HC orders submission of probe report for bank loan scams

The High Court has ordered submission of a report after investigating within four months the allegations of loan scam in Islami Bank Bangladesh Limited, Social Islami Bank Limited, and First Security Islami Bank Limited.

Bangladesh Bank, Bangladesh Financial Intelligence Unit (BFIU), Criminal Investigation Department (CID) of police, Anti-Corruption Commission (ACC) and the concerned banks were made respondents in the order.

The court on Sunday also ordered to elaborate the actions taken against the people involved with the scam if the investigation reveals anything.

Later, the court fixed 5 April for next hearing on the matter.

An HC bench comprising Justice Md. Nazrul Islam Talukder and Justice Khizir Hayat issued the order along with a suo moto ruling as Prothom Alo and two other newspapers carried reports in this regard.

Prothom Alo on 24 November published a report ‘‘Nasty November’ for Islami Bank’. Later, on 29 November, The Daily Star carried a report ‘Tk 7,246CR loans to 9 firms: BB probing ‘breach of rules’ at Islami Bank’ and New Age on 30 November published a report ‘S Alam Group lifts Tk 30,000cr loans from IBBL alone’.

Senior lawyer Khurshid Alam Khan represented the ACC at the court while deputy attorney general AKM Amin Uddin was the prosecutor.

The court ordered S Alam Group to produce the loan documents and its statement regarding the media reports before the court. At the same time, the High Court asked to produce the names of bank officials involved with the mentioned loans.

In the ruling, the asked as to why the inactivity of defendants regarding taking actions against the people involved with the “loan scam” won’t be illegal, and won’t be ordered to take necessary actions.

Finance secretary, ACC, Bangladesh Bank, BFIU and CID were asked to answer within four weeks of the ruling.