BSEC fines Shakib Al Hasan Tk2.26cr for share manipulation
BSEC fined 24 individuals Tk54 crore in April for manipulating shares of four companies
The Bangladesh Securities and Exchange Commission (BSEC) has fined Shakib Al Hasan, former captain of the Bangladesh national cricket team, Tk2.26 crore for manipulating the share price of Sonali Paper.
According to the BSEC's enforcement action report for April, a total of Tk29 crore in fines was imposed on 13 individuals, including Shakib, for coordinated manipulation of Sonali Paper shares on two separate occasions.
The others fined include Abul Khayer (also known as Hiru), Kazi Sadia Hasan, Abul Kalam Matber, DIT Co-Operative, Kazi Farid Hasan, Kazi Fuad Hasan, Konika Afroze, Sajed Matber, Mohammad Bashar, Monarch Holdings, Monarch Hotel and Resorts, Softavion, and Javed A Matin.
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The manipulation occurred between 30 September and 28 October 2021, and again from 1 December to 31 December 2021. During these periods, the share price of Sonali Paper surged by 126% to reach Tk957.70. The syndicate reportedly realised Tk33.63 crore in profits, with an additional unrealised gain of Tk55 crore.
The BSEC investigation confirmed that the individuals formed a syndicate to inflate the share price artificially, violating securities laws.
In a written statement submitted to the commission, Abul Khayer conveyed an apology on behalf of Shakib Al Hasan, saying, "I sincerely apologise for the inadvertent mistakes that occurred. It was due to ignorance, not intent. I assure you I will be more cautious in future transactions."
In total, the BSEC fined 24 individuals Tk54 crore in April for manipulating shares of four companies: Asia Insurance, Sonali Paper, Sonali Life Insurance, and Gemini Sea Food.
Among them, former president of the Bangladesh Merchant Bankers Association, Sayadur Rahman, and his associates were fined Tk1.97 crore for manipulating Sonali Life Insurance shares, while Nurjahan Begum and her associates were fined Tk76 lakh.
Five individuals were penalised Tk3.85 crore for manipulating Gemini Sea Food shares, and Abul Khayer and associates were fined an additional Tk19 crore for manipulating Asia Insurance.
