BB won't close any companies like S Alam Group, Beximco: Governor

Central bank Governor Ahsan H Mansur. File Photo The Bangladesh Bank (BB) is taking action against individuals, not companies like S Alam Group and Beximco, as these companies are considered national assets, said central bank Governor Ahsan H Mansur on Monday. He made the remarks while speaking at a press conference at the central bank headquarters in Dhaka.

Mansur also said that legal action would be taken against the S Alam Group chairman and other officials for their alleged crimes in the banking sector. He also emphasised that BB will not shut down companies such as S Alam Group and Beximco. He said that they are trying to prevent fund diversion.



Meanwhile, newly-appointed Islami Bank Chairman Md Obayed Ullah Al Masud also spoke at the press conference. Masud said Islami Bank has a gap of Tk 20,000 crore between investments and deposits. Islami Bank PLC is set to raise Tk 20,000 crore from the stock market by issuing new shares.

Besides, shares belonging to S Alam Group, which were seized by Bangladesh Bank (BB), will be sold to investors to generate capital, aiming to bolster money circulation and alleviate the ongoing cash crunch. He said S Alam Group has shares worth Tk1,600 crore in face value, which have a market price of nearly Tk10,000 crore. The remaining Tk10,000 crore will be raised through issuing new shares, he added.

The governor highlighted that the S Alam Group had taken 80 per cent of Islami Bank's loans after taking over ownership in 2017. He said the bank will approach former foreign shareholders like IFC and Saudi Investor Al Raji group and invite them to invest in it again by January. Regarding Islami Bank, Ahsan H Mansur said the inclusion of previous foreign investors will increase the bank's credibility.

NY.