The recent order of the Chamber Judge staying the operation of the SEC notification regarding holding of 2.0 per cent share will not affect the securities regulator's relevant notification 'in general' as the order is applicable to only two petitioner sponsor-directors of a listed bank, lawyers said.

"The Chamber Judge passed the order in respect of only the petitioners-two directors of Jamuna Bank Ltd-in this case. So, it (order) will not be applicable to any other sponsor-directors of the listed companies," petitioners' counsel Advocate Shah Mohd. Ahsanur Rahman told the FE Monday.

Chamber Judge of the Appellate Division of the Supreme Court Justice Md Shamsul Huda stayed the operation of relevant parts of the Securities and Exchange Commission (SEC)'s notification regarding mandatory holding of 2.0 pc share until March 17, 2013.

After hearing a leave-to-appeal petition filed by the two directors against a High Court (HC) judgment passed in May this year, the Chamber Judge issued the order on October 30 last.

During the hearing, Attorney General Mahbubey Alam stood for the SEC.

In reply to a query whether other sponsor-directors, who earlier lost legal battle in the HC over the same issue, will get advantage in the apex court following this order, Mr Ahsanur Rahman said, "All concerned will not get the benefit, because it will depend on the particular grounds of each of the directors."

On November 22, 2011, the SEC imposed the mandatory provision for the sponsor-directors, other than the independent ones, for holding individually, at least, two per cent of their companies' paid-up capital.

Later, a section of the sponsors/directors including those two of Jamuna Bank took the SEC's notification to the HC that rejected some writ petitions filed by them.

Part of the notification on jointly holding 30 per cent company share by the sponsors/directors remained unchallenged.

On September 25 last, the Jamuna Bank directors filed the civil petition for leave-to-appeal with the Appellate Division against the HC judgment that summarily rejected their writ petition on May 22, 2012.

News: The Daily Financial Express/Bangladesh/13-Nov-12