Finance Minister Amir Khosru Mahmud Chowdhury on Sunday told Parliament that investigations are underway against the former leadership of the Bangladesh Securities and Exchange Commission (BSEC) while the newly reconstituted commission has been formed through a transparent and professional selection process.
The Minister made the remarks while responding to a supplementary question from Jamaat-e-Islami MP Md Quamrul Hassan, elected from Mymensingh-6.
The MP alleged that during the Awami League government's tenure, politically biased and dishonest people were appointed to the BSEC and said there was allegation that some commission members had colluded in irregularities and manipulation in the stock market.
He wanted to know whether the government would ensure that only competent and non-partisan individuals are appointed to the commission in the future and whether action would be taken against officials who served during the previous AL government.
In reply, Amir Khosru said legal proceedings and investigations against the former BSEC chairman and others are already in progress.
He told the House that the commission has been reconstituted with a chairman and three members, while the process of appointing another member is continuing."None of them has been appointed on political considerations."
He added that the recruitment process was so transparent that even as Finance Minister he did not personally know the appointees beforehand.
"They are all professionals with exposure to the stock market and international capital markets. We have no reason to question their integrity," he said.
The Minister said the stock market has shown a sustained upward trend since the appointment of the new commission, gaining significant points over the past two months.
He claimed the market had recorded stronger gains during this period than it had over the previous five years, attributing the improvement to restored transparency and renewed investor confidence.
Amir Khosru also said the government has introduced, and will continue to introduce, major reforms in the capital market to strengthen its governance and credibility.
He said fund managers from major financial centres including Hong Kong, New York and London have already begun visiting Bangladesh and expressing interest in participating in the country's capital market.
The Minister expressed optimism that Bangladesh's capital market would develop into a globally recognised, transparent and trustworthy market, saying recent investor confidence and the upward movement in share prices indicate that the reform process is already producing results.