In addition to halting transactions, NEPSE has directed the hydropower company to furnish a formal clarification within three working days.
According to NEPSE's listing section, the board of directors of Bindhyabasini Hydropower held a meeting at 3:30 PM on October 12 to make critical decisions regarding its upcoming annual general meeting, book closure date, and dividend distribution.
Under regulatory provisions, companies are required to disclose any price-sensitive decisions to NEPSE either on the same day or by the next day before market transactions begin. However, records show the company delayed its disclosure, transmitting the notice through NEPSE's online system (NOTS) at 5:59 PM on October 11, long after the trading day had closed.
NEPSE stated that this failure violates Regulation 22 (1) of the Securities Listing By-laws, 2075 BS, which mandates timely disclosure to protect ordinary investors and prevent potential insider trading. Consequently, the share trading has been suspended under Regulation 16 (1) (b) of the same by-laws.
The suspension will remain in effect until the company submits a satisfactory explanation to NEPSE. Copies of the disciplinary letter, signed by Assistant Manager Suresh Joshi, have also been dispatched to the Securities Board of Nepal (SEBON), CDS and Clearing Limited, and the CEO's secretariat.
