BSEC fines four firms, officials Tk 1.09 crore over irregularities

The
Bangladesh Securities and Exchange Commission (BSEC) has fined four firms and
several of their officials Tk 1.09 crore for securities law violations and
fraudulent activities in the stock market.
The firms
are NBL Securities Limited, Gibson Securities Limited, UCB Stock Brokerage
Limited, and Khulna Printing & Packaging Limited.
Following
a client complaint, the BSEC found that NBL Securities failed to maintain
buy-and-sell order slips and executed trades without client consent.
The client
had filed a complaint with the Dhaka Stock Exchange (DSE) alleging his shares
were sold without approval, but NBL Securities failed to resolve it within the
stipulated 30-day period.
The
regulator subsequently fined the firm Tk 10 lakh, former Managing Director
Zobayed Al-Mamun Hasan Tk 5 lakh, and former chief anti-money laundering
compliance officer and assistant vice president Farzana Ferdausi Tk 3 lakh —
bringing the total to Tk 18 lakh.
The BSEC
also found evidence of fraud by UCB Stock Brokerage against client Md Ayub Ali.
A DSE
inquiry committee revealed that the brokerage regularly sent fake portfolio
statements to Ali’s registered email while concealing actual portfolio
information. Genuine statements were sent until August 24, 2022, but fake ones
continued until July 18, 2024.
Ali’s
mobile number was also intentionally altered so he would not receive CDBL
notifications, leaving him unaware of trading activity in his account.
The BSEC
described the use of a personal employee email to send fake statements as “a
serious offence.”
Although
the brokerage claimed Ali’s employee, Saiful Hasan was responsible, the DSE
found he was not an authorised person and had not been granted power of
attorney over the account.
UCB Stock
Brokerage was fined Tk 30 lakh; Managing Director and CEO Mohammed Rahmat Pasha
and official Md Sahiduzzaman Tk 15 lakh each; and Compliance Officer Md Rafiqul
Islam and official Abdul Ahad Sheikh Tk 3 lakh each — totalling Tk 66 lakh.
The BSEC
found that Khulna Printing & Packaging Limited had incurred losses for
three consecutive years, failed to declare dividends, accumulated retained
earnings deficits exceeding paid-up capital, and had not paid DSE listing fees
for over three years.
It also
failed to submit required reports and financial statements since 2022, kept
production shut without disclosure, and left key governance positions vacant.
The
commission fined Chairman SM Amzad Hossain, Directors Md Amzad Hossain and Khan
Habibur Rahman, Managing Director Sufia Khatun, CFO Md Ezaz Uddin, and Company
Secretary Milan Khan Tk 4 lakh each, totalling Tk 24 lakh.
The BSEC
also fined Gibson Securities Limited’s Managing Director Mohammad Gulam Mustafa
Tk 1 lakh for violating securities laws.
















