Possible to restructure ILFSL, says BB while former deputy governor thinks it difficult
The Appellate Division of the Supreme Court has set Wednesday for passing its order on appeal petitions filed by two directors of ILFSL, challenging the High Court order.
On January 19, the High Court asked the authorities concerned to seize the bank accounts of all the directors of ILFSL (International Leasing and Financial Services Limited) along with their passports.
The court also then appointed Bangladesh Bank former deputy governor Khondakar Ibrahim Khaled as the independent chairman of the non-banking financial institution.
On Tuesday, the three-member Appellate Division bench, led by Chief Justice Syed Mahmud Hossain, fixed the schedule after it was informed about the overall situation of ILFSL by Bangladesh Bank (BB) Executive Director Md Shah Alam and its former deputy governor Ibrahim Khaled.
The ILFSL is facing liquidity crisis due to the alleged corruption of few directors of the company.
Following an Appellate Division order to turn up at the court, Shah Alam informed the apex court that it is still possible to reconstruct ILFSL, while Khaled said it is difficult to reconstruct the institution until Bangladesh Bank takes any scheme in this regard.
Khaled also said: "Non-banking financial institution sector is in severe condition whatever the government says about the sector."
On February 16, the Appellate Division asked Bangladesh Bank to send an officer not below executive director and Ibrahim Khaled on February 25 to inform it on the overall situation of the ILFSL.