ISLAMABAD, WEDNESDAY, MAY 31, 2017

PART I
Acts, Ordinances, President’s Orders and Regulations
NATIONAL ASSEMBLY SECRETARIAT
Islamabad, the 30th May, 2017
No. F. 22(40)/2016-Legis.—The following Act of Majlis-e-Shoora
(Parliament) received the assent of the President on the 30th May, 2017 is hereby
published for general information:—
ACT NO. XIX OF 2017
AN
ACT
to reform and re-enact the law relating to companies and for matters
connected therewith
WHEREAS it is expedient to reform company law with the objective of
facilitating corporatization and promoting development of corporate sector,
encouraging use of technology and electronic means in conduct of business and
regulation thereof, regulating corporate entities for protecting interests of
shareholders, creditors, other stakeholders and general public, inculcating principles
of good governance and safeguarding minority interests in corporate entities and
providing an alternate mechanism for expeditious resolution of corporate disputes
and matters arising out of or connected therewith;
It is hereby enacted as follows:—

(181)
Price: Rs. 272.50
[741(2017)/Ex. Gaz.]
PART I] THE GAZETTE OF PAKISTAN, EXTRA., MAY 31, 2017 613

5. Any report by auditors required by section 2 of the statement, shall

be made by auditors qualified under the Act for appointment as auditors of a
company.

THIRD SCHEDULE
(Section 224 of the Act)
Classification of Companies
Relevant
Applicable
S. Classification Criteria of Company Schedule of
Accounting
No. Companies
Framework
Act
1. Public Interest Company (PIC)
Sub-categories of PIC:
a) Listed Company International Fourth
Financial Schedule
Reporting
Standards
b) Non-listed Company which is:
(i) a public sector company as
defined in the Act; or
(ii) a public utility or similar company
carrying on the business of
essential public service; or
(iii) holding assets in a fiduciary
capacity for a broad group of International
outsiders, such as a bank, Financial
Fifth
insurance company, securities Reporting
Schedule
broker/dealer, pension fund, mutual Standards
fund or investment banking entity.
(iv) having such number of members
holding ordinary shares as may be
notified; or
(v) holding assets exceeding such
value as may be notified.
2. Large Sized Company (LSC)
Sub-categories of LSC
a) Non-listed Company with:
(i) paid-up capital of Rs.200 million
International
or more; or Fifth
Financial Reporting
(ii) turnover or Rs. 1 billion or Standards
Schedule
more; or
(iii) Employees more than 750.
b) A Foreign Company with turnover of
Rs. 1 billion or more.
c) Non-listed Company licenced/formed International Fifth
614 THE GAZETTE OF PAKISTAN, EXTRA., MAY 31, 2017 [PART I

under Section 42 / Section 45 of the Financial Reporting Schedule

Act having annual gross revenue Standards and
(grants/income/subsidies/donations) Accounting
including other income / revenue of Standards for NPOs
Rs.200 million and above.
3. Medium Sized Company (MSC)
Sub-categories of MSC:
a) Non-listed Public Company with:
(i) paid-up capital less than Rs.200
million;
(ii) turnover less than Rs. 1 billion;
(iii) Employees more than 250 but
less than 750.
b) Private Company with:
(i) paid-up capital of greater than
Revised AFRS for Fifth
Rs. 10 million but not exceeding
SSEs Schedule
Rs. 200 million;
(ii) turnover greater than Rs. 100
million but not exceeding Rs. 1
billion;
(iii) Employees more than 250 but
less than 750.
c) A Foreign Company which have
turnover less than Rs. 1 billion.
d) Non-listed Company licenced/formed
under Section 42 or Section 45 of the
Accounting
Act Which has annual gross revenue Fifth
Standards of
(grants/income/subsidies/donations) Schedule
NPOs
including other income or revenue
less than Rs.200 million.
3. Small Sized Company (SSC)
A private company having:
(i) paid-up capital up to Rs. 10
million;
Revised AFRS for Fifth
(ii) turnover not exceeding
SSEs Schedule
Rs.100 million;
(iii) Employees not more than
250.

NOTE:

1. The classification of a company shall be based on the previous

year’s audited financial statements.

2. The classification of a company can be changed where it does not

fall under the previous criteria for two consecutive years.