Himal Dolakha Hydropower Share Trading Is Suspended After Violating NEPSE Regulations; NEPSE Asks For Clarification Within 3 Days

According to the official notice of NEPSE, the transaction of Himal Dolakha Hydropower Company (HDHPC) was stopped because it published a notice saying that 1:0.75 percent of right shares would be issued to the shareholders while the shares were being traded. The proposed information was submitted to the Nepal Stock Exchange Limited only on 2:52 p.m on 13/04/2079. The company clearly violated the rules governed by NEPSE in this regard.

In accordance with the provisions of the Securities Listing Regulations, 2075, the officials of HDHPC did not provide information in accordance with Regulation 22(1) and held a meeting during the trading hours on the same day, depriving the general public of sensitive information and information related to the securities transactions and prices, thereby affecting the price of the securities.

In the same way, if the securities registration book of the organized organization has to be closed, the information including the reason and the period of closure must be given to NEPSE at least seven days in advance. The company also violated the said agreement.

In accordance with the provision in regulation 16(b) of the regulation, the secondary market trading of the company's securities has been suspended.

According to the NEPSE notice, the company must explain within three days both why it made a special proposal to give its shareholders their right shares during the management committee meeting that took place during NEPSE business hours and why it failed to notify NEPSE about the matter seven days prior to the notification of the shareholder registration book.