Pubali Bank loses Chairman, directors

Eight posts of directors at Pubali Bank have been vacated by the High Court because of its not complying with share-holding regulations.

The posts are those of Chairman Hafiz Ahmed Mazumder, directors Muhammad Faizur Rahman, Ahmed Shafi Choudhury, Fahim Ahmed Faruk Chowdhury, Muhammed Kabiruzzaman Yaqub, Rumana Sharif, Suraiya Rahman and Azizur Rahman.

High Court judge Justice Md Rezaul Hasan gave the order to vacate their posts since they did not have minimum 2 percent share of the bank which is required by the SEC law.

Barrister Akhter Imam represented the bank while Mehedi Hasan Chowdhury pleaded for the directors.

Barrister Mahbub Uddin Khokon represented share owner Shafee Ahmed Chowdhury. He was accompanied by Barrister Sakeb Mahbub.

Akhter Imam told reporters, “The High Court vacated eight directorial posts. So they can no longer occupy their posts.”

“This will create problems in the bank. So I think it should be resolved in the Appellate Division. But we have to first discuss the matter with our clients.”

“The eight directors were declared ineligible by the bank’s election commission because they did not have minimum 2 percent share,” Barrister Sakeb told bdnews24.com.

They went to the High Court and it put a stay on the commission’s decision on Aug 20, 2013. They were subsequently elected in the election held next day.

“They have been in the posts for 14 years but didn’t have 2 percent share of the bank,” Barrister Sakeb said.

Bangladesh Securities and Exchange Commission in an order on Nov 22, 2011 had made it mandatory for bank directors to hold a minimum of 2 percent shares of the bank.

Those without shares were asked to abide by the regulation in six months, he added.

“They have been occupying the posts illegally since May 22, 2012.”