B Mirror Report : The Bangladesh Securities and Exchange Commission (BSEC) has approved a draft regulation aimed at protecting whistleblowers who report irregularities, corruption, insider trading, and market manipulation in the stock market.

The approval was given at an emergency meeting of the commission held on Sunday (May 17), chaired by BSEC Chairman Khandaker Rashed Maksud. The new regulation, titled “Bangladesh Securities and Exchange Commission (Disclosure of Information Relating to the Capital Market and Protection of Informants) Regulations, 2026,” is expected to be published in the official gazette soon.

Earlier, the draft was published on the commission’s website for public feedback following approval in the 999th meeting held on February 17.

According to BSEC, the regulation aims to strengthen compliance with capital market laws and help prevent abuse of power, embezzlement, and money laundering.

Under the rules, officials and employees of market intermediaries registered with the commission, listed companies or SPVs, members of boards of directors and trustee boards, as well as auditors, will be considered eligible whistleblowers. They will be able to report violations or fraudulent activities through prescribed forms via direct submission, postal service, or electronic means.

The regulation ensures strict confidentiality of whistleblowers’ identities. It also prohibits any punitive or discriminatory action such as demotion, transfer, dismissal, harassment, or victimization against individuals who disclose information.

An additional director-level official will be appointed as the designated officer to receive and review complaints, maintain records, and prepare preliminary assessment reports. Verified complaints will be forwarded to the relevant investigation department for further action.

If allegations are found to be baseless or malicious, the case may be dismissed immediately. However, if confirmed, legal action and penalties will be imposed under applicable laws.

The rules also include provisions for financial incentives for whistleblowers. If penalties or fines are recovered based on provided information, the commission may award up to 25 percent of the recovered amount, with a maximum limit of Tk 10 crore.