The Ministry of Finance (MoF) has advised the securities regulator to ensure strict implementation of relevant rules and regulations while determining the prices of primary shares for the greater interest of general investors, officials said.
The Ministry's advice came in a letter sent to the chairman of the Bangladesh Securities and Exchange Commission (BSEC) Prof. M Khairul Hossain on December 17 last.
In the letter, the MoF quoted from a few sections of the Securities and Exchange Ordinance, 1969 and Securities and Exchange (Public Issues) Rules, 2006 that protect the interest of the investors.
Acknowledging the MoF's letter, a senior BSEC official said the regulator remains cautious about the issues mentioned in the letter.
"The BSEC always takes necessary steps to ensure implementation of the rules and regulations while allowing any initial public offering (IPO) proposal. The regulator from time to time brought relevant changes in public issue rules to make those time-befitting," said Mohammad Saifur Rahman, a BSEC executive director and spokesperson.
Asked whether the letter of the MoF came following public criticisms over regulatory approval of some issues, Mr Rahman said, "I do not think so. We have also rejected some proposals of rights issue due to faulty process." Â
Former chairman of the securities regulator Faruq Ahmad Siddiqi, however, said the MoF should solve any problem by holding discussions with the BSEC without sending any such letter as the BSEC is a regulatory body.
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MoF advises BSEC to protect investors\\\' interest
Mohammad Mufazzal | Published: December 24, 2014 00:00:00 | Updated: November 30, 2024 06:01:00
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