Fifteen large business groups that have defaulted repayment of Tk12,500 crore loans have applied for restructuring their debts under a Bangladesh Bank policy issued in January to aid top defaulters on grounds of prolonged political crisis.
Bangladesh Bank received the applications from these large borrowers in a weeklong deadline that expired on June 30.
“We have received applications from 15 groups that have sought loan restructuring facilities,” said Rup Ratan Pine, deputy general manager of Bangladesh Bank.
Although some groups urged the central bank to extend the deadline as they delayed in reaching a consensus with the banks on loan rescheduling, Bangladesh Bank did not pay any heed to their pleas as yet.
The groups, which submitted applications for restructuring loans below Tk500 crore, will not be considered for getting the restructuring advantage as the policy is issued only for borrowers of loans over Tk500 crore, said Rup Ratan.
The groups that sought for loan restructuring opportunity are Beximco Group, Jamuna Group, Thermax Group, Sikder Group, Ratanpur Group, Abdul Momen Group, Keya Group, Ibrahim Group, SA Group, BR Spinning, Can-Am Garments, Deshbandhu Sugar Mills, AnonTex Group, Givency Group, and Nassa Group.
Beximco applied for restructuring loans of Tk4,950 crore from seven banks: Tk1,849 crore from Janata Bank, over Tk1,075 crore from Sonali Bank, around Tk478 crore from National Bank, around Tk484 crore from AB Bank, Tk30 crore from Bank Asia, over Tk233 crore from Exim Bank, and over Tk801 crore from Agrani Bank, according to the Bangladesh Bank’s provisional data prepared yesterday.
The Jamuna Group seeks to restructure loans of over Tk1,411crore from eight banks: Tk598 crore from Janata Bank, over Tk174 crore from UCBL, over Tk141 crore from IFIC Bank, around Tk165 crore from Mutual Trust Bank, over Tk175 crore from Dutch-Bangla Bank, over Tk73 crore from Shahjalal Islami Bank, over Tk51 crore from Mercantile Bank, and Tk32.57 crore from Agrani Bank.
The Thermax Group seeks restructuring for its loans over Tk666 crore from Janata Bank; Sikder Group over Tk686 crore from AB Bank and Ratanpur Group over Tk435 crore from Janata Bank.
Abdul Momen Group has sought for restructuring of its loans over Tk497 crore from four banks: Mutual Trust Bank (around Tk45 crore), Bank Asia (over Tk110 crore), Islami Bank (Tk300 crore) and AB Bank (Tk42 crore).
Keya Group owes Tk879 crore to five banks: Tk479.50 crore to Pubali Bank, over Tk310 crore to SouthEast Bank, over Tk14 crore to Bank Asia, around Tk41 crore to Standard Bank, and Tk34 crore to Agrani Bank.
The SA Group seeks for restructuring of loans of over Tk718 crore from four banks: Prime Bank with over Tk55 crore, First Security Bank Tk298.52 crore, Bank Asia around Tk256 crore and Agrani Bank Tk109 crore.
Ibrahim Group has applied for restructuring of Tk340 crore – Al-Arafah Islami Bank with around Tk130 crore and SIBL Tk210 crore.
The BR Spinning submitted its application against its loans of Tk472.68 crore from four banks: Janata Bank with Tk313.62 crore, Bank Asia Tk46.43 crore, Bangladesh Development Bank Tk35.64 crore and Agrani Bank around Tk77 crore.
Can-Am Garments requests for loan restructuring of Tk14.55 crore from Bank Asia; Deshbandhu Sugar Mills around Tk57 crore from Bank Asia; AnonTex over Tk1,094 from Janata Bank; Givency Group Tk60.30 crore from Agrani Bank; and Nassa Group Tk200 crore from Islami Bank.
Under the new restructuring policy, a client can take advantage of restructuring its loan only once.
However, companies allegedly involved in forgery will not be eligible for any such benefit.
Sources said there are some groups that have applied for the loan restructuring opportunity are allegedly involved in forgery. The central bank’s investigation has also found evidence of loan forgery and serious violation while taking loans by these applicants.
The banks will charge a minimum interest rate of 1% plus the cost of fund against the restructured loans. The privileged clients will not be able to declare any cash dividend in the first three years.
After restructuring, they may borrow up to 50% of the last approved amount for demand and current loans and 60% for term loans. The loans will be classified as special mention account and banks would maintain provision at required rates with the additional 1%.
The special scheme will be cancelled if a client misses two consecutive installments and the loans will be classified again in that case.