July 12, 2010
The writer is a student at Texas Tech University.
The Securities and Exchange Commission (SEC), the stock market regulator, has imposed an additional Tk 200 in annual maintenance fee on each beneficiary owner (BO) account. According to press reports, SEC took the decision to increase government revenue from stock market. The maintenance fee will go to the state coffer, and the government will receive around Tk 500 million a year from around 2.50 million active BO account holders. The SEC first introduced a Tk 300 annual maintenance fee in 2007 to stop the opening of fake or shady BO accounts.
On its website, SEC claims its goal is to protect the interests of securities investors, develop and maintain fair, transparent and efficient securities markets and ensure proper issuance of securities and compliance with securities laws. SEC's decision to increase BO account maintenance fee clearly violates at least the first two goals. How?