HC stays fine on One Bank

The High Court has imposed a bar on a move by the Securities and Exchange Commission (SEC) to realise Tk 12 lakh in fine from the directors of One Bank.
The court also sought explanations from the capital market regulator on why the fine would not be declared illegal, according to a copy of the HC order received by The Daily Star yesterday.
A bench of Justice Syed Mahmud Hossain and Justice Farid Ahmed passed the stay order on August 28.
The HC order came after a petition was filed against the SEC move that fined 12 directors of One Bank Tk 1.0 lakh each for their alleged failure to submit an audited financial statement.
One Bank had been set to submit the statement for the year to December 31, 2007 to the SEC by May 11, 2008. But the bank failed to do so in time, according to the SEC.
The regulator, in its August 20 directive, also asked the One Bank directors to pay the fine in 15 days.
Lawyer Dr M Zahir defended the petitioners in court.