Probe alleged lending anomalies of Islami, Social Islami and First Security Islami Banks: HC
ACC, BB, BFIU, and CID have 4 months to submit their findings
The High Court (HC) has directed authorities concerned to probe reports of lending irregularities by Islami Bank Bangladesh Ltd (IBBL), Social Islami Bank Ltd (SIBL) and First Security Islami Bank Ltd (FSIBL).
The HC, issuing a suo motu (voluntary) rule, also directed the authorities of the banks in question to submit the names and addresses of officials who dealt with the loans.
The Anti-Corruption Commission (ACC), the Bangladesh Bank (BB), the Bangladesh Financial Intelligence Unit (BFIU), and the police's Criminal Investigation Department (CID) have been asked to submit their findings by 5 April.
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The bench of Justice Md Nazrul Islam Talukder and Justice Khizir Hayat Lizu passed the order following recent media reports on Sunday.
The HC bench has asked S Alam Group for an explanation on the reports that it took Tk30,000 crore from IBBL.
The same bench also issued a rule asking the respondents to explain in four weeks why their inaction to take action against the persons involved in the loan scams should not be declared illegal.
Secretaries at the ministries of finance, law and home affairs, the BB governor, the ACC chairman, and heads of BFIU and the CID have been made respondents to the rule.
The HC last week had asked a lawyer to file a writ petition regarding IBBL's alleged lending to ghost companies.
On 24 November, a Bangla national daily published a report suggesting about Tk7,000 lending by Islami Bank to shell corporations. The report said that the loans were taken against eight firms this year.
The ghost companies availed another Tk2,320 crore loans from SIBL and FSIBL similarly. According to the report, the firms altogether owe around Tk9,500 crores to these three banks.
Subsequently, The Business Standard published another report that suggested three more fake companies borrowed Tk900 crore each from IBBL just the next month of company registration.
As the reported irregularities grabbed the headlines, many IBBL clients became worried about their deposits with the reputed private bank.
