News

BB gives nod to bank for police

30 Oct,2018

BDchronicle:

Bangladesh Bank on Monday decided to award licence to Community Bank Bangladesh of Bangladesh Police and withheld the applications of three other proposed banks. 

The decision was made at the central bank’s board meeting on Monday evening at its secretariat in Dhaka with BB governor Fazle Kabir in the chair.
Approval of the central bank to Community Bank came following finance minister AMA Muhith’s letter to the BB on September 25.
The central bank would consider the proposals of three other banks — Bengal Bank, People’s Bank and Citizen Bank — later, BB executive director and spokesperson Md Serajul Islam told reporters after the meeting.
The applications would be considered upon removal of all the deficiencies detected by the central bank in the proposals submitted by sponsors, he said.
Community Bank Bangladesh, proposed by Bangladesh Police Welfare Trust (BPWT), is a concern of Bangladesh Police, while the sponsors of the other three banks have strong links with the ruling Awami League.
BB refrained from considering the application of proposed Bengal Bank, an initiative of Bengal Group of Industries, as tax related cases of three of its sponsors remained pending, the BB ED informed.
People’s Bank proposal was deferred for consideration as asset-related documents of the proposed bank’s chairman MA Kashem, an AL leader in the US, was yet to be submitted, he said.
Serajul Islam also informed that the application of Citizen Bank lacks sufficient documents.
Jahanara Huq, mother of Law Minister Anisul Huq, is the chairman of the proposed Citizen Bank.
In 2013, the BB provided licences to nine banks following pressures from ruling groups to facilitate politically-influential individuals.
At least two banks approved in 2013 are struggling to survive amid allegations of massive irregularities.

More News