 Winding up voluntarily Mutual consent of all the Directors
Make an appeal to SECP within 30 days of decision Circumstances in which Modarba may be wound up(sec23) : 14 Circumstances in which Modarba may be wound up(sec23) An application made by Registrar, where the Modarba was for
Completion of period
Unable to discharge liabilities
Losses of Modarba more than 50%
Business is being or has been, conducted for a fraudulent purpose Circumstances in which Modarba may be wound up(sec23) : 15 Circumstances in which Modarba may be wound up(sec23) note :
The Registrar cannot file an application for winding up by Tribunal, before giving the Modarba company an opportunity of being heard. LIABLITY OF DIRECTOR ,MANAGER OR OFFICER OF MODARABA : 16 LIABLITY OF DIRECTOR ,MANAGER OR OFFICER OF MODARABA 3 Years punishment and Rs.500,000 fine for (sec 31)
registration of modarbas
obligation of audit and accounts
Rs.100,000 and Rs.1000 per day
For violation of the provisions of Modarba Ord.