Investors Forum condemns brokers for irresponsible behavior; demands broker license for commercial banks
Thu, Jun 29, 2017 4:48 PM on Latest, Featured, Stock Market,
Share Laganikarta Sangh Nepal has condemned the Broker Association’s move to halt trading operations at NEPSE today. The Forum showed their disapproval for the same by organizing a protest at Nepal Stock Exchange premises in Singhadurbar Plaza today. All 50 stock brokerage companies halted their operations today after Inland Revenue Department (IRD) issued notice to brokerage companies to pay VAT amount pending since the year 2069.
Investor Forum and other investors, provoked by the move of brokers, have called the brokers’ move “irresponsible” and another act of their continued carteling, monopoly and syndicate behavior. The Forum has once again reminded the regulatory bodies on importance of providing stock broking license to commercial banks, and has demanded for the same to make the market more reliable, decrease the brokerage companies’ monopoly and expand the reach of capital market. "Even by charging commissions at highest rates in all of South Asia, brokers have infringed upon investors' right to safely invest in the market", read an official statement issued by the Forum.
Brokers have been arguing that the current trading mechanism does not have the provision for inclusion of VAT, and have said that they will not resume trading until the situation is resolved. SEBON has asked brokers to approach the Finance Ministry with their plea.
Investor Forum and other investors, provoked by the move of brokers, have called the brokers’ move “irresponsible” and another act of their continued carteling, monopoly and syndicate behavior. The Forum has once again reminded the regulatory bodies on importance of providing stock broking license to commercial banks, and has demanded for the same to make the market more reliable, decrease the brokerage companies’ monopoly and expand the reach of capital market. "Even by charging commissions at highest rates in all of South Asia, brokers have infringed upon investors' right to safely invest in the market", read an official statement issued by the Forum.
Brokers have been arguing that the current trading mechanism does not have the provision for inclusion of VAT, and have said that they will not resume trading until the situation is resolved. SEBON has asked brokers to approach the Finance Ministry with their plea.
