BSEC forms body to probe 'unusual' price hike of stocks

FE Report | Published: June 22, 2018 11:58:15 | Updated: June 24, 2018 11:51:39

The securities regulator has formed an one-member enquiry committee to probe into the 'unusual' and 'suspicious' transactions conducted by Commerce Bank Securities and Investment Limited.

The committee has been asked to submit its report within seven working days.

According to a news published on the website of Dhaka Stock Exchange (DSE) on Thursday, the company conducted unusual and suspicious transactions in favor of its clients and related parties.

Commerce Bank Securities and Investment, a DSE TREC (trading right entitlement certificate) holder, executed unusual and suspicious transactions on the shares of Monno Ceramic Industries, Monno Jute Stafflers, and some other companies.

An official at the Bangladesh Securities and Exchange Commission (BSEC) said the regulator has laid special importance on the investigation.

"That's why, the enquiry committee has been asked to submit its report within one week," he said.

Monno Ceramic Industries displayed a sharp rise in market price during May 30 to June 21, 2018.

The company's share trading closed at Tk 153.10 each on May 30 last.

Later, the company's market price rose 79.03 per cent or Tk 121 each in 13 sessions as of Thursday.

In response to a DSE query dated May 29 last, the company, however, informed that there was no undisclosed price sensitive information for the unusual price hike.

On Thursday, the share trading of Monno Ceramic closed at Tk 274.10 each with a rise of 8.73 per cent or Tk 22. On the day, the company was in the chart of DSE's top 10 gainers.

After May 24, the market price of Monno Jute Stafflers rose 80 per cent or Tk 1,534.3 to close at Tk 3,452.10 each on Thursday.

In response to a DSE query dated June 7 last, Monno Jute Stafflers also informed that there was no undisclosed price sensitive information for the recent unusual price hike.

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