Brokerage houses asked to refrain from forced selling

Last updated: November 15, 2011

Dhaka, Bangladesh (BBN) - The Securities and Exchange Commission (SEC) has asked the stakeholders to play due roles of institutional investors for the sake of market, officials said.

"The regulator deeply has been observing the declining trend of the market. It has also talked to higher authorities to revive the market's stability," Executive Director of the SEC Mohammad Saifur Rahman told the reporters on Monday after a meeting with merchant bankers.

He also said the SEC has asked the banks, stock brokers and dealers to refrain from forced selling considering the miserable situation of general investors and the market as well.

"The regulator has strictly ordered different firms to abstain from forced selling," Rahman added.

The regulatory caution comes after the investors have raised allegation against some brokerage firms, including HAQ Securities, for forced selling.

The clients of HAQ Securities have also filed allegations against the firm to the SEC for selling out clients' shares, the Financial Express (FE), a local newspaper, reported.

BBN/SSR/AD-15Nov11-11:29 am (BST) 

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