Dhaka: The Securities and Exchange Commission Tuesday ordered a probe into the bull run of the ICB Islami Bank on the stock market, as its shares saw sharp price rises.

At the watchdog’s bidding, a two-member probe committee headed by Md Rezaul Karim, Director of the SEC, was formed on Tuesday noon. The other member is Tania Sharmin, SEC’s assistant director.

The SEC asked the committee to submit the investigation report to the chairman by June 30, reliable sources told banglanews24.com.bd.

ICB Islami Bank is listed as poor-funded banking institution. The institution, with Tk 1000 as share face value, was enlisted with the share market in 1990.

Sources said the bank exists in the ‘z’ category, as it has not distributed profits among its shareholders for long.  
The shares of the ICB Islami Bank transacted at Tk 977 each, Tk 23 below the face value, on May 3. But, to the market players’ surprise, its share price Tuesday climbed to a lofty height of Tk 1471.

The price increased by Tk 494 after a span of 19 working days only.

“SEC is very concerned about the matter and we have formed a probe committee to query the cause of the price increase,” said one source.

BDST 1717 hrs June 1, 2010
GS/RS/MMA/MUA