BSEC fines two Tk 20 lakh for Rahima Food share manipulation

The Bangladesh Securities and Exchange Commission (BSEC) has fined two individuals a total of Tk 20 lakh for share manipulation and violations of securities laws involving listed company Rahima Food Corporation.

The individuals are investor Md Delwar Hossain and Rahima Food’s VAT in-charge Md Solaiman, BSEC Executive Director and spokesperson Md Abul Kalam confirmed on Wednesday.

According to the commission, the penalties were imposed through separate enforcement orders. Both individuals have been directed to pay their respective fines within 30 days through bank drafts or pay orders in favour of the BSEC. Failure to comply within the stipulated period may lead to legal action.

The action follows a special investigation by the Dhaka Stock Exchange (DSE), which detected irregularities in Rahima Food’s share trading between June 15 and August 27, 2025. During the period, the company’s share price surged 104.93 per cent, rising from Tk 68.90 to Tk 141.20.

The DSE investigation found that Delwar Hossain conducted wash trades using two beneficiary owner (BO) accounts held with NRBC Bank Securities and Sheltech Brokerage. On July 29, 2025, he traded 2,086 shares of Rahima Food at Tk 134 each between his own accounts, without changing the actual ownership of the shares. The transactions allegedly created artificial demand in the market.

The BSEC considered the activity a violation of the Securities and Exchange Ordinance, 1969. Although Delwar claimed during the hearing that the transaction resulted from a technical error, the commission rejected his explanation.

In a separate case, Solaiman and his wife, Nazma Begum, were found to have traded Rahima Food shares during a restricted period.

Under the BSEC’s Beneficiary Business Prohibition Rules, 2022, relevant persons are barred from trading shares of their company between the end of a financial year and the approval of its audited financial statements.

The investigation found that Solaiman and his wife purchased 12,409 Rahima Food shares and sold 10,254 shares during the restricted period beginning May 1, 2025. They made a combined profit of Tk 2.49 lakh from the transactions.

Solaiman told the commission during the hearing that he was unaware of the relevant legal provisions. The BSEC rejected his explanation and imposed a penalty for violating securities trading rules.

The post BSEC fines two Tk 20 lakh for Rahima Food share manipulation appeared first on Business Mirror .