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Published : 21 Apr 2026, 05:27 PM
Bangladesh Bank has removed Mohammad Imdadul Islam as managing director of International Leasing and Financial Services Ltd, an institution closely associated with the financial irregularities linked to disgraced businessman Prashanta Kumar Halder, better known as PK Halder.
The central bank said the action was taken over allegations of irregularities at Imdadul’s previous workplace and for submitting a false affidavit by concealing those matters.
The order was issued in a letter on Monday by Bangladesh Bank’s Financial Institutions and Markets Department.
According to the letter, he was “removed with immediate effect” under Section 19 of the Finance Company Act, 2023.
International Leasing was also instructed to take the necessary steps accordingly.
The letter, signed by Bangladesh Bank Director Hasan Tarek Khan, was sent to the chairman and board of directors of International Leasing.
Before issuing the order, Bangladesh Bank served Imdadul with a show-cause notice on Jan 25.
He responded on Jan 28, but nearly three months later the central bank found his explanation unsatisfactory and issued the final removal order.
According to the letter, he had been asked to explain why he should not be removed from the post of managing director of International Leasing.
Bangladesh Bank said several irregularities were identified during Imdadul’s tenure as managing director and chief executive officer of GSP Finance Company (Bangladesh) Ltd.
These included classifying a Tk 499 million loan to Keya Cosmetics Ltd as unclassified without obtaining a no-objection certificate from Bangladesh Bank.
As a result, GSP Finance’s classified loan ratio fell from 16.04 percent to 8.86 percent, the letter said.
He was also accused of restructuring the loan facilities of GSP Investment Ltd in violation of circular guidelines.
In addition, during the COVID-19 period, penal interest was charged on loans to Doreen Hotels & Resorts Ltd in violation of Bangladesh Bank circulars and circular letters.
Despite repeated instructions from the central bank, the matter was not corrected.
Bangladesh Bank said Imdadul was “clearly responsible” for these irregularities during his tenure at GSP Finance.
The letter said he later concealed these matters in the application and affidavit he submitted to secure the post of managing director of International Leasing.
According to the central bank, he was removed for “his involvement in the aforementioned irregularities and for submitting a false affidavit”.
The letter also referred to allegations that he falsified board meeting minutes and dismissed five officials, including the chief financial officer, on Jan 1 in violation of HR policy and DFIM Circular No. 01/2024.
Bangladesh Bank said those issues had also been reviewed before his explanation was sought.
Alongside his removal, the central bank advised the board of International Leasing to appoint an experienced official as acting managing director in line with DFIM Circular No. 03/2024.
The letter instructed the board to take the necessary steps promptly.
International Leasing later became closely associated with one of Bangladesh’s biggest financial scandals involving Halder, a former managing director of the company.
He was later accused of using his influence over four financial institutions, including International Leasing.
In January 2020, the High Court removed PK Halder from the post of managing director of International Leasing and appointed former Bangladesh Bank deputy governor Ibrahim Khaled as independent chairman.
At the same time, the court ordered the seizure of the passports of PK Halder and 20 top officials.
Later, multiple cases were filed against PK Halder over loan fraud, embezzlement and money laundering.
In 2022, the Anti-Corruption Commission submitted chargesheets against him and others in cases involving money laundering and illicit wealth accumulation.
On Oct 8, 2023, a Dhaka court sentenced PK Halder to 22 years in prison in a case over money laundering and possession of assets beyond known sources of income.
Thirteen others were also sentenced to seven years in the same case. It was the first of the cases against him to go to trial.
When asked about the matter, the company’s Chairman and Independent Director Md Mahbubul Hoque said he was in a meeting and hung up; subsequent calls went unanswered.
An executive director of Bangladesh Bank confirmed the central bank’s move to remove International Leasing’s managing director, but declined to be named.
No statement was obtained from Imdadul on the allegations.
