Financial Regulatory Commission of Mongolia made a decision to permanently halt trade activities of 166 shareholding companies, registered at Mongolian Stock Exchange. The Commission considered that the realization of obligations of these companies under agreements concluded with authorized institutions was inadequate and interests of shareholders have been violated. Trading activities of the companies have been halted permanently on the ground of conclusion of the Commission examination and references of aimag and capital tax offices and as required by state senior inspector.
The Stock Exchange has taken these companies in the list of companies with registration up to 2 years, excluding from security lists. “This action of the Commission and the Stock Exchange is a part of measures carried out on protecting shareholders’ interests, improving stock market dignity and enhancing governance of registered companies. This is to inform those companies in registered list that the management and shareholders of these companies should activate their operations and focus on realizing duties and obligations under agreements in the future,” says a staff of Information and Public Relations Department of the Stock Exchange.
Last week the Commission granted a right to APU Company to trade shares because its share price, which has been stagnant for several years, has dramatically gone up. The price, which fluctuated between MNT 14 thousand and 19 thousand increased significantly at the end of February, reaching MNT 85100 as of trade on March 14, which means it has grown by 6 times. The Commission inspected this dramatic growth in share trading and didn’t fid any illegal things. Now APU trade its shares again.