Publish: 10:49, 10 Nov, 2024

Entrepreneurs targeted by resentment

Online Desk
Entrepreneurs targeted by resentment
Symbolic

The Bangladesh Bank or the Financial Intelligence Unit (BFIU) cannot appoint a receiver to any business entity on its own. If a receiver needs to be appointed, it requires a lengthy process.

However, in recent days, several media outlets have reported that receivers have been appointed to 10 business entities, citing BFIU sources.

In response, both the BFIU and Bangladesh Bank have clarified that no such action has been taken by them.

A.K.M. Ehsan, Acting Head of the BFIU, stated, "A receiver was appointed by the court for a business group. However, the process is currently suspended due to a petition filed by them. Investigations are ongoing regarding some other entities of that company. However, no decision has been made about appointing a receiver for any other business entity. In fact, the BFIU does not have the authority to make such a decision. If a court orders the appointment of a receiver, we will proceed accordingly, but there is no scope to take any action before that."

Another official from the BFIU explained that before appointing a receiver, at least five steps must be followed. Only after these steps can a receiver be appointed. The steps are as follows:

  • Identifying suspicious accounts involved in money laundering;
  • Summoning or seizing those suspicious accounts;
  • Tracking the financial transactions to detect money laundering and referring the case to the ACC (Anti-Corruption Commission) or CID (Criminal Investigation Department);
  • Filing a money laundering case through the ACC or CID in court;
  • Finally, appointing a receiver to seize domestic assets under court orders and filing a case in international courts to recover money from abroad. This entire process must be followed to recover the assets.

So far, money laundering investigations have not been completed for any entity other than S. Alam Group and former Land Minister Saifuzzaman Javed . Therefore, no action is being taken against other institutions.

However, the government has appointed a lawyer to bring back the assets laundered by former Land Minister Saifuzzaman Javed. 

Bangladesh Bank will not appoint a receiver or administrator for any company on its own initiative. However, such an appointment will be made if directed by the High Court, said Bangladesh Bank spokesperson Husne Ara Shikha.

She stated, "To appoint a receiver, a court order is required. So far, a high court directive has been issued for appointing a receiver for one industrial group. The central bank is taking steps in accordance with the law in this regard. Bangladesh Bank will not appoint a receiver on its own for any other industrial group or institution in the country."

According to Article 31 of the Constitution of Bangladesh, no illegal action shall be taken that causes harm to a person's life, reputation, or property. Furthermore, a person cannot be declared a criminal unless proven guilty.

The ongoing media trial against the country's top businessmen, industrialists, investors, and financial institutions has created widespread panic among the general public.

As a result, people are withdrawing their deposits from banks and financial institutions. Not only banks but various sectors of business have also experienced instability due to the media trial, leading to a crisis of confidence among businesses.

The President of the  Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA),  Mohammad Hatem, stated, "Incorrect information was provided, leading to the formulation of wrong policies during the previous government. False or misleading news was disseminated in the export sector during that time, causing injustice. We urge everyone to adhere to the ethical standards of journalism to put an end to media trials."

The President of the Bangladesh Chamber Of Industries (BCI) and Chairman of Evince Group, Anwar-ul Alam Chowdhury (Parvez), stated, "Ensuring the free flow of accurate information is crucial. During the previous government's tenure, numerous incorrect data, including inflation rates, GDP, and population figures, were provided. As a result, policy formulation was negatively affected. Therefore, it is essential to avoid misinformation and ensure the availability of accurate data."

He further stated that Bangladesh Bank has already taken initiatives to bring back the laundered money, which is good news for most businesspeople.

This is because 98% of businessmen are not involved in money laundering. They would actually be pleased if the culprits are caught.

However, attention must be paid to ensure that the country's industries are not destroyed due to wrong policies, misinformation, or any other reasons. Once an industry is established, it becomes a national asset, and its protection is vital for the economy.

The former president of the country's apex business organization, FBCCI, Abdul Awal Mintoo, said, "Those who are creating employment opportunities through investment in the country have been the ones most victimized. To ensure employment for the unemployed, investment is necessary, but the environment for investment in the country is lacking. Investors are now facing multi-dimensional challenges."

The former president of FBCCI, Mir Nasir Hossain, stated, "The interest rate on bank loans has increased from 9% to 14-15%. In this situation, maintaining a sustainable business with such high interest rates is extremely challenging. Moreover, the regulations on loan defaults have been revised, and now, if installments are missed, a borrower will be declared a defaulter after 90 days. This is causing us concern. In addition to the rising interest rates, the supply of energy is not meeting the demand."

