Dhaka, June 20 (BDNEWS) – The Securities and Exchange Commission (SEC) fined Dhaka Bank Ltd for violating securities law and warned two Non-Bank Financial Institutions (NBFIs) to comply with the regulations of SEC, official sources said Monday.
The sources said the commission at a meeting held on June 16, 2005 decided to fine the bank Tk one lakh for violation of the securities law.
The Dhaka Bank as a brokerage house of the two bourses did not abide by its clients' selling orders. Later, the clients withdrew their orders due to the bank's delay.
The clients are Dhaka Bank Ltd chairman Rukhsana Zaman and its director Abdul Wahid.
The commission also decided to issue warnings against directors of Finix Insurance Company Ltd Bazlur Rahman and Wahidur Rahman, and Managing director of Karnaphuli Insurance Company Ltd for not disclosing price sensitive information to public.
Besides, the commission confiscated the application and money of Syed Anwar Hossain, a share allottee of Exim Bank, because of his alleged opening of two accounts in two names.
The money will be deposited to the Investors Security Fund of the DSE, sources said.
SEC chairman Mirza Azizul Islam told BDNEWS that the steps were a part of strengthening monitoring and compliance in the capital market.
The SEC also cancelled the registration of SK Moinuddin as an authorised representative of Dhaka Bank.
BDNEWS/1826 hrs
