13 companies to get one more year to comply with 30% shareholdings
The commission in a recent meeting also decided to appoint two independent directors to six firms: Pharma Aids, Alhaj Textile, Aziz Pipes, FAS Finance, Generation Next Fashion, and Ring Shine Textile.

The Bangladesh Securities and Exchange Commission (BSEC) has once again directed listed companies to comply with a minimum 30% shareholding of paid-up capital by sponsors and directors.
The securities regulator sought explanations from the managing directors of seven listed firms regarding their non-compliance over the matter. These are Active Fine Chemicals, Appollo Ispat, Central Pharmaceuticals, Familytex (BD), Mithun Knitting, Northern Jute, and Shurwid Industries.
The commission in a recent meeting also decided to appoint two independent directors to six firms: Pharma Aids, Alhaj Textile, Aziz Pipes, FAS Finance, Generation Next Fashion, and Ring Shine Textile.
Besides, 13 firms will get one year to comply with the rule as the companies have submitted plans to the commission on how they will fulfil it.
The 13 companies are: Aftab Automobiles, InTech Ltd, C&A Textiles, RSRM Ltd, Fine Foods, Salvo Chemical Industry, Fu-Wang Foods, ISN Ltd, AFC Agro Biotech, National Bank, Olympic Accessories, Popular Life Insurance, and Delta Spinners.
Earlier, the commission sought a comprehensive plan by 30 September from companies failing to comply with maintaining the minimum 30% shareholding of paid-up capital by sponsors and directors.
Faruq Ahmad Siddiqi, former chairman of the Bangladesh Securities and Exchange Commission, told TBS that the regulator should better explain why the companies did not follow the rule properly.
Stock market expert Abu Ahmed, a former Dhaka University professor of economics, said such types of directors should be removed from the company. They did not show their interest in good business in the company as they sold shares earlier, he said.
"The BSEC has the power to compel compliance with the rule but that did not happen properly," Abu Ahmed added.
He explained that when the shareholding of sponsors and directors decreases in a company, general investors suffer by holding those shares, he said.
BSEC Spokesperson Rezaul Karim told TBS some companies are trying to comply with the 30% shareholding rules.
"The commission is supervising these on a case-to-case basis and will transfer to enforcement decisions," he said.
Besides, the BSEC also thinks about including shareholders on the board who are holding above 5% shares in the company, he added.
As per the securities regulator's directive, sponsors, promoters, and directors must jointly hold a minimum of 30% of the paid-up capital of a company at all times.
The sponsors and directors of the companies in question are holding their positions in violation of a 2011 directive issued by the BSEC.
The regulator came up with the order in the aftermath of the stock market crash in 2010. The move was aimed at making the directors responsible and loyal to small investors, as it was seen that many directors had sold off their shares right before the debacle.
In July 2020, the new leadership of the securities regulator asked 44 listed companies to ensure that their sponsors and directors jointly held at least 30% of their own companies within the next 60 days.
It also decided to direct its enforcement department to take legal action against directors of listed companies who were not holding at least 2% of the paid-up capital individually.
Stakeholders say if a minimum of 30% of shares are held by sponsors and directors, it could help ease the ongoing liquidity crisis in the capital markets through the release of a substantial amount of funds.