On August 5, Sheikh Hasina resigned from the position of Prime Minister and fled the country. This marked the end of 16 years of unprecedented misrule and autocracy by the Awami League.

On September 29, the government reconstituted the inter-agency task force to bring back laundered assets and manage the process. The Governor of Bangladesh Bank has been appointed as the chairperson of the task force, and the BFIU will provide administrative support to the task force.

Data shows that in the current situation, operational costs for businesses have increased by 30%. The interest rate on bank loans has risen repeatedly, surpassing 15%. Due to the ongoing crisis for almost two and a half years, the value of the dollar has increased by nearly 41%, leading to a 30% reduction in imports.

As a result, industrial production has contracted, and transportation costs have risen. The combined effect of these factors has made the import of raw materials for industries significantly more expensive.

Entrepreneurs say that misguided policies by various regulatory bodies and the issuance of numerous circulars at inappropriate times have led many business owners to default on loans.

They argue that these entrepreneurs have not voluntarily defaulted, but have been forced into it due to the government's policies. There is a growing demand for long-term policy support for these entrepreneurs on a priority basis to help them survive.

Otherwise, they warn that the country will face prolonged instability in employment and the economy.

The Chief Advisor and Economic Advisor have issued a stern warning to recover laundered money. In this regard, they have sought assistance from international organizations and ambassadors of various countries during their meetings.

Additionally, the Bangladesh Financial Intelligence Unit (BFIU) has started sending letters to various countries to gather information about the assets of individuals and institutions.

CID, Narcotics Control Department, National Board of Revenue (NBR), Customs, Department of Environment, BSEC, and the ACC are all working together to prevent and control money laundering.

Since Dr. Ahsan H. Mansur took office as the new Governor of Bangladesh Bank, the BFIU has suspended the bank accounts of several major industrial groups, including S. Alam and Beximco.

In addition, the bank accounts of their family members have also been frozen.

Source: KalerKantho

Bd-Pratidin English/ARK

More News
Borders in Sylhet are safe routes to flee the country
Borders in Sylhet are safe routes to flee the country
Illegal satellite phones increase security risk
Illegal satellite phones increase security risk
Where is Taqsem now?
Where is Taqsem now?
Receiver appointments deepen industry crisis
Receiver appointments deepen industry crisis
Government urgently seeks revenue boost
Government urgently seeks revenue boost
Arbitrary practices in toll collection
Arbitrary practices in toll collection
Parash-Juthi's heinous activities make Jubo League giant
Parash-Juthi's heinous activities make Jubo League giant
Businesses scuffle amid rising interest rates
Businesses scuffle amid rising interest rates
Injured in mass uprising still in sufferings
Injured in mass uprising still in sufferings
Govt under pressure
Govt under pressure
Esteemed female scholar who taught Hadith in the royal palace
Esteemed female scholar who taught Hadith in the royal palace
Benu and his observatory: Pioneering institutions for astronomy
Benu and his observatory: Pioneering institutions for astronomy
Latest News
Shafik Rehman secures bail
Shafik Rehman secures bail

27 minutes ago | National

Former UK Deputy Prime Minister John Prescott dies at age 86
Former UK Deputy Prime Minister John Prescott dies at age 86

29 minutes ago | International

Khaleda Zia makes first public appearance at Senakunja in 12 years
Khaleda Zia makes first public appearance at Senakunja in 12 years

56 minutes ago | National

Putin gifts over 70 animals to North Korean zoo following troop support for Russian army
Putin gifts over 70 animals to North Korean zoo following troop support for Russian army

56 minutes ago | International

4 foreign tourists die from methanol tainted alcohol in Laos
4 foreign tourists die from methanol tainted alcohol in Laos

1 hour ago | International

Supreme Court stays ex-Addl AG Mehedi’s bail
Supreme Court stays ex-Addl AG Mehedi’s bail

1 hour ago | National

Farmers busy in harvesting paddy in Naogaon
Farmers busy in harvesting paddy in Naogaon

1 hour ago | City

Ukraine says Russia has launched an ICBM in an attack
Ukraine says Russia has launched an ICBM in an attack

1 hour ago | International

No artificial crisis be allowed in food supply chain: Bashir
No artificial crisis be allowed in food supply chain: Bashir

1 hour ago | City

Nasir Uddin appointed as new CEC, along with four others
Nasir Uddin appointed as new CEC, along with four others

