Staff Reporter :
Indiscipline in the NRB Commercial Bank has become too big in recent time and a High Court bench has asked the Bangladesh Bank (BB) to carry out an inspection on the bank to clear the chaos.
On Thursday, the High Court (HC) bench comprising justice Md Ashfaqul Islam and justice Md Khasruzzaman gave the order responding to a writ petition filed by AM Tushar Iqbal Rahman
Rahman is one of the sponsors of NRB Commercial Bank.
A certified copy on the court order issued by M Ashraful Islam, prosecutor of the petitioner, said that the Court was pleased to direct the BB, respondent number one of the petition, to carry out an inspection under Section 44 of the Bank Companies Act, 1991 on the allegations made in the letter dated May 26, 2016.
The petition was filed to the HC seeking direction upon the central bank to carry out an inspection under Section 44, 45 and 45 of Bank Companies Act, 1991 based on the allegations made by AM Saidur Rahman, who was then a nominated director of the bank on behalf of his son, to the BB on May 26 this year.
The petitioner also requested the court to direct the central bank to use its power in removing NRB Commercial Bank chairman Farasath Ali, vice chairman Toufique Rahman Chowdhury and managing director Dewan Mujibur Rahman.
AM Saidur Rahman, then a nominated director of the bank, submitted an allegation to the BB urging the central bank to take proper measures to save the bank from embezzlers. A copy of the letter was also submitted to the HC.
In the letter, Saidur mentioned a number of irregularities took place in the bank since its inception in April 2016.
He also alleged that the bank has disbursed substantial amount of loans to one of its directors’ organisation without proper scrutiny and assessment.
The letter also mentioned a number of irregularities of the bank’s top management and in appointment of nominated directors seeking formation of special investigation committee by BB on the issues.
The HC also asked the BB to explain why it (BB) would not carry out investigation into the allegation submitted by Saidur in May this year.
The BB inquiry conducted in 2015 had found a number of irregularities in appointment of alternate directors, interior decoration of branches and loan sanction at the bank.
The BB inquiry found that the bank had not sent any Credit Information Bureau information on its newly-appointed eight alternate directors in violation of BB rules.
The BB inspection team also unearthed that the bank had conducted irregularities to appoint civil contractor to complete the interior decoration of its ten new branches.
