Bangladesh Securities and Exchange Commission (BSEC) has decided to look into the overall aspect of Alltex Industries Limited, a company listed in the textile sector in the capital market, in the interests of investors. For this purpose, BSEC has recently constituted a three-member investigation committee.
The members of the investigation committee are BSEC Joint Director Mohammad Zahirul Haque, Assistant Director Mahmudur Rahman and Md. Mahmudul Hassan.
The committee has been directed to submit a report within 60 days. The investigation has also been communicated to the Managing Director of Alltex Industries.
BSEC executive director and spokesperson Mohammad Rezaul Karim confirmed this information and said that an investigation committee has been formed to verify the overall situation of Alltex Industries. After completing the investigation, the committee will submit its report to the BSEC. It is the routine work of the commission.
In the letter sent from BSEC, it is mentioned that BSEC considers it necessary to investigate the overall affairs of Alltex Industries Limited in the larger interest of the capital market and general investors. Therefore, under the powers conferred by Section 21 of the Securities and Exchange Ordinance, 1969, the Commission constituted a committee to inquire into the overall affairs of the company.
According to the information, the inquiry committee will verify the assets, plant and equipment, inventory and cost of goods sold of Alltex Industries Limited and its authenticity. It will verify the advance payment for the purchase of goods in the construction of the factory and the proceeds from the sale of the goods. Revaluation of land and plant equipment will be done properly and verify the genuineness of deferred tax issue.
Apart from this, long term and short term debt and repayment capacity will be verified, transactions entered into between associate companies. The inquiry committee will examine whether the company can continue in business in future and any other matter related to the ability to conduct the business.
Ziaul Haque, company secretary of Alltex Industries, said that he had received a letter from BSEC. It was mentioned that an inquiry committee has been formed in the letter. As the BSEC is conducting the investigation, it is not possible to say more in this regard.
Meanwhile, BSEC has also ordered the stock exchange to conduct a site visit to the head office and factory of Alltex Industries Limited. BSEC issued this directive on March 26. Probes have been ordered to probe the overall business performance of the company, which has been weak due to prolonged shut down of production operations, failure to hold annual general meetings (AGMs) and inability to pay dividends to investors.
After reviewing the audited financial report for the financial year ended June 30, 2024, Alltex Industries has declared 'No Dividend' for the shareholders. During the year, the company had a loss per share of 0.01 paise. Loss per share was Rs 2.70 paise in the previous year.
