The Bangladesh Securities and Exchange Commission (BSEC) has fined seven officials of Khan Brothers PP Woven Bag Industries Limited, including the company’s chairman, a total of Tk 14 million over alleged share price manipulation and violations of securities laws.

The decision was taken at the 1,014th commission meeting held on May 19 at the BSEC headquarters, chaired by BSEC Chairman Khondoker Rashed Maqsood, according to a press release issued on Thursday.

BSEC said the penalties were imposed for providing false information in the company’s audited financial statements for the fiscal year ended June 30, 2023, which constituted a violation of securities regulations. The fines will be treated as personal liabilities of the penalized individuals.

Under the penalties, Chairman Mohammad Enamul Kabir Khan was fined Tk 2.5 million, Managing Director Tofayel Kabir Khan Tk 2.5 million, Director Md. Ruhul Kabir Khan Tk 2.5 million, Director Hazrat Ali Tk 2.5 million, Director Zarin Kabir Khan Tk 2.5 million, Chief Financial Officer Md. Azizul Jabbar Tk 1 million, and Company Secretary Tapas Kumar Sarkar Tk 0.5 million.

According to relevant sources, the investigation found evidence of misleading and inaccurate disclosures in the company’s audited financial reports, leading to the regulatory action.