Allegations of various irregularities and illegal activities have been made against Brokerage House Moshiur Securities Limited, a member of Dhaka Stock Exchange (DSE), the main capital market of the country. As a result, the capital market regulator Bangladesh Securities and Exchange Commission (BSEC) has formed a 5-member investigation committee to look into the position of the company in the interest of investors.
The members of the investigation committee are – BSEC Deputy Director Emdadul Haque, BSEC Assistant Director Maruf Hasan, BSEC Assistant Director Amit Kumar Saha, DSE Manager Mohammad Ikram Hossain and CDBL Deputy Manager Sharif Ali Irteza. The committee has been directed to complete the investigation and submit the report within 45 days.
According to BSEC sources, the meeting approved the draft letter of blocking the bank accounts of the directors, managing director and CEO of Moshiur Securities Limited to stop the bank transfer and withdrawal of their bank accounts. Besides, the draft letter prepared with the special branch of the police to block their BO accounts and ban foreign travel was also approved.
According to BSEC, all the conditions of the Commission issued on 22 March 2022 will be imposed on Moshiur Securities Limited.
It is alleged that the same bank account and mobile number have been used by several BO accounts opened by Moshiur Securities Limited. In addition, there are more serious charges against the company, including using more than three consolidated customer accounts without prior approval and not keeping share purchase and sale instruction slips as per the Securities and Exchange Rules and BSEC guidelines. As a result, the BSEC directed the brokerage house to rectify the violation by the end of 2022. However, the company violated securities laws.
The committee of BSEC will investigate whether there is any transaction in the capital market through the directors, CEO, authorized representatives and other employees of Moshiur Securities Limited. Besides, cash withdrawals of integrated customer accounts, active BO accounts, position of track holders and customer complaints will also be taken into account in the BSEC probe.
