The administration will speak to students and teachers in an effort to maintain order, Satya Prasad Majumder says
HC orders probe into three Islamic banks after claims of suspicious lending
Islami Bank Bangladesh, Social Islami Bank and First Security Islami Bank have come under the spotlight after media reports of alleged scams
Published : 4 Dec 2022, 12:28 PM
Updated : 4 Dec 2022, 12:28 PM
The High Court has ordered an investigation into allegations of irregularities in the disbursement of loans from three banks, including Islami Bank Bangladesh.
Taking media reports of alleged scams into account, Justice Md Nazrul Islam Talukder and Justice Khizir Hayat on Sunday passed the order on their own initiative.
The other banks under scrutiny are Social Islami Bank and First Security Islami Bank.
The court directed Bangladesh Bank, the Bangladesh Financial Intelligence Unit, the Criminal Investigation Department of police, the Anti-Corruption Commission and the authorities of the banks in question to investigate the allegations of loan scams.
The authorities have been given until Apr 5 to submit their findings, according to Deputy Attorney General AKM Amin Uddin Manik.
The court also ordered the chairman of the Chattogram-based conglomerate S Alam Group to submit documents related to its loans from Islami Bank.
In a set of rules, the High Court ordered the finance secretary, the ACC, the central bank, the BFIU and CID to explain within four weeks why their failure to take action against those involved with the alleged scams shall not be declared illegal and why the court shall not order necessary action.
They will have to report to the court if action is taken against the people or companies accused of loan fraud after investigation.
According to Bangla daily the Prothom Alo, Tk 70 billion vanished from the Islami Bank this year in a loan fraud carried out by Nabil Group, which also allegedly borrowed Tk 23.2 billion from SIBL and First Security Islami Bank by using fake addresses and forged documents.
The Daily Star reported the central bank was investigating a Tk 7.25 billion loan scam in Islami Bank.
According to a New Age report, S Alam Group borrowed Tk 300 billion from Islami Bank.
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