The Bangladesh Securities and Exchange Commission (BSEC) has launched an investigation into several BO accounts operated under Southeast Bank Capital Services Limited over allegations of possible stock market manipulation.

The move comes amid complaints of unusual trading activities and suspicious transactions in the capital market, prompting the regulator to intensify its surveillance efforts.

To protect investors’ interests and maintain market discipline, BSEC has formed a three-member investigation committee to examine the activities of several specific client codes and related BO accounts under the brokerage house. The committee has been instructed to submit a full report within 60 working days.

According to sources, the Inquiry and Investigation Department under BSEC’s Market Intelligence and Investigation Division recently issued an official order in this regard. The directive was also sent to the Managing Director of Southeast Bank Capital Services Limited.

The investigation committee will be headed by BSEC Additional Director Mohammad Rakibur Rahman. Assistant Director Lamia Akter and Md. Atikullah Khan have been appointed as members of the committee.

In its order, BSEC said it is necessary to identify the beneficiaries linked to client codes S11294, S11318, S11325, S20213, S20071, S11118, S11326 and S30005 under Southeast Bank Capital Services Limited. The regulator will also investigate allegations of market manipulation conducted through these accounts.

The committee has been formed under the authority of Section 21 of the Securities and Exchange Ordinance, 1969, and Section 17(a) of the Bangladesh Securities and Exchange Commission Act, 1993.

As part of the investigation, the committee will examine share transactions conducted through the BO accounts, the sources of funds, relationships among account holders and any possible collusion. Other beneficiaries linked to the client codes will also be identified.

Market insiders said BSEC has recently strengthened monitoring efforts following unusual price hikes and trading activities in several listed companies. Intelligence surveillance has also been intensified to detect coordinated share trading, artificial price inflation and activities of dishonest market syndicates aimed at misleading general investors.

Speaking to the media, BSEC Director and spokesperson Md. Abul Kalam said the investigation committee was formed to identify the beneficiaries associated with several client codes of Southeast Bank Capital based on various complaints.

“The committee will verify the allegations, and if any evidence of irregularities is found, the commission will take necessary actions in accordance with the law,” he said.

He added that the main objective of the investigation is to maintain discipline in the stock market, uncover irregularities and protect investors’ confidence.