B Mirror Report:  Ring Shine Textile Limited, a textile sector company listed on the stock market, has failed to pay nearly Tk 240.96 crore ($20.08 million) in outstanding dues to BEPZA against land allocated to it in the Dhaka Export Processing Zone (Dhaka EPZ). Despite repeated requests to clear the dues, the company has delayed payment, which BEPZA considers contrary to national interest. In this context, the company has been instructed to explain in writing within seven days why the lease of plots No. 157–163 in Dhaka EPZ should not be canceled. BEPZA authorities have clearly stated that if a satisfactory response is not received, the lease will be canceled without further notice.

According to BEPZA’s letter, Ring Shine’s outstanding dues stood at approximately Tk 194.39 crore ($16.19 million) as of January 25. In contrast, the company’s deposited security amounts to only Tk 3.06 crore, meaning the outstanding dues are more than 63 times higher than the deposit. Although the company repeatedly promised to clear the dues, it failed to do so. Most recently, on May 17 last year, it paid only Tk 36 lakh, which constitutes a clear violation of the lease agreement.

The dispute over the dues has also reached the High Court. After Ring Shine Textile filed a writ petition against BEPZA’s decision, the court ordered the company to pay Tk 24 crore ($2 million) within four months. However, the company failed to comply with the court’s order, leading the High Court to dismiss its writ petition. Earlier, several show-cause notices were issued in 2024 and 2025, but the company did not take any effective steps to settle the dues.

Meanwhile, in addition to the lease cancellation risk, the stock market regulator BSEC has rejected Ring Shine’s request to release Tk 12 crore ($1 million) from its IPO funds, as the company failed to obtain the necessary shareholder approval. Furthermore, an investigation committee found evidence of major financial irregularities in the company’s capital increase of about Tk 275.10 crore through private placement. The commission has decided to take legal action against those involved in the irregularities.

Ring Shine Textile, listed on the stock market in 2019, is currently in the ‘Z’ category. Of its Tk 500.31 crore paid-up capital, general investors hold 58.38 percent of the shares. Due to leaving the EPZ plots unused for a long time and accumulating massive unpaid dues, the company is now facing an existential crisis, raising serious concerns among general investors.