52 companies fail to publishing regular financial reports
Staff Reporter :
A total of 52 listed companies and 17 mutual funds have missed their deadlines for holding annual general meetings (AGMs) and publishing annual reports, including audited financial statements.
Among them, 32 have failed to release annual reports for periods ranging from two to six years, and many have also ceased publishing quarterly financial statements, according to a review of Dhaka Stock Exchange (DSE) disclosures.
Companies with prolonged non-compliance include BD Welding, Delta Spinners and Suhrid (six years), Familytex, Keya Cosmetics, Northern Jute and Noorani Dyeing (five years), and Fareast Life, Uttara Finance, Libra Infusion, New Line, RSRM Steel and Regent Tex (four years).
Amid this, the Bangladesh Securities and Exchange Commission (BSEC) on Thursday directed the directors, managing directors, CFOs and company secretaries of three Beximco Group firms—Beximco Limited, Beximco Pharmaceuticals and Shinepukur Ceramics—to convene board meetings within 12 working days.
The commission noted these companies had repeatedly failed to hold mandatory board meetings required for approving financial statements, declaring dividends, holding AGMs, making strategic decisions, managing risks and fulfilling legal obligations, stressing that the move is in investors’ interest.
DSE data shows that the three companies have not submitted quarterly financial statements for the current fiscal year, except for audited reports for the year ended June 30.
BSEC spokesperson Abul Kalam said the orders are specific to the three firms because a High Court writ had earlier blocked board meetings following a challenge to the appointment of independent directors.
The Appellate Division recently stayed the ban, allowing the commission to issue the directive.
Kalam added that boards of the three companies were restructured to protect investors. On other companies, BSEC imposes punitive measures under the law.
Review of enforcement actions shows fines of Tk 100,000 to Tk 500,000 are levied on board members for failing to submit reports, but penalties are often imposed years later and remain largely unpaid.
The commission files certificate cases each year, spending substantial funds to recover outstanding fines.