Motijheel Branch involves in unethical transaction
Staff correspondent: Bangladesh Bank (BB) has cancelled the Authorized Dealer (AD) license of the Prime Bank’s Motijheel Branch for getting engaged in various unethical banking by the branch including the involvement of top officials of the bank in collaboration with a highly corrupt business group, BB sources said.
Talking to Daily Industry, Md Golam Rabbani, Deputy Managing Director of the bank yesterday confirmed the matter saying that the mentioned branch of the bank has lost their dealership license for patronizing some businesses including Bismillah Group in different illegal activities.
A good number of officials of the bank complained that, country’s well-reputed commercial bank has lost its glory due to widespread corruption, irregularities and mismanagement of the Managing Director Md Rehal Ahmed.
He provides supports to the vested groups to carry several unethical activities, which have violated the rules and regulation of the bank.
They also claimed that, Bismillah Group availed huge amount of loans in illegal manner. When the matter comes to focus, the MD did not take any action against the issue. In addition, there is an allegation of providing support to the controversial group in different ways.
They urged the authorities concerned to take necessary steps against the official and ensure exemplary punishment for his unethical activities.
A senior official of Bangladesh Bank said that, the Prime Bank Motijheel Branch has opened several LCs on behalf of Bismillah group to facilitate their export and import oriented business.
“We have found several faults involving with LCs opening as well as disbursing loans. For this, the Central Bank cancelled the license,” he added.
While the Daily Industry correspondent tried to contact with the MD several times yesterday, he did not reach to the call.
The managing director replied a message to the reporter in which he wrote that he was busy at that time for taking part in a program.
Sources said that, the five local banks that lent Tk 1,100 crore to the fraudulent Bismillah Towels Group are yet to recover a single penny in three and a half years after the scam was detected.
Bismillah Group, which used to make terry towels for the export market, allegedly embezzled the amount with the help of bank officials between June 2011 and July 2012.
After an investigation into the loan scam, the Anti-Corruption Commission (ACC) in 2013 filed 12 cases against 53 people, including 13 officials of Bismillah Group and 40 bankers, on charges of swindling over Tk 1,100 crore from five commercial banks.
Last month, the ACC submitted a Charge Sheet in a case accusing 14 people including the Managing Director and Chairman of the Bismillah Towels for alleged involvement with the embezzlement of money.