A group of retail investors yesterday went on hunger strike in front of the Securities and Exchange Commission office demanding that the market regulator do not move for leave to appeal against a High Court order on a mutual fund case.
The investors, who have investments in mutual funds, took to the street with festoon and placard under the banner “Share Market Retail Investors Forum”, also demanded withdrawal of a ban on margin loan facilities to mutual funds imposed by the SEC on October 26.
They, however, called off the hunger strike after three hours on intervention by SEC Chairman Ziaul Haque Khondker.
The investors told the chairman that due to the case, mutual funds have not been giving dividends for a couple of years now.
But now, they said, the case has now been disposed of by the High Court. If the SEC appeals with the Supreme Court, the issue of dividends will remain pending once again.
The High Court handed down the verdict on November 8 allowing closed-end mutual funds to issue bonus or right issues.
The SEC chairman told the strikers that the commission would reach a decision on any move for leave to appeal after receiving the certified copy of the High Court verdict.
On the margin loan issue, Khondker assured them of considering their demand to lift restrictions on margin loan facilities to mutual funds.
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