The State Securities Commission’s Inspectorate has issued Decision No. 229/QĐ-XPHC imposing administrative penalties in the securities and stock market sector on Bao Minh Securities Joint Stock Company (BMS-UPCoM), with a total fine of up to VND 780 million.
Penalty details
- VND 187.5 million under point a, clause 5, Article 26 of Decree 156/2020/ND-CP dated 31 December 2020 for failing to maintain the segregation of clients’ assets from the company’s assets. The company transferred funds from the dedicated client funds trading account to the company’s settlement account and vice versa at certain times. Client transactions involved withdrawals, principal repayments, loan interest, and bond purchases.
- VND 187.5 million under point d, clause 5, Article 26 for violations of lending restrictions. The company lent to certain clients through deposit contracts for bonds or certificates of deposit.
- VND 175 million under clause 3a, Article 43 of Decree 156/2020/ND-CP as amended by point b, clause 34, Article 1 of Decree 128/2021/ND-CP for misreporting. The company reported inaccurate data on the capital adequacy ratio. The remedy requires the company to report accurate information for the violations under clause 4, Article 43 of Decree 156/2020/ND-CP as amended.
- VND 137.5 million under point c, clause 4, Article 26 for violating the rule allowing clients to conduct margin trading beyond their buying power in the margin trading account.
- VND 92.5 million under point a, clause 4, Article 42 for not publishing information required by law. The company did not publish information as required by law for transactions with values of 10% or more of the company’s total assets in the latest audited annual financial statements or the latest reviewed semi-annual financial statements on dates 25/06/2024, 11/07/2024, 10/03/2025, and 15/12/2025.
Business results by end of Q1 2026
By end of Q1 2026, BMSC recorded after-tax profit of VND 35.87 billion, compared with a loss of VND 11.25 billion in the same period, representing a 419% increase.
Retained earnings increased from over VND 172 billion at the start of the year to over VND 208 billion.
Stated reason for the turnaround
The improvement was attributed to a shift from a loss in Q1 2025 to a profit in Q1 2026 due to the revaluation of financial assets.
