The Bangladesh Securities and Exchange Commission (BSEC) has asked the Bangladesh Bank to freeze all the bank accounts of all the directors, including the managing directors, of C&A Textiles Ltd and Tung Hai Knitting & Dyeing Ltd.
The stock market regulator issued a letter to the central bank in this regard on Tuesday.
The regulator took this decision at its commission's meeting recently, sources said.
Earlier, the commission fined both the companies' shareholder directors and managing directors for trading shares without making a declaration.
Rukshana Morshed, managing director of C&A Textiles Ltd, sold 79 lakh shares without a declaration and made Tk6.98 crore profit.
Also, its Shareholder Director Sharmin Akter Lovely sold 30 lakh shares without any declaration and made Tk3.61 crore profit.
Bangladesh Shoe Industries Ltd, another shareholder director of the C&A Textiles, also sold 0.13 crore shares without any declaration to make a profit of Tk1.59 crore.
These directors violated the commission's two directives, which were made on July 14, 2010, and November 22, 2011.
The company's operations were closed with the sale of these shares. They were also absent from the commission hearing in this regard. When the C&A did not reply to the Dhaka Stock Exchange's (DSE) queries, a DSE team visited the factory and found it under lock and key.
For violating the securities law, the commission fined Managing Director Rukshana Morshed Tk8 core, Shareholder Director Sharmin Akter Lovely Tk4 crore and the Bangladesh Shoe Industries Ltd Tk2 crore.
The penalised directors cannot remain as directors of any other listed companies.
For violating the securities law, the commission also fined all the directors of C&A Textiles, except the independent ones, Tk1 crore each.
The company also failed to submit its monthly shareholding report as per law from August 2017 to August 2018.
The company was listed on both the stock exchanges in 2015.
Meanwhile, Tung Hai Knitting & Dyeing also failed to submit its monthly shareholding report.
The company also did not reply to the DSE's query letter. Later, a DSE team visited the factory but found it locked down.
For violating the securities law, the commission then fined each of the company's directors, excluding the independent ones, Tk1 crore. Directors who were fined will not be able to serve as directors at any other listed company.
The company was listed on both stock exchanges in 2014.