TOO 2007 termed as 'black and draconian' law

LAHORE - Trade leaders, chambers of commerce and industry, members of trade unions and business associations from across the country termed the Trade Organizations Ordinance (TOO) 2007 as 'black and draconian law that was promulgated by former President Gen (r) Pervez Musharraf and demanded the federal government to repeal this ordinance immediately.
They also passed a resolution unanimously during an urgent meeting on abolishment of Trade Organizations Ordinance 2007 held here at Federation of Pakistan Chambers of Commerce and Industry (FPCCI) on Wednesday to press the govt to abolish the draconian law (TOO 2007).
This resolution was unanimously passed by the representatives of the Punjab and NWFP based Trade Associations and Chambers including Lahore, Faisalabad, Sialkot, Rawalpindi, Multan, Islamabad, Sargodha, Peshawar, Mardan, and Chairmen of various trade bodies.
The meeting was held under the Chairmanship of Tariq Sayeed, while Iftikhar Ali Malik Vice President SAARC Chamber of Commerce and Industry, Main Muhammad Adrees Regional Chairman FPCCI Punjab, Hameed Akhter Chadda Vice President FPCCI and other prominent business leaders were also present on this occasion.
The trade leaders said that in order to do away with the multiplicity, overlapping and over rule of establishment regulating trade bodies, Trade Organizations Ordinance, 2007 must be scrapped straight away as it is surrounded by many anomalies and negation and creates adversity in smooth functioning and development of Trade Organizations in the country.
There should be only one regulatory body, the Securities and Exchange Commission of Pakistan (SECP) which is operating as per Cos Ordinance 1984.
Tariq Sayeed Chairman of the Businessmen Panel and Former President FPCCI while addressing the meeting said that the Trade Ordinance 2007 is in violation of Article 17 of the Constitution of Pakistan, which ensures the right of every national to figure out associations or unions focusing on reasonable restrictions imposed by law in the interest of the sovereignty or integrity of Pakistan, morality or public order. He further disclosed that this sort of over regulatory classification is not being implemented in any place of the world except Pakistan. He also elaborated that there were 150 trade bodies recorded under the earlier Ordinance 1961 and under the new TOO 2007 about 133 licenses have already been released to trade bodies while other applications are in progress.
It took almost three years to all trade bodies to get themselves again registered under the TOO 2007 and as such it has served no purpose, except diverting them to go through a cumbersome and exhaustive procedure. The operations of DGTO such as issuance of trade licenses, compliance of accounts, balance sheet, election results, resolution of disputes etc are catered by SECP as well.
Tariq Sayeed expressed his displeasure over the provision of renewal of license or re-registration after every three years is very cruel and tantamount to discouraging the trade organizations as no other representative organization such as Pakistan Medical Association, Chartered Accountants Association, Lawyers / Bar Association, Political Parties etc, is regulated under such commandment.
Speaking on this occasion, Iftikhar Ali Malik Vice President SAARC CCI said that TOO is hampering the business activities and is only creating hurdle to dishearten the business activities. He said that this unnecessary and black law has contributed to closure of Chambers of small cities, rural and remote areas.
He demanded the government to provide level playing field to the business community to flourish the industry. Only transparent wisdom and its implementation can assure to build up confidence level between business community and govt, Iftikhar Ali Malik added.
He further said that nobody should interfere into the matters of trade bodies and the business community should be given free and business friendly that would help flourish the national economy.
FPCCI Regional Chief Main Muhammad Adrees elaborated that incorporation of FPCCI member bodies with SECP is mandatory, which regulates them through a well-defined organizational procedure and system in the presence of SECP.
It is very complicated parameter to pay heavy fees after every three-year for the renewal of registration of any organisation and show off the membership in the manner, which is described in this law. Already, the industry is confronting several challenges on various fronts therefore, such black laws should not be imposed on trade bodies and chambers as well in the best interest of country, he maintained. There is no need for any other parallel set-ups and the government should improve the existing infrastructure and system, he added.