The Bangladesh Export Processing Zones Authority (BEPZA) has urged the stockmarket regulator not to allow companies in EPZs to raise capital from the public without prior clearance from the authority.
Otherwise, it would give the companies the leeway to conceal authentic information from the public, BEPZA said in the letter to the Bangladesh Securities and Exchange Commission. “General investors may be affected or cheated by this.”
As per the BEPZA terms, it is mandatory for the companies to take a 'no objection certificate' before transferring shares to others.
Once BEPZA receives the share transfer proposal from a company, it evaluates the company's pervious performance in terms of investment, employment, import and liabilities and then gives the NOC.
But in recent times, it has been seen that some companies under EZPs were only informing the regulator days after the initial public offering process has been completed.
Besides, the BEPZA said the companies are operating in the EPZs' bonded area under its intensive care. “So, complexities may arise regarding dues with customs authority and financial institutions,” it explained.
A BSEC official said if there is any condition on taking prior NOC from the BEPZA to make public offering, then it should be complied with.