The Bangladesh Securities and Exchange Commission formed an enquiry committee to investigate various irregularities in National Tea Company Limited, including a decrease in government shareholding of the NTC in the last 5 years.
The commission also approved the request of the company to increase time for share subscription to increase the capital.
A press release signed by BSEC executive director and spokesperson Rezaul Karim was issued in this regard on Thursday. It said that the decision was taken in a commission meeting held at BSEC premises at Agargaon in the capital Dhaka.
The commission formed the committee to investigate the reasons for the decrease in government shareholding of the NTC in the last 5 years, significant changes in capital structure of the company through sale or transfer of shares, reasons for crediting shares in beneficiary accounts concerned while the application to increase time for share subscription was in process, existing current debt liabilities and continuous losses for last three years, sudden price hike in the company鈥檚 share prices and to check whether the conditions mentioned in the capital increase consent letter was complied with, among other issues.
The stock market regulator directed the committee to complete the investigation and submit the report within the next 60 working days.
In addition, the period of the consent letter given for the purpose of capital increase, including the period of subscription of shares, was extended till March 31, 2025, subject to compliance with the condition of increasing the government鈥檚 share in the company by 51 percent as per the consent letter of the commission.
The press release said that the company would not be able to use the said subscription without the prior approval of the commission if the condition of increasing the government鈥檚 share by 51 per cent in respect of the collected subscription was not fulfilled.
