The Bangladesh Securities and Exchange Commission (BSEC) has fined three individuals and four companies Tk 1 crore 82 lakh on the charges of stock price manipulation. These individuals and institutions have been fined in the last two months. Legal action will be taken if the penalty is not deposited within 30 days as directed by the commission.
According to the BSEC, only Snigdha Equities Ltd was fined Rs 1 lakh last July for violating the Securities Act. In this regard, the organization formed an inspection committee on October 23 last year. And in June, the remaining three individuals and three organizations were fined.
According to the information, the Dhaka Stock Exchange (DSE) conducted search activities related to the shares of Mercantile Insurance Company Limited from July 27, 2020 to November 24 of that year. Allegations of irregularities in share transactions have been found against the entrepreneurial director of the company, Nuzhat Nahar Trisha. In this context, he has been fined 10 lakhs.
From April 2, 2017 to July 12 that year, the BSEC conducted an investigation into the share transactions of Regent Textile Mills Limited. Irregularities are observed affecting the company’s share price through series transactions. After seven years in this regard, Dr. Abdul Quader has been fined one lakh taka by BSEC.
From April 27 to August 28 last year, DSE conducted an inquiry regarding the shares of Himadri Limited. According to the investigation report, allegations of irregularities have been found against Rafiqul Bari, M/s AR Traders, M/s AB Bricks and Munir Traders in influencing the share price. In view of this, BSEC fined them a total of Tk 1 crore 70 lakh. Md. Rafiqul Bari and M/s AR Traders were fined Tk 1 crore, Avi Bricks Tk 60 lakh and Munir Traders Tk 10 lakh.
Meanwhile, 32 companies have been warned in the past two months for violating securities laws. Among them are Delta Capital, Dhaka Bank Securities, Razzak Securities, Rimon Investment and Securities, Samata Leather Complex, Fu Wang Ceramic Industry, Confidence Cement, Meghna Cement Mills, GSP Finance Company, Island Securities, Haroon Securities, Dayton Holdings, Mohammad Talha and Securities. . Co., FAS Finance and Investment, Legacy Footwear, Aramit Cement, Globe Securities, MAH Securities, Azam Securities, Royal Capital, UCB Stock Brokerage, Hedayatullah Securities, Unicup Securities, Mast Communications and ANF Management Company have been warned by the BSEC.
On the other hand, BDV Asset Management Company, Al-Haja Jahanara Securities Limited, Mika Securities, Mashihar Securities, Dhaka Bank Securities, CMCL Securities, InvestAsia Capital and Asset Management and Popular Life Insurance Company were warned by BSEC last June. These houses have been asked to comply with securities laws in future.
