The Bangladesh Securities and Exchange Commission (BSEC) has directed the Dhaka Stock Exchange (DSE) to conduct a comprehensive investigation into the suspicious price movement and trading of City Insurance PLC shares, after the company's share price jumped significantly this year.

The regulator issued the directive on October 4, 2026, following its observation of abnormal price movement and trading behaviour in the shares of City Insurance, a B-category company listed on both the DSE and Chittagong Stock Exchange (CSE).

The share price of City Insurance rose to 131.70 taka on October 4 from 84.30 taka on January 1, 2026, representing an increase of 47.40 taka, or around 56.2 per cent, during the period.

The DSE has been asked to investigate the trading of CITYGENINS shares from January 1, 2026, until the date of the BSEC directive and submit a comprehensive investigation report to the commission within 30 working days.

The investigation will seek to identify whether any investors were involved in coordinated, manipulative or non-genuine trading practices, according to the BSEC letter.

The DSE has also been asked to examine whether there was any prohibited insider trading, including the misuse of unpublished price-sensitive information (UPSI).

In addition, the investigation will assess compliance with the commission's Margin Rules, relevant orders, notifications and directives by the stock brokers and stock dealers involved in the transactions and their authorised representatives (ARs).

The regulator also wants the DSE to determine the role and responsibility, if any, of the concerned brokers, dealers and their ARs in facilitating or failing to prevent the suspicious trades.

The exchange has further been instructed to identify any other relevant irregularities or violations of securities-related laws during the investigation.

The BSEC asked the DSE to create awareness among the concerned authorised representatives, compliance officers and chief executive officers of the respective stock brokers and dealers about suspicious trade execution and possible non-compliance with the Securities and Exchange Commission (Stock-Dealer, Stock-Broker and Authorised Representative) Rules, 2000.

The commission has also asked the Chittagong Stock Exchange to provide the DSE with the necessary trading data of CITYGENINS to support the investigation.

The directive was issued by Md Foysal Islam, Assistant Director (General) of BSEC's Market and Intermediaries Affairs Division.