Crescent Star vows legal action over Tri-Star's market 'Misinformation'

November 14, 2025 (MLN): The corporate feud between Crescent Star Insurance Limited (CSIL) and Tri-Star Power Ltd. (TSPL) has intensified, with CSIL publicly rejecting what it calls "unfounded, defamatory, and misleading assertions" made by TSPL in a letter to the Pakistan Stock Exchange (PSX) dated November 3, 2025.

In a strongly-worded response addressed to the General Manager of PSX, CSIL's CEO & M.D, Naim Anwar, accused Tri-Star Power of attempting to "divert attention from [its] own long-standing governance lapses".

CSIL also reserved the right to seek legal redress for the alleged defamation and market misinformation under the Securities Act 2015.

CSIL's letter highlights several alleged governance failures and a lack of transparency on the part of Tri-Star Power Ltd:

• Failure to Hold Elections: TSPL has allegedly failed to hold elections and reconstitute its Board of Directors for several years, which CSIL claims contravenes the Companies Act 2017.

• Denial of Shareholder Rights: CSIL asserts that its authorized representatives were refused entry to the recent Annual General Meeting (AGM) despite presenting a valid Board Resolution, calling this a "serious violation of Section 132 of the Companies Act 2017".

  This act, CSIL states, reinforces concerns that TSPL is "systematically avoiding shareholder oversight".

• Lack of Transparency on NIT Units: CSIL points to the unresolved, long-standing issue regarding the National Investment Trust (NIT) Units reportedly seized in 1993, which continues to appear in TSPL's own Directors' Reports and financial statements.

  CSIL notes that TSPL has provided "no conclusive disclosure of the value, supporting documentation, or reconciliation with FBR/NIT".

In response to Tri-Star's accusations of "price manipulation, pump-and-dump practices, and margin trading," CSIL offered a clear defense:

• Share Acquisition: All share acquisitions by Crescent Star Insurance were conducted as open-market transactions through the Pakistan Stock Exchange.

• Statutory Compliance: CSIL confirms that all statutory disclosures under Section 110(1) were duly filed with both the PSX and the Securities and Exchange Commission of Pakistan (SECP).

• Defamation Warning: CSIL labeled the price manipulation accusations as "sweeping accusations" made "without producing a shred of evidence," which it warns constitutes defamation and market misinformation under the Securities Act 2015.

While maintaining an adversarial tone regarding the allegations, CSIL stated that its intent is "not adversarial but aimed at restoring good governance and compliance within Tri-Star Power Ltd.".

CSIL urged the Tri-Star Power Board to take the following remedial actions:

• Conduct fresh elections in accordance with the Companies Act 2017.

• Provide written clarification for the denial of access to the AGM.

• Disclose full details of the NIT Units matter, supported by all correspondence since 1993.

• Refrain from issuing defamatory statements without evidence.

CSIL concluded with a warning that failing remedial action, it would be "constrained to place these facts before PSX, SECP, and other competent authorities for appropriate proceedings".

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