16 persons, 3 firms fined Tk 2.29cr

The Bangladesh Securities and Exchange Commission (BSEC) has fined 16 individuals, including three stockbrokers, and three firms a total of Tk 2.29 crore for manipulating share prices of eight listed companies.

The regulator also warned another 17 individuals for their connection with the manipulation. The decisions came in a commission meeting on Tuesday chaired by M Khairul Hossain, chairman of the BSEC.

In the commission meeting, the BSEC asked its enforcement division to make void or issue a stay on the stock broker licence of Shyamol Equity Management as the broker still kept Tk 9.56 crore deficit in clients' consolidated accounts.

The BSEC in a statement said Md Saiful Islam, the then assistant vice president of Commerce Bank Securities, was fined the highest Tk 50 lakh as he was directly involved in manipulating share prices of Monno Jute Stafflers, Legacy Footwear, Bangladesh Auto Cars, Queen South Textiles, Alif Industries and Eastern Lubricants.

Two other officials of securities firm, Mohammod Saiful Islam, vice president of the stock broker, and Abdul Halim, head of investment, were also fined Tk 25 lakh each. The commission also fined Md Ali Monsur Tk 10 lakh, Mukul Kumar Shaha Tk 1 lakh, and his wife Lipika Saha Tk 2 lakh, Padma Glass Limited Tk 5 lakh, Rahmat Metal and Industries Tk 2 lakh, Abdul Kaium Tk 5 lakh, Moriom Nessa Tk 5 lakh and M/S Kaium And Sons Tk 5 lakh for manipulating share prices of the companies.

Mostafa Helal Kabir, deputy managing director of Popular Life Insurance, and his wife Fowjia Iasmin were fined by Tk 10 lakh each. Another insurance official, Shahadat Hossain, was fined Tk 50 lakh for insider trading of the life insurance company.

The regulator fined Md Idmoon Guda and Md Mahmuduzzaman Tk 2 lakh each for their involvement in manipulation of share price of Stylecraft.

For price manipulation of Monno Jute Stafflers, the BSEC fined Saif Ullah Tk 10 lakh, Abdus Selim Tk 5 lakh and Md Ziaul Karim Tk 5 lakh.