The Securities and Exchange Commission of Pakistan has approached 30 banks for records as part of its SE Fruits IPO probe into the halted initial public offering of SE Fruits and Vegetable Limited.
The regulator has also sought export records from seven banks. It wants details of foreign remittances, export proceeds and other foreign exchange transactions in accounts belonging to the company’s sponsors and directors.
ProPakistani reported that some banks have already submitted their responses, and those replies are now under review.
SE Fruits IPO probe: why the offering was stopped
SE Fruits and Vegetable Limited, formerly known as Shaheen Enterprises, had planned to raise up to Rs1.92 billion through an offering of 30 million shares at Rs40 each.
The SECP halted the IPO in October, after concerns were raised over the company’s financial information and its audit. The company then withdrew the offering. The regulator’s investigation has continued since then, covering the company’s financial records, banking transactions and shareholder information.
The probe was launched on October 21 under Section 29 of the SECP Act, 1997, read with Section 139 of the Securities Act.
Who the regulator has heard from
The investigation team has received information from the IPO’s joint lead managers, Topline Securities and Growth Securities. The response submitted by the consultant, Parker Russell A.J.S., is also being examined.
The Central Depository Company provided an investor list, and was then asked to submit shareholder records and transfer histories for individuals named in the prospectus. The CDC submitted a partial response on November 2, which remains under review.
The company’s auditor, Ilyas Saeed and Co., asked for more time to provide the required information and records. The SECP approved the extension.
A different outcome from this week’s other IPO
The SE Fruits case stands in sharp contrast to the listing that did go ahead this week. Abhi, the financial technology firm, raised Rs2 billion in its IPO and completed its listing, in a deal of almost exactly the same size as the one the SECP stopped.
The comparison shows the regulator drawing a line in practice. A listing that passes scrutiny reaches the market. One whose financial information and audit raise questions is halted, even after the prospectus has been prepared and the book-building machinery is in place.
That matters for retail investors, who rely on the prospectus and the audit to judge a new listing. The SECP’s bank-record requests go to the heart of the case: whether the export proceeds and foreign exchange flows behind the company’s accounts match what was disclosed.
What happens next
The investigation is still open. The SECP is examining the banking responses it has received, the consultant’s reply, the CDC’s partial shareholder records, and the auditor’s material once it arrives.
No findings have been announced, and no one has been charged. The company has withdrawn the offering, so there is no live IPO for investors to subscribe to while the probe runs.
For the market, the case is a reminder that the listing pipeline is being watched closely. A solar company is pursuing a PSX merger through a special purpose vehicle, and National Grid raised Rs100 billion through a sukuk last month, so new paper continues to reach investors. The SE Fruits halt shows that scrutiny applies before the money is raised, not after.
The wider market has been strong. The KSE-100 gained 1,455 points in early November, and new listings have drawn attention from investors looking for fresh exposure. That makes the regulator’s gatekeeping role more important, not less, because a rising market brings more companies to the door.
Frequently asked questions
Which company’s IPO is the SECP investigating?
SE Fruits and Vegetable Limited, formerly known as Shaheen Enterprises. It had planned to raise up to Rs1.92 billion by offering 30 million shares at Rs40 each.
Why did the SECP halt the IPO?
The regulator raised concerns over the company’s financial information and audit. It halted the IPO in October, and the company then withdrew the offering.
What has the SECP asked the banks for?
It has sought export records from seven banks and approached 30 banks for details of foreign remittances, export proceeds and other foreign exchange transactions in accounts of the company’s sponsors and directors.
When did the investigation begin?
On October 21, 2026, under Section 29 of the SECP Act, 1997, read with Section 139 of the Securities Act. The Central Depository Company submitted a partial response on November 2, and the company’s auditor has been given more time to provide its records.
