For over a decade, the Bangladesh Securities and Exchange Commission (BSEC) has been plagued by allegations of irregularities. Despite repeated concerns, these issues have persisted. However, in a sudden turn of events over the past couple of days, BSEC officials have become vocal in their protests. On Tuesday, August 13, the officials raised various allegations against the newly appointed Chairman, Dr. M. Masrur Reaz, and expressed their discontent, stating they do not want him in the position. They have also called for his appointment to be revoked.
Rumors suggest that this protest may be linked to a conspiracy involving a senior executive director of the BSEC who aspired to become a commissioner and another commissioner who failed to secure the chairman position.
In a pre-scheduled meeting of the BSEC Officers’ Welfare Association held on Tuesday, August 13, almost all attendees raised their hands in disapproval when asked if they wanted Masrur Reaz as chairman. Before the meeting, a notification signed by Deputy Secretary Farida Yasmin announced Masrur Reaz’s appointment as BSEC chairman for a four-year term.
The meeting was chaired by BSEC Executive Director and Officers’ Association President Md. Saifur Rahman. Attendees included Executive Directors Mahbubur Rahman Chowdhury, Kamrul Anam Khan, Rezaul Karim, as well as directors, deputy directors, and staff from all departments of the regulatory body.
During the meeting, it was alleged that Masrur Reaz is closely associated with Salman F. Rahman, a figure accused of exploiting the stock market and considered one of the most controversial individuals. It was claimed that Reaz has worked closely with Salman F. Rahman and participated in roadshows with the previous commission. The officials stated that they want a neutral person as chairman, which they believe Reaz is not, and that his appointment will not be welcomed by the employees. The meeting called for the cancellation of his appointment.
Many see a conspiracy behind these demands. A former DSE (Dhaka Stock Exchange) stakeholder commented that the main reason behind the opposition to Masrur is the frustration of a senior executive director who failed to become a commissioner and a commissioner who missed out on the chairman role, despite two commissioner positions still being vacant. Additionally, the two commissioners appointed by the Awami League government are still in office, but their future is uncertain. Notably, the chairman and two commissioners appointed by the Sheikh Hasina government have already resigned to maintain their dignity, ensuring no one can force them out in the future.
Another senior DSE stakeholder remarked that the actions of BSEC officials and employees concerning the chairman’s appointment are inappropriate and could destabilize the organization. He pointed out that those protesting against the chairman’s appointment have themselves been involved in irregularities and participated in the same roadshows. He suggested that their recent protest against Masrur stems from their failure to achieve their own interests, despite being part of the same group that has long harmed investors and intermediaries in the stock market.
It’s worth noting that Dr. M. Masrur Reaz is a former official of the International Monetary Fund (IMF). He is currently the chairman of the Policy Exchange research institute. His late father, Riaz Uddin Ahmed, was a journalist and former president of the Press Club, and also served as an advisor to BNP Chairperson Begum Khaleda Zia.