Staff Reporter :
Bangladesh Bank (BB) is targeting individual accountability rather than penalising companies like S Alam Group and Beximco, which are considered vital national assets, Governor Ahsan H Mansur stated at a press conference on Monday.
Legal action, however, is being pursued against the chairman and other officials of S Alam Group for alleged irregularities in the banking sector, he confirmed.
The central bank is also taking steps to curb fund diversion, the governor said.
Newly appointed Islami Bank Chairman Md Obayed Ullah Al Masud disclosed that the bank faces a Tk 20,000 crore gap between investments and deposits.
To address this shortfall, Islami Bank plans to raise Tk 20,000 crore from the stock market by issuing new shares.
Shares owned by S Alam Group, valued at Tk 1,600 crore at face value and nearly Tk 10,000 crore at market value, will be sold to investors to boost liquidity and alleviate the ongoing cash crisis, Masud added.
Governor Mansur noted that S Alam Group secured 80 per cent of Islami Bank’s loans since acquiring ownership in 2017.
The bank is now approaching former foreign investors, including the International Finance Corporation (IFC) and Saudi-based Al Rajhi Group, to reinvest in the institution by January.
Masud also highlighted that S Alam Group, a major beneficiary of the former Awami League government, accessed over half of Islami Bank’s total disbursed loans, amounting to Tk 174,000 crore.
Allegations persist that the group holds more than its declared 30% stake in the bank through shares registered under proxy names.
Efforts to sell S Alam’s shares aim to recover a portion of the bank’s capital, the governor stated, and reaffirming BB’s commitment to stabilizing the financial sector.