Dhaka, Bangladesh (BBN)- The central bank standing committee has heard BASIC Bank Limited managing director (MD) Kazi Faqurul Islam’s position regarding his alleged involvement in financial corruptions along with failure in protecting the depositors’ interest.
During the hearing Mr Islam has been asked to submit more documents in support of his arguments, a member of the high-powered committee told BBN in Dhaka on Monday. “We’ll submit our recommendations to the governor in this connection after completing the hearing.”
Bangladesh Bank (BB) Deputy Governor Nazneen Sultana is the head of the committee four-member committee.
Earlier on April 6 last, the central bank of Bangladesh revived its standing committee after more than two years to deal with alleged irregularities of the chief executives of the commercial banks.
BB earlier issued a show-cause notice to the BASIC Bank MD in line with its senior management team decision under Clause 46 of the Banking Companies Act, which gives the central bank the authority to remove an MD, if his/her activities prove harmful to the depositors.
The Act also dictates that in such case BB must give the MD a reasonable time for self-defence.
According to the BB notice, the BASIC Bank MD failed to take necessary actions after detecting financial irregularities involving around BDT 35 billion at different braches’ of the state-run bank between 2012 and 2013.
