State-run Agrani Bank has taken an initiative to grant a Tk 200 million loan in favour of a spurious company owned by a defaulter. The company, Global Corporations, had earlier received nearly Tk 370 million in loans from the bank's Banani branch, while its new loan application now awaits approval from the board of directors.
According to Agrani Bank sources, the Banani branch provided the Tk 370 million loan to Global Corporations, located at Hamlet Tower on Kamal Ataturk Avenue in Banani, without thoroughly verifying the necessary documents.
Salim Chowdhury, a defaulter, is the key beneficiary of the loan, while his wife Nahida Chowdhury was the main guarantor. The couple has a history of defaulting on their previous loans.
The Global Corporations has had Mustafa Mahmud Hasan as its owner in official documents. However, industry insiders said Salim Chowdhury, who owns team Dhaka Gladiators in the Bangladesh Premier League (BPL), is the true beneficiary of the loan. He, along with his family members, now owes around Tk 5 billion in defaulted loans to four banks and one financial institution.
It was learnt that there has been growing pressure on Agrani Bank to provide another Tk 200 million in loans to Global Corporations. In response, the bank has devised a plan to extend the loan from its Banani branch, which is currently awaiting approval from the board of directors.
The loan will be guaranteed by Salim Chowdhury's cousin, Jihan Hossain Chowdhury, with AB Bank's Gulshan branch providing a bank guarantee of Tk 500 million.
Meanwhile, the Tejgaon Industrial Area branch of Agrani Bank is owed Tk 1.11 billion by Salim Chowdhury and his family members. In addition to this, he obtained a Tk 940 million loan in the name of his cousin Manjur Alam, using his own land as collateral at the same branch. The bank is yet to recover the loan.
The new loan proposal has been called into question as Salim Chowdhury occasionally works at the office of Global Corporate BD Limited on the seventh floor of Hamlet Tower. An Agrani Bank source said Salim Chowdhury and his family are the actual beneficiaries of Global Corporations.
During a visit to Hamlet Tower on Monday, the company executives declined to comment on the issue. Later, an executive of the company, Akbar Hossain, was contacted over the phone. He identified himself as the executive director and said he only purchases lands for the company and has no knowledge of other issues.
The business activities listed in Global Corporations' documents include importing and supplying rice, spices, beverage flavors, and stones.
The beginning
Global Corporations opened an account on 22 April 2021, at Agrani Bank's Banani corporate branch. On 17 August of the same year, the bank initially provided Tk 25 million as a loan and credit facility against the account.
On 31 January of the following year, the bank's board of directors decided to increase the credit facility to Tk 60 million. On 24 August of the same year, the credit facility was further increased to Tk 410 million.
Currently, the outstanding loan balance for Global Corporations stands at nearly Tk 366 million, with some of the loans having lapsed already.
The collateral against the loan included a flat registered in the name of Nahida Chowdhury. The bank's headquarters later informed the branch that Nahida Chowdhury did not apply for any loan and does not have any permission to be a third-party guarantor. This raised legal concerns about whether the property can be auctioned.
Despite these concerns, the loan was approved, and a significant portion was transferred to another bank and withdrawn. An amount of Tk 13 million was sent to a certain Salim Omra Khan's account at the Dhanmondi branch of Mercantile Bank.
Application for more loans
In February this year, Global Corporations applied to increase the existing credit facility of Tk 370 million to Tk 570 million, with the seventh floor of Hamlet Tower offered as collateral and AB Bank providing Tk 500 million in a loan guarantee.
In response, the bank's Banani branch, loan committee, and audit department recommended approving the loan, instead of disputing the loan application.
Two officials of the bank said the loans were approved in the face of external pressure. Even two officials were transferred from the branch after they declined to concede to the external demand.
Murshedul Kabir, managing director of Agrani Bank, said Salim Chowdhury, being an old defaulter, has no chance of obtaining a loan. He assured that if any attempts are made to secure a loan in someone else's name, those will be halted.
Salim Chowdhury could not be reached for comment on the issue.
State of Agrani Bank
Agrani Bank ranks second among the state-run banks, following Sonali Bank. It reported deposits of Tk 970 billion and disbursed loans of Tk 736 billion in May this year.
However, the bank's defaulted loans by the end of March amounted to Tk 150 billion, accounting for approximately 22 per cent of its total loans.
The bank has displayed a positive trend in terms of operating profit, recording Tk 6.48 billion in 2021, which surged to Tk 12 billion in the following year.
Agrani Bank has notably shifted its focus towards industrial lending over the past six years. This strategic approach is evident in the bank's participation in 98 syndicated loans for industries.
By the end of April, nearly Tk 360 billion, representing 49 per cent of the bank's overall loan, was allocated to the industrial sector.