Nepal Stock Exchange (Nepse) is soon recommending the securities market regulator to lift a ban put on share transaction of two prominent stock market players, as the row over ownership transfer of Nepal Bangladesh Bank (NBB) shares comes to an end.
“We’ll write to Securities Board of Nepal (Sebon) tomorrow requesting it to lift the ban put on share transaction of Nirmal Pradhan and Shankar Kumar Shrestha,” Nepse’s Managing Director Sitaram Thapaliya said. “We’re making this recommendation as the two have claimed to have compensated small investors, and neither investors nor brokers have disputed this claim so far.”
Nepse has, however, made it clear that it may again halt share transaction of the two if it receives complaints from the victims.
President of Stockbrokers’ Association of Nepal, Narendra Raj Sijapati also confirmed that the duo had compensated victims through manual trading of shares.
Although such trading is restricted on the stock market (where bids have to be made), the Sebon had allowed shares to be directly transferred from one person to the other in this case to compensate the victims.
“We will write to Nepse tomorrow stating that Pradhan and Shrestha have compensated the victims,” Sijapati said.
Pradhan and Shrestha were involved in sales of 94,970 units of shares of NBB pawned by Laxmi Bahadur Shrestha. These shares were bought by some 600 small investors on the secondary market. But, ownership of the shares could not be transferred to the investors after Kathmandu District Court stayed ownership transfer process on basis of petition filed by Laxmi Bahadur, who claimed the stocks were sold illegally.
Following this, Sebon had directed Nepse to halt transaction of NBB shares owned by Pradhan and Shankar Kumar. At that time it had also asked Nepse to direct the duo to compensate the victims within a month by handing over other shares of NBB owned by them or by purchasing NBB shares from the market.
However, after the row could not be settled within the stipulated time, Sebon had extended the deadline till May 24.
Then on May 22, the duo claimed that they had already compensated the victims. Following this, Nepse posted a notice on its website requesting investors and brokers to verify the claim made by the two.
“So far we haven’t received any complaint. So we are planning to close this case by asking Sebon to resume share transaction of the duo,” Thapaliya said.
Sebon Spokesperson Niraj Giri, on the other hand, said: “We’ll lift the ban on share transaction of the two based on recommendation of Nepse.”
source: the himalayan times,26 may 2014
LINK
“We’ll write to Securities Board of Nepal (Sebon) tomorrow requesting it to lift the ban put on share transaction of Nirmal Pradhan and Shankar Kumar Shrestha,” Nepse’s Managing Director Sitaram Thapaliya said. “We’re making this recommendation as the two have claimed to have compensated small investors, and neither investors nor brokers have disputed this claim so far.”
Nepse has, however, made it clear that it may again halt share transaction of the two if it receives complaints from the victims.
President of Stockbrokers’ Association of Nepal, Narendra Raj Sijapati also confirmed that the duo had compensated victims through manual trading of shares.
Although such trading is restricted on the stock market (where bids have to be made), the Sebon had allowed shares to be directly transferred from one person to the other in this case to compensate the victims.
“We will write to Nepse tomorrow stating that Pradhan and Shrestha have compensated the victims,” Sijapati said.
Pradhan and Shrestha were involved in sales of 94,970 units of shares of NBB pawned by Laxmi Bahadur Shrestha. These shares were bought by some 600 small investors on the secondary market. But, ownership of the shares could not be transferred to the investors after Kathmandu District Court stayed ownership transfer process on basis of petition filed by Laxmi Bahadur, who claimed the stocks were sold illegally.
Following this, Sebon had directed Nepse to halt transaction of NBB shares owned by Pradhan and Shankar Kumar. At that time it had also asked Nepse to direct the duo to compensate the victims within a month by handing over other shares of NBB owned by them or by purchasing NBB shares from the market.
However, after the row could not be settled within the stipulated time, Sebon had extended the deadline till May 24.
Then on May 22, the duo claimed that they had already compensated the victims. Following this, Nepse posted a notice on its website requesting investors and brokers to verify the claim made by the two.
“So far we haven’t received any complaint. So we are planning to close this case by asking Sebon to resume share transaction of the duo,” Thapaliya said.
Sebon Spokesperson Niraj Giri, on the other hand, said: “We’ll lift the ban on share transaction of the two based on recommendation of Nepse.”
source: the himalayan times,26 may 2014
LINK
Comments
Post a Comment