SEBON penalizes stock broker for providing false details; slaps fine of 50K

Securities Board of Nepal (SEBON) has penalized Linch Stock Market Limited for the financial crime it had committed by opening DP account on the basis of false information. After finding that the Depository Partner has been indulging in stock transaction by aiding its customers to open their demat accounts with false details, the board has slapped a fine of Rs 50K over the firm.

After its investigation, the board has found that the firm didn’t conduct thorough investigation of the necessary details and personal information of its customers at the time of opening their demat accounts. Issuing the press note, the board has expressed its commitment that it’s effort to curve illegal and unprofessional practices in the stock market shall continue in coming days.