BSEC to carry out special audit on Safko Spinning

Bangladesh Securities and Exchange Commission has decided to carry out a special audit on Safko Spinning Mills as some irregularities have been unearthed.

The regulator also appointed four independent directors in the company to solve the problems of the company.

In a letter to the company's managing director on Sunday, the BSEC said it did not provide any dividend for the last two financial years.

On the other hand, it increased its paid-up capital by more than 80 per cent by issuing bonus shares in the stock market.

The spinner has also shown higher cost of goods than its sales. Apart from these, it has many other irregularities, which ultimately impede the development of the company, according to the commission's letter.

In this regard, the BSEC decided to run the special audit and appoint independent directors.

However, the company's stock price soared to Tk 33 on September 9, which was Tk 9 on April 29.

Today, it closed at Tk 28.8.