The Privatization and Corporatization Board (PCB) announced on Saturday that the newly sworn-in administration can commence the appointment of managing directors to state-owned companies only after a sufficient number of members have been appointed to their board to meet the quorum.
According to the constitution, managing directors for state-owned companies can be appointed once the PCB approves the names recommended by the President for these positions. These approvals are made in PCB meetings, and the administration cannot independently appoint managing directors for these companies.
Vice President of PCB Ahmed Firaaz told Mihaaru News that even though the law states their board should have five members to fit the quorum, they currently have three members. It has been three months since the board failed to meet quorum.
A total of seven members have to be on the board, according to the law.
“We can't go ahead with a board meeting. The PCB Act states that the quorum is five members. So, we can have a meeting with five members," he said.
The responsibility to appoint members to PCB falls on the President.
Even though PCB acts as an independent organization, their board has let go of the power that entails them to appoint managing directors for state owned companies. The PCB is set up so that they will be approving names recommended by the President to select the heads of companies. Even after 10 years of the board has been established, the regulations have not been changed by any board that came later on as well.
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