Forensic audit planned at Sammilito Islami Bank to trace irregularities: Bangladesh Bank

All staff from the five merged banks will join the new bank except those facing allegations, he says

Bangladesh Bank will not conduct any direct investigation into past irregularities at the five private banks merged to form Sammilito Islami Bank, opting instead for a forensic audit to determine how funds were siphoned off and who benefited.

Speaking on Monday to brief the media on the newly formed bank’s operations, Governor Ahsan H Mansur said an external organisation would be appointed within days to carry out the forensic audit.

The audit would trace where the money went, identify the ultimate beneficiaries and forward its findings to relevant state agencies, which would decide on filing cases and framing charges, he noted.

Asked whether central bank officials could also come under scrutiny if wrongdoing is found, Mansur said there would be no interference in the audit process.

“Whoever is found to be involved, regardless of position, will be identified and brought under the law. That responsibility will rest with the government agencies,” he said.

According to him, all employees of the five former banks would be retained at the new bank, except those facing allegations.

In its first two days of operations, the merged bank saw withdrawals of Tk 1.07 billion, while fresh deposits totalled Tk 440 million, figures presented at the briefing showed.

Mansur said withdrawals from existing deposits remain subject to a cap, while newly placed funds will be fully accessible.

“Depositors can transact any amount from new deposits, including withdrawing the full sum,” he added.

Referring to concerns surrounding the merger, the governor said there had been widespread apprehension, including warnings from local and foreign consultants.

“There were many fears and doubts. But we have been able to overcome them. The story is positive, and the data we are receiving is strengthening our confidence,” he said.

The interim government decided to merge the financially distressed Shariah-based Exim Bank, First Security Islami Bank, Global Islami Bank, Union Bank and Social Islami Bank.

The central bank issued the final licence for Sammilito Islami Bank on Dec 1.

The state-backed bank began operations with paid-up capital of Tk 350 billion, of which the government provided Tk 200 billion.

Through a circular issued on Wednesday, Bangladesh Bank announced that the Bank Resolution Scheme 2025 had come into effect.

It said all employees of the five banks, except those facing cases, would continue as staff of Sammilito Islami Bank, marking the completion of the merger process.

Borrowers will be able to take loans of up to 20 percent against old deposits and up to 80 percent against new deposits.

Customers were allowed to start withdrawing money from Thursday.

Under central bank instructions, depositors can initially withdraw up to Tk 200,000.

Over the next three months, they will be able to withdraw up to Tk 100,000 per month.