ILFSL depositors demand punishment for ex-Cenbank officials

Depositors of International Leasing and Financial Services Ltd (ILFSL) have demanded the prosecution of former Bangladesh Bank Deputy Governor SK Sur Chowdhury and Executive Director Shah Alam, accusing them of involvement in financial misconduct.

At a press conference today at the National Press Club in Dhaka, the International Leasing Individual Depositors' Forum, representing ILFSL depositors, called for these officials to be held accountable and demanded repayment of their lost deposits along with compensation.

Forum Coordinator Tasdiq Ahmed alleged that SK Sur Chowdhury and Shah Alam played a direct role in enabling the misappropriation of depositors' funds from ILFSL and called for their arrest and punishment.

The forum also demanded a complete restructuring of ILFSL's board to improve governance and protect depositors' interests.

ILFSL, established in 1996 as a public limited company and licenced as a non-bank financial institution (NBFI) by Bangladesh Bank that same year, maintained financial stability until 2015.

However, according to a recent ILFSL financial statement, its financial health has since deteriorated. Reportedly looted by PK Halder and associates, the company currently owes approximately Tk4,300 crore to its depositors and lenders and is struggling to meet its repayment obligations.

To stabilise the institution, the court initially appointed former Bangladesh Bank governor Khandaker Ibrahim Khalid as chairman, though he later resigned. In 2020, the central bank appointed former Secretary Md Nazrul Islam Khan to lead ILFSL, tasking him with recovering company assets from defaulting clients.