• Wednesday, Dec 02, 2020
  • Last Update : 03:11 am

Government worried about climate fund money in Farmers Bank

  • Published at 01:05 am December 15th, 2017
Government worried about climate fund money in Farmers Bank
The government is concerned about the cash-starved Farmers Bank Ltd (FBL) refusing to pay a matured fixed deposit of Tk220.70 crore that belongs to the Bangladesh Climate Change Trust Fund. The Ministry of Environment and Forests has asked the Bangladesh Bank and the Bank and Financial Institutions Division (BFID) through a letter on November 30 to expedite the release of the money. The letter, addressed to the central bank governor and the BFID secretary, says Bangladesh Climate Change Trust Fund keeps Tk508.13 crore at three branches of FBL as one-year fixed deposits at several rates of interest. The trust has been managing its’ expenses with the interests of the deposits. Of the money, a Tk220.70 crore deposit at Gulshan corporate branch and another at Motijheel corporate branch matured on November 23. When the trust fund applied to the bank to collect the money and accrued interest, the bank did not pay.
Also Read- Mohiuddin Khan Alamgir resigns as Farmers Bank chairman
In the last week of November, when the ministry sent a letter to the bank, the bank did not respond. The letter says the ministry made contact with the branch managers several times, and found that they were being evasive and did not pay back any money. Despite several attempts, the managing director of FBL could not be reached over phone for comments on this story. Farmers Bank has failed to repay interbank short-term loans of about Tk700 crore to four banks over the past two months. The bank has failed to draw deposits despite offering interest rates over 12%, against the 4-8% rates offered by other banks.
Also Read- Central bank orders removal of Farmers Bank MD AKM Shameem
Recently, the Parliamentary Standing Committee on the Ministry of Finance marked the bank as “risky” for the banking sector in the country and the central bank sent letters to the bank’s board asking that it remove incumbent Managing Director AKM Shameem. In a recent development, the board of the scam-hit bank went through a major reshuffle; Mohammad Masud, one of the directors of the bank, was appointed as chairman after the then chairman, former home minister Mohiuddin Khan Alamgir, resigned from his position. Meanwhile, the managing director on Wednesday blamed the bank’s board of directors for its current precarious financial situation, saying the FBL management could not run its day-to-day activities due to unauthorized interference by the directors.
blogger sharing button blogger
buffer sharing button buffer
diaspora sharing button diaspora
digg sharing button digg
douban sharing button douban
email sharing button email
evernote sharing button evernote
flipboard sharing button flipboard
pocket sharing button getpocket
github sharing button github
gmail sharing button gmail
googlebookmarks sharing button googlebookmarks
hackernews sharing button hackernews
instapaper sharing button instapaper
line sharing button line
linkedin sharing button linkedin
livejournal sharing button livejournal
mailru sharing button mailru
medium sharing button medium
meneame sharing button meneame
messenger sharing button messenger
odnoklassniki sharing button odnoklassniki
pinterest sharing button pinterest
print sharing button print
qzone sharing button qzone
reddit sharing button reddit
refind sharing button refind
renren sharing button renren
skype sharing button skype
snapchat sharing button snapchat
surfingbird sharing button surfingbird
telegram sharing button telegram
tumblr sharing button tumblr
twitter sharing button twitter
vk sharing button vk
wechat sharing button wechat
weibo sharing button weibo
whatsapp sharing button whatsapp
wordpress sharing button wordpress
xing sharing button xing
yahoomail sharing button yahoomail