Stakeholders hope the conviction of two fraudsters for the 1996 capital market manipulation will help restore the investors’ faith in the stock market.
A special tribunal on Monday sentenced two top officials of Chic Textiles to four years of rigorous imprisonment and fined Tk 3 million each for share price manipulation.
This is the first verdict in a case filed over the 1996 scam, SEC Panel Lawyer Masud Rana Khan said.
Capital market analyst Prof Mohammad Musa said the conviction would serve as a warning to the fraudsters.
“It will be good for the capital market in the long run,” he told bdnews24.com.
IDLC Investment Limited’s Managing Director Md Muniruzzaman believed the verdict would help the investors regain trust in the struggling market.
“People won’t feel cheated anymore,” he told bdnews24.com. “They will now believe that manipulators will be punished.”
