Beximco Group confronts mounting regulatory pressure as Bangladesh authorities investigate allegations of securities manipulation and fraudulent financial activities across its publicly traded subsidiaries. The Bangladesh Securities and Exchange Commission rejected renewal applications for Beximco Securities brokerage operations after imposing a permanent market ban on group chairman Salman F Rahman, who remains imprisoned, facing murder charges following his detention after political upheaval. Regulators discovered eight institutions and 34 affiliated persons invested approximately 6,797 crore taka in equities using loans obtained through fictitious identities and shell companies from IFIC Bank and other lenders.
Authorities levied 428 crore taka in penalties against nine entities connected to the conglomerate for artificially inflating share valuations. Separate investigations examine whether 4,500 crore taka raised through two bonds was properly deployed, while regulators fined a former IFIC Bank executive 5 crore taka for misleading investors through deceptive marketing of a Beximco subsidiary bond. The commission imposed 150 crore taka in combined penalties on Rahman and his son for fundraising violations.
Authorities levied 428 crore taka in penalties against nine entities connected to the conglomerate for artificially inflating share valuations. Separate investigations examine whether 4,500 crore taka raised through two bonds was properly deployed, while regulators fined a former IFIC Bank executive 5 crore taka for misleading investors through deceptive marketing of a Beximco subsidiary bond. The commission imposed 150 crore taka in combined penalties on Rahman and his son for fundraising violations.
