MD says Evaly will deliver products, even if delayed, but won’t refund

Hit with a commerce ministry notice to explain irregularities, Evaly Managing Director Mohammad Rassel says the digital marketplace will deliver products, even if with a delay, but it will not refund the customers.

Rassel hopes the e-commerce firm will turn around in six months.

Several months ago, Evaly handed refund cheques to some customers who never received their desired products after waiting for a long time.

The cheques were supposed to be cashed at the start of this month, but the banks refused to pay. Rassel says the banks “broke their promise to cooperate”.

He appeared on a Facebook live stream on Saturday midnight to say that due to recently issued guidelines by the Bangladesh Bank, no refunds would be made and the clients would have their products delivered even if it took time.

The commerce ministry recently met amid allegations against Evaly and some other online marketplaces over delay in delivery or not refunding after failure to deliver the products.

Referring to a central bank report, it asked why Evaly’s liabilities were over Tk 4.07 billion when the current assets were only Tk 651.7 million on Mar 14.

If it has the rest of the money, the firm will have to provide details. And if it does not have the funds, it will have to explain why. Evaly can pay back just 16 percent of the arrears with the current assets.

The ministry also asked for details on current state of its dues to the merchants and the undelivered orders.

The Anti-Corruption Commission is investigating allegation of embezzlement and money-laundering against Evaly. A court has also slapped overseas travel ban on Evaly MD Rassel and his wife Shamima Nasrin, who is also chairman of the firm, as part of the investigation.

Rassel said Evaly has made huge profits since the central bank report was made. So, the report does not reflect the future valuation of Evaly, he claimed.

“Our valuation is missing in the report. We told the Bangladesh Bank to let us carry out the valuation. One of our biggest components was skipped. The valuation will include the future potential of the business. Recovering the due amount will be no tall task.”

“Such businesses suffer a drop in sales during turmoil of huge scales. But it is true that we’ve confirmed orders worth almost Tk 200 million virtually without any discount. The sum is equivalent to Tk 500 million for any other time. If we want to deliver these orders on time, Bangladesh Bank’s circular would require some modifications.”

Rassel gave hope that Evaly will be able to deliver all older orders by the next six months if the company gets the opportunity to do business “normally”.

“A business still in its development can never return the investment if suspended at such a stage.”

“Give us six months’ time. The action you want to take, you can take six months later. But give us the opportunity. Evaly will be able to complete everything successfully if you let the company do business.”

Rassel warned that the consumers will suffer damage ultimately if the firm is not allowed to do business.

“It will be possible to adjust the old orders with the new profits if we can continue business.”

He urged the customers, whose orders have been stuck for a long time, to support the company with patience.