The securities regulator and the premier bourse have strengthened monitoring over the brokerage firms' market operations to ensure the protection of investors' funds and shares.
As part of the move, the Dhaka Stock Exchange (DSE) recently has sought information regarding consolidated customers' accounts which contains investors' funds and shares.
"Some brokerage firms have submitted information on consolidated customers' accounts. Some deficiencies are found in many accounts maintained by different brokerage firms," said Md. Shakil Rizvi, a DSE director.
He said it will take time to determine the actual amount of deficiencies initially found in the consolidated customers' accounts.
"Initial deficiencies may be sorted out following the cross-check to be conducted by the DSE's management. However, the DSE's drive is a wake up call for the stock brokers," said Mr. Rizvi.
He also said that the stock brokers must ensure the protection of investors' funds and shares kept in the consolidated customers' accounts.
The monitoring came following the recent occurrence of misappropriation of investors' funds by Crest Securities whose owner was arrested by DB police on July 6.
After the incident of embezzlement of investors' funds and shares by the Crest Securities, the securities regulator delivered an instruction for strengthening monitoring over the consolidated customers' accounts.
Three committees were also formed comprising the representatives of the stock exchanges and the securities regulator.
These committees are supposed to conduct inspection in different brokerage firms.
"Consolidated customers accounts will also come under the inspection of the committees," a BSEC official said.
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