SEC resets Dec 31 as deadline for renewal of BO accounts
Monday, 6 October 2008
FE Report
The Securities and Exchange Commission (SEC) has extended the deadline for renewing the existing beneficiary owners' (BO) account upto December 31 this year.
The decision came at a 'commission meeting' held Sunday with SEC chairman Faruq Ahmad Siddiqi in the chair.
"The commission allowed the three-month extension for regularising the BO accounts taking into account the interest of the investors," Farhad Ahmed, executive director of the commission, told reporters after the meeting.
As per previous SEC notification, the deadline expired on September 30 this year.
Earlier, the Dhaka Stock Exchange (DSE), the country's premier bourse, made the request to the commission for extending the deadline considering hangover of the long festival vacations due to Eid-ul Fitr and Durga Puja.
Under the SEC directive, each BO account holder will have to pay Tk 300 as renewal fee, submit the photocopy of the national ID card or a certificate from the bank branches concerned and a photo of the investor under the new system aimed at reducing the use of BO accounts in other's name.
The BO account-holders' account will be closed if it fails to comply within the new deadline, the directive says.
At present there are around 1.5 million BO account-holders. Of those 40,000 are owned by non-resident Bangladeshis.
The commission, earlier had set June 30 as the deadline for renewing the BO accounts. But it was extended to September 30, 2008.
As per an SEC directive issued on November 19 last, signature of an applicant must be put on the backside of the photograph.
The Securities and Exchange Commission (SEC) has extended the deadline for renewing the existing beneficiary owners' (BO) account upto December 31 this year.
The decision came at a 'commission meeting' held Sunday with SEC chairman Faruq Ahmad Siddiqi in the chair.
"The commission allowed the three-month extension for regularising the BO accounts taking into account the interest of the investors," Farhad Ahmed, executive director of the commission, told reporters after the meeting.
As per previous SEC notification, the deadline expired on September 30 this year.
Earlier, the Dhaka Stock Exchange (DSE), the country's premier bourse, made the request to the commission for extending the deadline considering hangover of the long festival vacations due to Eid-ul Fitr and Durga Puja.
Under the SEC directive, each BO account holder will have to pay Tk 300 as renewal fee, submit the photocopy of the national ID card or a certificate from the bank branches concerned and a photo of the investor under the new system aimed at reducing the use of BO accounts in other's name.
The BO account-holders' account will be closed if it fails to comply within the new deadline, the directive says.
At present there are around 1.5 million BO account-holders. Of those 40,000 are owned by non-resident Bangladeshis.
The commission, earlier had set June 30 as the deadline for renewing the BO accounts. But it was extended to September 30, 2008.
As per an SEC directive issued on November 19 last, signature of an applicant must be put on the backside of the photograph.