Shurwid Industries to face the music for lying about paying dividends

The Bangladesh Securities and Exchange Commission (BSEC) on Wednesday formed an inquiry committee to investigate Shurwid Industries for lying about its dividend disbursements.

The regulatory body formed the committee at a commission meeting, presided by its Chairman Prof Shibli Rubayat Ul Islam, where it was also decided to take stern action if the company was found guilty.

In July last year, the stock market regulator froze the beneficiary owners (BO) accounts of sponsor-directors of Shurwid Industries in this regard.

The commission had also asked the Central Depository of Bangladesh and depository participants to freeze all types of securities directly or indirectly held by the company's sponsors shareholders, directors, chief financial officer and company secretary until further order, BSEC officials said.

Earlier on January 29, the company informed the BSEC that it had disbursed dividends to all of its shareholders, but some complained to the commission that they did not receive dividends from the company.

The company had recommended a 10 per cent cash dividend for the year ended on June 30, 2019 and held annual general meeting on December 30, 2019.

The commission also asked Dhaka Stock Exchange to investigate the affairs of Shurwid Industries, including all its offices and factory premises.

Shurwid Industries manufactures and supplies high-barrier PVC blister films and sheets for packaging applications.

The company’s paid-up capital is Tk 57 crore. A share of the company closed at Tk 21.70 on Wednesday.

The engineering sector-based company was listed on the Dhaka bourse in 2014.