HC: High Court wants to know why the small capitalized companies (SMEs) in DSE are not open to all investors. At the same time, even if there is a floor price, why it is not present in the SME, the High Court has given a notice to BSEC to show the reason in this regard. The High Court has suspended the investment limit in the SME for the next three months & has ordered BSEC to respond in this matter within the next 7 working days.
In the meantime, on Sunday, November 13, Judge Md. Ashfakul Islam and Md. Suhrawardy filed a writ in a High Court bench comprising. Business News Portal published the news from Orthosongbad that headlined ‘Falling prices in SMEs, investors fear loss of capital’‘ and attached as a source in the writ petition. This information is known from related sources.
According to sources, BSEC has mandated a minimum investment which limits of Tk 30 lakh for investing in SME platforms. In this Writ, ensuring investment facilities in SMEs for all, guidance is asked on the imposition of floor price. Writ No. 13749 filed in High Court Bench. Advocate Mustafa Kamal of the Supreme Court filed the writ on behalf of Raju Hasan.
It was known that the BSEC, the capital market regulatory body, cancel the OTC market of two stock exchanges (DSE and CSE) on September 16 last year. On that day, the commission decided to delist 29 companies and transfer 41 companies to SME and ATB (Alternative Trading Board).
Later, the same last year, September 30, trading started on the SME platform of the DSE. On that day, transactions were initially launched on DSE’s SME platform with 6 companies. Currently there are 15 companies listed in SME. Out of this, the shares of 13 companies are being traded regularly.
The investment amount for the latest SME platform investment was determined on September 22 this year. In an order signed by BSEC Chairman Professor Shibli Rubayat-Ul-Islam, it is stated that to be an eligible investor in the SME Trades, there should be a minimum investment of 30 lakh takas in the stock market.
According to the sources, it has been mentioned that restricting investment in SMEs is against the constitution.
In the meantime, the share price of the SME Platform increased at the beginning of the trading, but later the price of most of the shares fell below half. On November 2, Orthosongbad published a news regarding this issue.
