SEBON Suspends Bhrikuti Stock Broking License Over Financial Irregularities

The Securities Board of Nepal (SEBON) has issued a formal notice announcing the immediate suspension of the brokerage license for Bhrikuti Stock Broking Company Pvt. Ltd. This decision follows a series of serious regulatory violations, most notably the misuse of client funds where the broker used one group of investors' money to settle the trades of others. Additionally, the firm failed to follow standard settlement procedures and illegally allowed clients to purchase shares without the required 25% advance payment.

The board highlighted a significant financial risk, noting that as of March 2026, the company owes investors approximately Rs. 5.11 billion. SEBON stated that allowing the firm to continue operations would pose a direct threat to the capital market and lead to further losses for investors. During this suspension, the company is strictly ordered to settle all outstanding payments to its clients and provide the necessary technical support for any investors wishing to transfer their accounts to other brokerage firms to continue trading.