The Bangladesh Securities and Exchange Commission has asked Central Depository Bangladesh Limited to visit depository participants every month to monitor compliance of the entities, said a DSE web post on Monday. The capital market regulator in its directive said, ‘The BSEC has decided that CDBL will visit the depository participants every month to monitor whether the DPs are properly complying with the depository act, rules and regulations.’
‘Based on the visit, CDBL will submit a summary report on measures taken by it to the BSEC within the first 10 days of next month,’ it said.
Asked, a CDBL official told New Age,
‘We have heard about the commission’s directive, but yet to receive it.’
‘Usually CDBL checks and verifies information of the DPs before the BSEC renews the licences of the entities,’ he said.
Once the responsibility of inspecting the DPs will be on CDBL, it will also help release some work pressure from the BSEC, he said.
As of Monday, total DPs registered with the CDBL was 464. The number includes full service DP, full service exchange DP, custodian DP and treasury DP.
CDBL is responsible to ensure efficient delivery, settlement and transfer of securities through computerised book entry system including recording and maintaining securities accounts and registering transfer of securities, changing the ownership without any physical movement or endorsement of certificates and execution of transfer instruments.
-With New Age input
