Attention: DSE
People invest in the shares to support growth of the capital market and also to gain financially from it. Shares in our country are bought or sold through trading houses. People use cash or loan from the banks to buy shares. When people use cash, sometimes it happens that shares are bought with the understanding that they would make the payment at a later date and they normally follow it as agreed. Clients sometimes for reasons beyond their control fail to meet the deadline. In such cases the trading house should remind the clients before they dispose their shares without the knowledge of the clients to offset the dues. I believe in this case, the trading house should give the client(s) a fresh deadline before deciding unilaterally to sell the clients' shares. If the clients fail to meet the new deadline, the trading house could then arrange selling shares to offset the dues. Here the trading house should require to consult the client(s) to decide on the type of shares they could sell to offset clients' dues, instead of making unilateral decisions.
But in reality the trading houses in most of such cases unilaterally decide to sell the clients' shares without even informing them.
May I draw the attention of SEC and DSE to the issue. They should frame well-defined rules to protect the investors from unilateral decisions made by the trading houses.
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