For over two decades, the securities regulator has begun efforts to revive 17 cases related to stock-market scams in 1996 and 2010, which shook the thriving stock exchanges. These cases have been in limbo for 27 years, but the Bangladesh Securities and Exchange Commission (BSEC) is now taking steps to restart them. The BSEC has instructed its lawyers to prepare for hearings, and they have provided updated case information to the Ministry of Finance.
The BSEC filed 15 cases against 38 individuals, eight listed companies, and six brokerage firms for fraudulent share price manipulation. After a long hiatus, the BSEC is now working to reactivate these dormant cases.
Among these 15 cases, three were resolved by the Metropolitan Session Judges' Court in Dhaka. One case against Rupan Oil and Feeds Ltd was closed in 2011 due to the accused's death. In two other cases against Sea Foods Industries Ltd and Apex Foods Ltd, the accused were acquitted by the Session Judge's court. The BSEC later filed two criminal revision petitions with the High Court against these verdicts, urging its lawyers to pursue hearings in the High Court.
Four cases were handled by a special tribunal in Dhaka. One case led to a conviction, while three cases resulted in acquittals. However, the convicts, Md Maskur Rasul and Iftekhar Mohammad, remain at large. The BSEC filed criminal appeals with the High Court for the remaining three cases in which the accused were acquitted by the special tribunal. In August of this year, the commission directed its lawyers to take action to schedule hearings for these pending High Court cases.
Three cases were dismissed by the High Court in 2017 and 2012, including those involving Shinepukur Holdings Ltd, Salman F Rahman, Asif F Rahman, and others. The BSEC subsequently filed criminal appeals with the Appellate Division of the Supreme Court against these High Court decisions, which are currently awaiting resolution.
The High Court issued stay orders on the trial proceedings for the remaining five cases related to First Capital Securities Ltd, SES Company Ltd, Olympic Industries Ltd, and others, which were filed in connection to the 2010 stock-market scam.
