- With a view to saving valuable foreign exchange, maintaining security and providing employment opportunities, it was considered in the best interest of the country to establish a Paper Mill to make Pakistan self-sufficient in its requirements of highly specialised paper for printing of banknotes and other security documents.
Consequently, a new Company "Security Papers Limited" was established and registered on the 8th December, 1965 under the Companies Act, 1913 (now Companies Ordinance, 1984). In accordance with the Memorandum of Under-standing signed on the 27th June, 1967 by the Partners of R.C.D. (flow called "Economic Cooperation Organisation"), Iran and Turkey agreed to subscribe to the capital of the Company to the extent of 10% each. This project has the unique distinction of becoming the first joint venture of the R.C.D. which started production in April 1969.
Security. Papers Limited is a prestigious organisation and manufactures paper of the highest quality with portrait watermark conforming to international standards of security. It uses 100% indigenous raw materials consisting of cotton textile wastes abundantly available in Pakistan. With the initial technical assistance provided by M/s. Portals Limited (U.K.) the Company has developed technical skills of a very high order and is manned by Pakistanis wholly and independently. It has successfully met the requirement of paper needed by the Pakistan Security Printing Corporation for printing of currency/banknotes, prize bands, non-judicial stamp papers, share certificates etc. Set up at a cost of Rs. 31.245 million the Company has a record of flawless performance throughout and presently the financial position of the Company is very strong as is evident from the following figures as an 30th June, 1990: Paid up capital at Rs. 30.360 million, free reserves at Rs. 71.421 million and current assets at Rs. 87.023 million. The initial paid up capital of Rs. 12.500 million increased to Rs. 30.360 million on 30.6.1990 and by the issue of 6th Bonus Shares to the shareholders it will further increase to Rs. 33.396 million. In addition, the Company has been regularly paying cash dividend to its shareholders since 30.6.1970 and todate it has paid a sum of Rs. 28.35 as a return on the investment of Rs. 10/.
Composition of the issued and paid-up capital of the Company is as follows:
- Pakistan Security Printing Corporation (40%),
- Turkiye Seluloz Ve Kagit Fabrikalari, Istanbul, Turkey (10%),
- Industrial Development & Renovation Organisation of Iran, Tehran, Iran (10%) and
- Ggeneral public including institutions in Pakistan (40%).
Management of the Company vests in the Board of Directors who exercise powers as envisaged in the Companies Act, 1913 (now Companies Ordinance, 1984) and prescribed in the Articles of Association. The Board consists of 10 Directors who are appointed in the following manner: four Directors nominated by P.S.P.C., one Director nominated by SEKA (Turkey), one Director nominated by IDRO (Iran) and four Directors elected by general shareholders for a term of three years.
Contributed by: Security Papers Limited, Karachi
To commemorate the occasion Pakistan Post Office is issuing a commemorative postage stamp of Rs. 3/- denomination on December 8, 1990.