The Bangladesh Securities and Exchange Commission (BSEC) has suspended the trading of Zeal Bangla Sugar Mills Limited from Tuesday (September 15) due to unusual trading and unusual price rise in its shares. The directive was issued in an order signed by BSEC chairman Prof Shibli-Rubaiyat-ul-Islam on Monday (September 14).
According to the order, shares of Zeal Bangla Sugar Mills Limited of Dhaka Stock Exchange Limited witnessed unusual transactions and price differences. The Commission feels that in the public interest, it is necessary to suspend the trading of Zeal Bangla shares on the Dhaka Stock Exchange Limited.
The Bangladesh Securities and Exchange Commission was directed to suspend the transaction in accordance with Section 8 of Section 9 of the Securities and Exchange Ordinance, 1989. The stock exchange, on the other hand, may suspend trading for 30 days in the first instance under section 8 of section 9 of the 1979 Act.
Sources said that the company has suspended the transaction due to abnormal price hike. Some unscrupulous investors have played a big role behind this. They have increased the share price of the company through serial trading. The commission has taken this decision so that the manipulated cycle cannot sell the shares at a high price.
On July 9, the share price of Jill Bangla was Tk 3.60. The share has risen to Tk 213.10 at the end of trading on 14 September. In other words, the share price has risen by Tk 161.50 or 584 percent in the last two months.
The retained earnings of the company are now negative 360 crore 8 lakh rupees due to such continuous losses. Everyone has forgotten the last time the company, which was listed in 1986, paid dividends. This information was not even found in the profile of the company on any stock exchange. The company survives only because of government funding.
Mentioned, the paid up capital of the Z category company is Tk 6 crore. Total shares 60 lakh. Of this, 51 per cent is with the government, 13.93 per cent with institutional investors and 35.06 per cent with general investors.