The Security and Exchange Commission has taken several steps to control the share market, but it could not be reined.
The parliamentary standing committee on the finance ministry on Tuesday suggested for suspension of margin loans facilities for investor, and asked the Securities and Exchange Commission to identify the market manipulators.
After scrutiny the committee found that there was enough liquidity in the market and it seemed that the investors should not get margin loans, which the investors take from stock brokers and merchant banks against the value of shares in their possessions.
The committee also suggested the reintroduction of tax holiday for five years for the new companies entering the capital market with Initial Public Offerings.
The committee smelled market manipulation after the sudden decrease of the prices of the shares of public companies immediately after the announcement of offloading the shares of 26 government enterprises, and asked the SEC to look into the matter.
Out of the 26 companies, there are shares of 12 government companies in the market now. He said the shares of the remaining companies would be floated by December.
The committee said that as most of the investors were not well acquainted with the English language, the SEC ought to write all of its documents in Bangla.
