Owner of Crest Securities House Mohammad Shahid Ullah has allegedly absconded by selling shares of its client accounts, sources said.
The management of the Crest Securities closed its two more branches, including the main branch at Paltan in the capital Dhaka, as planned way. Besides, all the officers of his organization shutdown their mobile phone numbers of the employees. His number was found blocked when contacted by Business Mirror.
Checks issued by Crest Securities last week were dishonored and returned to investors’ banks, sources said.
Hundreds of investors started gathering in front of the house from yesterday morning to find out the reason for the check being dishonored. But they found all the branches of Crest Securities are locked, the investors called Shahid Ullah and other officials and employees but all their numbers were closed.
Kazi Aminul Islam, an aggrieved investor, said, “I have been trading shares through this house in Paltan for many years.”
Like others, I came yesterday morning like every day and saw that the house was closed. It was locked.
“Many investors are crowded in front of the house. Seeing this situation, I immediately called the number of the MD of the house But I got the number off. Later we went to MD’s house number 5 in Dhanmondi. But when I went there, I saw that there has no furniture in his house” Raihan Alam another Crest client said share worth over 50 lakh got stuck.
Shakil Rizvi, president of the DSE Brokerage Association (DBA), told Business Mirror that there is nothing to disappoint investors here. “If the MD of Crest Securities flee out of the country with the money. If that is true, then you have to look at the liquid balance of the house in the bank first. Depending on it, action has to be taken, he said. Adding that, now DSE can take necessary action by locking their account. In that case, investors have to complain to the DSE.
Kazi Shanaul Haque, managing director of the Dhaka Stock Exchange (DSE), told Business Mirror that if the allegations against Crest Securities were true, we would take legal action. In the event of such an incident, all the assets of the organization are sold and the money is returned to the investors. If the incident is true then we will proceed with the legal process.
Md Saifur Rahman, executive director and spokesperson of the Bangladesh Securities and Exchange Commission (BSEC), told the Daily Stock Exchange that investors could file a complaint under the Securities Act if the allegations were made by Crest Securities officials. In this case, the investors have to complain to the DSE first. If you complain to our BSEC, we will take necessary action later. However, no complaint has been received so far.
Meanwhile, Crest Securities has a total of 3 branches. Their main branch is 58, Purana Paltan (3rd floor) Motijheel, Taka, second branch: 36 Johnson Road (Raisaheb Bazar), Dhaka and third branch: K. R Complex (2nd Floor), A-06 Link Road, Dhaka.