As slock prices keep piling-' ing to new lows, angry and frustrated brokers in Dhaka yesterday responded with a call to hold extraordinary general meeting (EGM) of the premier bourse.
The group of brokers, which initiated the move in a clear no-confidence in the current leadership of DSE. alleged that there had been too much of "grouping, lobbying and manipulation’ by a section of influential members who are facing charges in the courts.
"A handful of brokers are bringing the market down by manipulation." said one of those behind the move for the EGM.
"It's the same coterie which manipulated in 1996. They are now playing with the market to create pressure on the government to withdraw the cases against them." another of the rebel members said.
It has been evident that those facing trial have been active.
Yesterday, a group of retail investors staged demonstra--'Tions In front of the DSE ln-the^ afternoon. The group, allegedly instigated and sponsored by the 1996 scamsters, demanded immediate resignation of the Finance Minister, the SEC chairman and the DSE chairman.
They also demanded withdrawal of cases against the accused in 1996 saying that the cases are not doing any good to the market.
"The government should withdraw cases against Salman F Rahman, Sohel Rahman and (former DSE chairman) Imtiyaz Husain." one of the demonstrators told the rally.
Talking to The Daily Star, the young demonstrator argued that "Salman and Sohel are owners of the biggest employment generating group while Imtiaz has access to large for-
From Page I eign funds which could rescue the market from the current situation".
When pointed out that it was a matter being decided by court, he said that the Constitution of the country gave the President the power to grant general mercy.
The demonstrators said that brokers and dealers were still manipulating the market as they did in 1996 to raise share prices to an unusual level.
Trading at the exchange, however, remained unaffected yesterday.
The latest demonstration by the investors was triggered by a massive fall in share prices Monday that pulled the key composite index down by 1.91 per cent to 462.57 points.
Earlier, in the morning the agitating investors shut the main gate of the exchange for severed hours and chanted slogans against chairman Rakibur Rahman, whom they blamed for price manipulations during the 1996 crash of the market, along with other brokers.
Meanwhile, the DSE chairman called a meeting of the general members on Saturday to review the current market
situation. The decision came after around 30 general members went to DSE boardroom and demanded an EGM.
Reviewing the present market situation, settlement rules. DSE resources and manpower and information leakage from the IT department are on the list of the meeting agenda, DSE sources said.
The rebel brokers said that the small group of influential brokers pushed most general members to the sidelines.
"We are losing clients everyday. We earn our bread from this market. If this situation continues then we may be seen begging on the streets. Every- ' body in this market is not corrupt. It is because of few members that we are losing businesses." said one frustrated member.
“What they did in 1996 was the slaughter of the innocent and what they are doing now is a massacre." the member said. “We will not remain quiet anymore."
One of the DSE councillors told this correspondent that he had decided to refrain from attending board meetings anymore. He said the management has been captive in the hands of
the influential quarters.
"People are calling DSE a gamblers’ den. And I don’t want to be part of the council which lias failed to tackle the situation." the councillor said.
He also accused the DSE of doing nothing about a court order directing the bourse authorities to "maintain a status quo" on the election. Elections to four Council seats were due December 22 last.
In another development, the senior officials of SEC. the capital market watchdog, held meetings yesterday to review the market situation.
Sources said that the regula- . tors directed the DSE to withdraw the option of "counter party identification" from the i computer system which enabled । the traders to identify the bro- I kers" work stations from where the sell or buy orders were com- ' ing.
SEC sources said that the option enabled members to | form "unholy syndicate" to manipulate prices of stock of their choice. They said that removal of the option would help reduce manipulation as the members would not be able to identify the selling broker.