S Alammukt Social Islami Bank, new director appointment

The Board of Directors of Social Islami Bank has been restructured with the aim of deregulation of S Alam, one of the top business groups of the country. Bangladesh Bank has restructured the board of this private bank by appointing an entrepreneurial shareholder as director and four independent directors. At the same time, the central bank abolished the previous board of directors. The new chairman of Social Islami Bank will be appointed from among these new directors.

An order of Bangladesh Bank on Sunday (August 25) said that the Board of Directors of Social Islami Bank (SIBL) has been dissolved by virtue of the Bank Companies Act, which decision will be effective immediately.

In the same order, five persons have been appointed as directors and independent directors for the new formation of the Board of Directors of Social Islami Bank under the authority of the Bank Companies Act to protect the interests of depositors and banks and to ensure good banking governance and public interest.

The new director of Social Islami Bank is – Retired Major Md. Rezaul Haque He is an entrepreneur shareholder of this bank. Apart from that, the new independent directors are – Bangladesh Bank's former executive director Maqsuda Begum, Dhaka University finance professor M Sadiqul Islam, Rupali Bank's former deputy managing director Md. Morshed Alam Khandkar and accountant. Anwar Hossain.

It is known that the chairman of Social Islami Bank was Belal Ahmed, who is the son-in-law of Saiful Alam, the owner of S Alam Group. Chittagong-based S Alam Group came under the ownership of SIBL in 2017. During the change of ownership, some entrepreneurs and managers were removed. After that huge amount of money was withdrawn from the bank anonymously. Due to which the bank is already in financial crisis and the current account maintained with the central bank is also in deficit. Also, it is alleged that the residents of Chittagong's Patiya have been given priority in the employment of this bank.

Incidentally, Bangladesh Bank dissolved the board of directors of Islami Bank Bangladesh earlier. The central bank has appointed independent directors and formed a new board in that bank controlled by S Alam Group. Social Islami Bank as the second bank is believed to have been exempted from S Alammukt by this action of the central bank.

Bangladesh /KH