Directors of 10 firms to face fine for missing dividend payment deadline: BSEC

The Bangladesh Securities and Exchange Commission (BSEC) has decided to fine directors of 10 companies if they do not pay due dividends within the deadline set by the regulator.

The stock market regulator took the decision in a meeting chaired by its Chairman Khondoker Rashed Maqsood, at its office in the capital today.

The BSEC has earlier ordered Safko Spinning Mills, Pacific Denims, Lub-rref (Bangladesh), Oryza Agro Industries, Mamun Agro Products, Krishibid Feed, Krishibid Seed, BD Paints, Associated Oxygen to pay the due dividends within December 15 of this year.

In a press statement released today, the commission said each director of Safko Spinning Mills will be fined Tk 20 lakh in case of failure to clear the dividends within the deadline.

The fine for the directors of Pacific Denims will be Tk 13 lakh each while for Lub-rref (Bangladesh) it will be Tk 2.35 crore each.

For Oryza Agro Industries the fine will be Tk 47 lakh, Mamun Agro Products Tk 13 lakh and Krishibid Feed Tk 13 lakh.

For each of the directors of Krishibid Seed, BD Paints and Associated Oxygen the amounts will be Tk 10 lakh, Tk 97 lakh and Tk 1.91 crore respectively.

Meanwhile, the BSEC said the managing director and all directors of Advent Pharma will be fined by Tk 4 lakh each if the drug maker fails to pay due dividends within November 30.

Decision has also been taken to fine Prudential Capital and NLI Securities by Tk 5 lakh each as both of them kept deficit in their consolidated customers' accounts.

If they continue to keep the deficit, there will be a daily fine of Tk 10,000, according to the press release.