Dhaka, Bangladesh (BBN) – The board of directors of Bangladesh Bank (BB) rejected an appeal filed on Thursday by the removed managing director (MD) of BASIC Bank Limited.
Kazi Faqurul Islam recently filed an appeal to the board after he was removed from the post of MD of BASIC Bank on charges of negligence of duty and irregularities apart from the failure to protect the depositors’ interests.
“The board ruled out the removed BASIC Bank MD’s appeal,” a director of the BB said.
The central bank had brought serious charges against the removed MD of the state-run specialised bank concerning gross violation of banking rules in different areas including sanctioning a loan amounting to BDT 500 million at its Gulshan branch in 2012.
Besides, the BB earlier found different types of irregularities by the BASIC Bank in giving loans, which include non-verification of customer’s creditworthiness, absence of ‘know your customer (KYC)’ procedures, and extending loans to defaulters.
The central bank investigations detected financial irregularities involving around BDT 45 billion of loans in the three branches located at Gulshan, Dilkusha and Shantinagar in the capital between 2009 and 2013.
BBN/SSR/AD-07Nov14-9:34 am (BST)
