BB appoints observers to 2 Islamic banks

Bangladesh Bank (BB) has appointed observers to oversee the transactions of Islami Bank Bangladesh and First Security Islami Bank.

Md Mezbaul Haque, spokesperson of the Bangladesh Bank, confirmed the matter on Monday evening.

“The central bank made the decision during its board meeting on Monday and the observers will begin their work from today (Monday),” he said.

Responding to a query, he said, “You may know that some allegations over loan scams against the two Islamic banks have been reported in different media. Taking the swindling under consideration, the central bank made the decision.”

The observers have been appointed in an effort to stop the recurrence of such delinquencies in those two banks, Mezbaul added.

Earlier on December 7, Anti-Corruption Commission (ACC) Secretary Md Mahbub Hossain, said that the commission officially had decided to investigate the corruption allegations in the three Islamic banks for misappropriation of Tk 34,000 crore.

The three banks are Islami Bank Bangladesh, Social Islami Bank and First Security Islami Bank.

The ACC will investigate the loan scams of the three banks that operated in line with the Islamic Sharia after appointing inquiry officers, Mahbub said during a press conference at the commission’s Segunbagicha headquarters on that day.

Earlier on December 1, five lawyers wrote to the ACC and BFIU, seeking their actions based on reports published in three national dailies on the loan scam of the three banks.