Islami Bank not giving Zakat money to PM's fund ‘despite board decision'

Islami Bank Bangladesh has denied claims made by two members of its board of directors that it decided to give its Zakat money to the prime minister's Zakat fund this year.

The bank says the media reports on the board decisions on the fund, distribution of Iftar through the government, transfer of executives, and other issues were 'misleading'.

It released a statement on Wednesday, four days after Syed Ahsanul Alam Parvez, one of its vice-chairmen, and Qazi Shahidul Alam, a director, confirmed to bdnews24.com the decisions taken by the board of directors earlier in that day.

Asked about the statement, Parvez told bdnews24.com later in the night that Managing Director Md Abdul Hamid Miah "was not accepting the board’s decisions following instructions by a group".

Parvez joined the meeting on Saturday under tight security following 'death threats' asking him to resign amid a tug-of-war between the 'old guard' belonging to Jamaat-e-Islami and newly appointed executives over control of the largest bank of the country.

He told bdnews24.com on Wednesday that "the pressure and threats were mounting on him", and he could not join Wednesday's meeting due to lack of security. 

Intelligence agencies, police and RAB personnel provided him security on Saturday, he said.

After that meeting, Parvez and Shahidul said the board removed Md Mahboob Alam as the head of its human resource division. He was made an officer on special duty or OSD.

They said the heads of public relations and corporate social responsibility divisions would also be transferred to other departments.    

Besides the changes in management, the board decided to give Tk 4.5 billion Zakat money to the prime minister's Zakat fund, instead of distributing the money directly itself; and distribute Tk 130 million of Iftar fund among the people through the social welfare ministry, said Parvez and Shahidul.

Now four days after publishing the report, the bank has denied the claims of Parvez and Shahidul in the statement, signed by Sheikh Saidul Hasan, an assistant vice president.

"This is utter falsification by the management," Parvez said about the statement.

He said Chairman Arastoo Khan and MD Hamid were present at the meeting when the decisions were taken.

"Now they (management) have sent a press release full of lies," he said.

Parvez said the board decided in the meeting to make HR division head Mahboob OSD.

"But now he has been transferred to the rural development scheme. This is all part of the management's conspiracy," said Parvez.