Legal action looms for spreading capital market rumours
Muhammad Ayub Ali :
Despite various efforts to stabilise the capital market, including securing a state-guaranteed Tk3,000 crore loan through ICB, reducing capital gains tax, and reassurances from the Finance Adviser, challenges remain.
The Bangladesh Securities and Exchange Commission (BSEC), the capital market regulator, has issued a warning about the spread of false information and rumours on online platforms, including social media.
Amidst the ongoing capital market crisis, the Dhaka Stock Exchange (DSE) recently hit a record low, with its main index falling below 5,000 for the first time in four years. Despite BSEC’s efforts, stability has not yet returned to the market.
BSEC has formed a committee to investigate those involved in spreading rumours about the capital market online, according to Mohammad Rezaul Karim, BSEC’s Executive Director and Spokesperson.
“Once the report is ready, we will take strict legal action to stabilise the market,” he stated.
Under the Bangladesh Securities and Exchange Commission (Research Analysts) Rules, 2013, only certified research analysts are authorised to make market predictions based on research and analysis.
Sharing such predictions or any unpublished information by others constitutes a legal violation.
BSEC highlighted that certain misinformation and rumours have been intentionally spread to destabilise the capital market and the wider economy, and this is a punishable offence.
For the security of the capital market and investors, BSEC urged all parties involved to avoid publishing or spreading unverified information.
The circular cautioned that strict action will be taken against those who publish baseless information without proper analysis.
A list is being compiled of individuals spreading false information, misleading investors, or making unfounded predictions about the market.
Legal measures will be taken promptly against those involved.
Saiful Islam, President of the DSE Brokers Association of Bangladesh (DBA), reiterated the call for stability, stating, “We want stability in the capital market at any cost for the sake of safe investment for all investors.”