BSEC summons 2 dead former DSE directors!

The Bangladesh Securities and Exchange Commission (BSEC), the regulatory authority for the capital market, has summoned two former directors of the Dhaka Stock Exchange (DSE) who passed away two years ago. 

A show-cause notice signed by BSEC Deputy Director Md Sultan Salah Uddin was sent to the DSE on Wednesday (December 11). The notice summoned 12 directors who participated in the board meetings held on June 28 and August 17, 2021, under the leadership of Md Eunusur Rahman. Among them are Rakibur Rahman, who passed away on March 18, 2022, and Habibullah Bahar, who died on August 9, 2022.

A probe report prepared on November 30, 2023, mentioned violations of securities laws concerning the collection and utilization of the protection fund for investors. The report pointed out that the DSE authorities had failed to properly collect the fund and raised concerns about its utilization as well.

As a result, the BSEC has summoned the individuals to appear at a hearing scheduled for December 23 at 10:30 am. Surprisingly, the names of the deceased directors, Rakibur and Habibullah, were included in the summons.

A DSE director criticized the move, calling it "irrational." He stated, "It is well known that Rakibur and Habibullah have passed away. Their deaths were reported in all major media outlets. How can deceased individuals be summoned for a hearing? This act by the BSEC is highly unprofessional and demonstrates incompetence."

He further said that the BSEC summoned the previous board based on an investigation report. However, the accuracy of the report should have been reviewed first.

When contacted, BSEC Executive Director and Spokesperson Mohammad Rezaul Karim told Jago News, "We are aware that the two individuals are deceased. The summons was issued as a procedural step in accordance with regulations. Their names will be excluded from the hearing on the day."