DSE sues Banco Securities

The Dhaka Stock Exchange (DSE) has filed a case against Banco Securities on discovering a shortfall of Tk 60 crore in its consolidated customers' account.

Such accounts are meant to hold money which investors provide to a brokerage house to do trade with on their behalf. Whatever transactions made are supposed to add up in the balance.

The case was filed with Motijheel Police Station on Monday night, confirmed a top DSE official.

Earlier in the day, the premier bourse suspended Banco's trading activities on deciding upon it at a board meeting.

A DSE investigation on the brokerage firm is ongoing.

Preliminary findings were sent to the Bangladesh Securities and Exchange Commission (BSEC) and the stock market regulator recommended to suspend the trading and filing a case.

The regulator also asked to inform the relevant government authorities to bar top officials of the firm from going abroad.

Earlier on November 16, 2020, the BSEC barred Banco from subscribing to the initial public offering of Robi Axiata on finding that it had got deals in advance for trading Robi's shares.

Banco Managing Director Shamiul Islam could not be reached for comment as his cellphone was found switched off by the time this report was filed yesterday.