Kathmandu. Bhrikuti Stock Broker Company (Broker No. 55) has been suspended. The Securities Board of Nepal (SEBON) has suspended Deepak Bhatta for three months after he was found to have bought 19 lakh units of shares on credit.

During the investigation conducted by the Board, businessman Deepak Bhatta It is seen that he has bought the shares of Nepal Reinsurance Company from 55 rupees. However, the broker has transferred the shares in the name of Deepak Bhatt without taking the payment. So much so that the broker allowed the trading to be done without ‘loading’ even the 25 percent collateral that was mandatorily kept while trading shares. 

Similarly, Manoj Kumar Lal Karna, a broker with investment in the company, has been found to have not paid huge amount of money for a long time in the share transactions of Himalayan Re-Insurance, Himalayan Large Cap Fund, Himalayan Securities Bank, Nepal Life Insurance and Nepal Micro Insurance.

The Board has finally decided to suspend the broker for 3 months after it was found that the broker was acting in violation of the rules of the Securities Act. Along with the suspension, the board has also decided to impose a fine on Bhrikuti ScotBroker as per the Securities Act.

Along with the 3-month suspension and financial penalty, the board has also decided to seek an explanation from the management chief and director of the broker. 

Brokers will not be allowed to trade any shares during the suspension period.Investors who have been trading shares through this broker will now have to choose another broker to trade shares.