The Bangladesh Securities and Exchange Commission (BSEC) has fined each director of Intech Limited Tk25 lakh for breaching securities rules.
However, the individuals and nominated directors will remain out of the punishment purview, according to a press release on Tuesday undersigned by Md Saifur Rahman, executive director and spokesperson of the BSEC.
According to the release, the company discussed the expansion of its business in different sectors at its annual general meeting as an agenda. However, it did not disclose any price-sensitive information about resort and fisheries projects.
Additionally, the company did not disclose any such information about new investments in different sectors as well as its withdrawal of older investments.
Meanwhile, the commission also fined another company – Al-Faruque Bags Ltd – over irregularities before coming to the stock market – as well as its two issue managers and an auditing firm.
According to the release, the company, the issue managers and the auditing firm violated the Public Issue Rules 2015.
The commission, as a result, fined the company Tk10 lakh; the two issue managers of BMSL Investment Ltd and IIDFC Capital Ltd Tk5 lakh, each; and the auditing firm Artisan Chartered Accountants Tk2 lakh.
According to the release, Al-Faruque Bags Ltd issued a Corporate Governance Code (CGC) Compliance Certificate through Artisan Chartered Accountants, a statutory auditing firm – instead of through a separate auditor.
That certificate was included in the IPO related prospectus of the company.
However, the issue manager certified that all the information included in the company's IPO prospectus was correct.