The Bangladesh Securities and Exchange Commission (BSEC) has asked Bangladesh Bank to freeze all types of bank accounts of Shurwid Industries Ltd and its directors (without independent director).
The BSEC sources said that the commission earlier decided to close the Beneficiary Owner's (BO) accounts of the company. But now, the commission is asking the central bank to freeze all the personal bank accounts of the directors of Shurwid Industries.
The commission has taken this decision after the company submitted a false dividend disbursement report.
According to a directive on Tuesday, the BSEC asked the Central Depository Bangladesh Ltd and its depository participants to freeze all types of securities in BO accounts directly or indirectly owned by the sponsors, directors, managing director, chief executive officer, chief financial officer and company secretary of Shurwid Industries Ltd until further order.
Stock exchanges have been directed to investigate the entire affairs of the company, inspect its offices and factory premises, and submit reports to the regulator within seven working days.
The securities regulator is also going to appoint a special auditor to deeply scrutinise the accounts and disclosures of the company.
On January 29, the company reported that it had already disbursed all the cash dividend warrants for the fiscal year that ended on June 30, 2019.
Later, a number of shareholders complained to the regulator that they did not receive any dividend, and the regulator found it to be true.
There is widespread malpractice nowadays where some listed companies send cash dividend warrants through courier services and the courier firms somehow do not deliver these to the investors. So, the investors keep knocking for their dividends and suffer delays.
The Business Standard made phone calls to reach Shurwid Industries Chairman Engineer Mahmudul Hasan, but he did not reply.
The company, listed on both the stock exchanges in 2014, has been creating hardship for its shareholders since the beginning.