PSE Suspends Benjamin Co Ca & Co. Inc. Amid Compliance Issues

The Philippine Stock Exchange (PSE) has announced the "involuntary suspension" of Benjamin Co Ca & Co. Inc., a prominent brokerage firm, effective July 31. The suspension was ordered by the Capital Markets Integrity Corporation (CMIC), citing the brokerage's non-compliance with pertinent rules. In a memorandum issued to the investing public and trading participants, the PSE stated that the suspension was imposed by CMIC pursuant to its rules. The exchange clarified that the suspension may only be lifted once CMIC determines that Benjamin Co Ca & Co. Inc. is compliant with the required regulations and that the interests of the PSE, investors, and the public are safeguarded. During the suspension period, Benjamin Co Ca & Co. Inc. will have its access restricted to the PSE trading system, the Philippine Depository and Trust Corp.'s (PDTC) depository system, and the Securities Clearing Corporation of the Philippines' (SCCP) clearing facilities. However, CMIC noted that clients may still transfer securities to another broker through sell transactions, subject to approval. Furthermore, the brokerage's related-party trades and proprietary trading may also be barred during the suspension. The PSE has instructed Benjamin Co Ca & Co. Inc. to promptly inform its clients of the suspension and to assist them in protecting their interests. This development underscores the importance of regulatory compliance within the Philippine securities market and highlights the authorities' commitment to investor protection. Maintaining market integrity is crucial for sustained economic growth, particularly as the Philippines continues to attract foreign investment.