The companies overstated profits and showed excess receivables in their financial statements, which was a violation of securities rules, they said. The BSEC cancelled the IPO proposals of seven companies based on its own observations and of the stock exchanges themselves. The commission had previously rejected the IPO applications of the company for violating rules. BSEC rejected JMI Hospital Requisite Manufacturing Limited’s IPO due to the company's falsified financial data. The BSEC found that the Investment Corporation of Bangladesh (ICB) held 30% shares of JMI Hospital and was also issue manager of the company’s IPO, which was a violation of securities rules, BSEC officials said.

Source: Dhaka Tribune August 09, 2020 15:11 UTC