1 hour ago | National

Garment workers block road in Gazipur protesting
Garment workers block road in Gazipur protesting

1 hour ago | City

Dr. Yunus advocates for a country where people hold ultimate power
Dr. Yunus advocates for a country where people hold ultimate power

2 hours ago | National

New DMP Commissioner Sazzad Ali takes charge
New DMP Commissioner Sazzad Ali takes charge

2 hours ago | City

Shakib hints he might be available for Windies ODIs
Shakib hints he might be available for Windies ODIs

2 hours ago | Sports

Iran slams US’ veto on Gaza ceasefire resolution
Iran slams US’ veto on Gaza ceasefire resolution

2 hours ago | International

Robert Pattinson cast in Christopher Nolan's next film
Robert Pattinson cast in Christopher Nolan's next film

2 hours ago | Showbiz

Georgia mom charged as son walks alone
Georgia mom charged as son walks alone

3 hours ago | Lifestyle

Ex-MP Shahjahan  arrested
Ex-MP Shahjahan arrested

3 hours ago | National

South Korea donates $2mn to support WFP’s Rohingya food aid in Bangladesh
South Korea donates $2mn to support WFP’s Rohingya food aid in Bangladesh

3 hours ago | Economy

Barrister Suman shifted to Habiganj jail
Barrister Suman shifted to Habiganj jail

3 hours ago | National

Bhutanese Ambassador and BNP leader Fakhrul discuss SAARC revival
Bhutanese Ambassador and BNP leader Fakhrul discuss SAARC revival

3 hours ago | National

Sohanur Rahman honored with YAS24 Award in Geneva
Sohanur Rahman honored with YAS24 Award in Geneva

3 hours ago | National

Russia to provide 30,000 MT of fertilizer to Bangladesh free of charge
Russia to provide 30,000 MT of fertilizer to Bangladesh free of charge

3 hours ago | National

Dollar stagnates as market evaluates Trump policies and fed outlook; Bitcoin soars
Dollar stagnates as market evaluates Trump policies and fed outlook; Bitcoin soars

3 hours ago | Economy

US wants human rights respected in Bangladesh: Spokesperson Miller
US wants human rights respected in Bangladesh: Spokesperson Miller

3 hours ago | National

'Touch Messi, and it’s a foul; we get nothing'
'Touch Messi, and it’s a foul; we get nothing'

4 hours ago | Sports

‘Provision of appeal against order of ICT to ensure fair trial’
‘Provision of appeal against order of ICT to ensure fair trial’

4 hours ago | National

India v Australia: Will it be the final curtain for India’s icons?
India v Australia: Will it be the final curtain for India’s icons?

4 hours ago | Sports

Armed Forces Day: Chief Adviser Yunus pays tribute at Shikha Anirban
Armed Forces Day: Chief Adviser Yunus pays tribute at Shikha Anirban

4 hours ago | National

Is too much calcium from supplements risking your health?
Is too much calcium from supplements risking your health?

4 hours ago | Lifestyle

Most Read
BB issues guidelines for operations of business in country by JVCA
BB issues guidelines for operations of business in country by JVCA

23 hours ago | Economy

Armed Forces Day: Traffic restrictions in Dhaka Cantonment today
Armed Forces Day: Traffic restrictions in Dhaka Cantonment today

7 hours ago | City

New IGP, DMP commissioner appointed
New IGP, DMP commissioner appointed

21 hours ago | National

Response to Israeli strikes on Beirut will be on ‘central Tel Aviv’: Hezbollah chief
Response to Israeli strikes on Beirut will be on ‘central Tel Aviv’: Hezbollah chief

19 hours ago | International

Rizwana for coordination between financial institutions, development partners
Rizwana for coordination between financial institutions, development partners

22 hours ago | National

Russia to provide 30,000 MT of fertilizer to Bangladesh free of charge
Russia to provide 30,000 MT of fertilizer to Bangladesh free of charge

3 hours ago | National

US vetoes on Gaza ceasefire resolution
US vetoes on Gaza ceasefire resolution

7 hours ago | International

Yemeni forces seize Israeli ship in fresh operation
Yemeni forces seize Israeli ship in fresh operation

8 hours ago | International

Jamaat Ameer returns country from UK
Jamaat Ameer returns country from UK

5 hours ago | National

‘Provision of appeal against order of ICT to ensure fair trial’
‘Provision of appeal against order of ICT to ensure fair trial’

4 hours ago | National

Armed Forces to continue collaboration with people to safeguard independence: CA
Armed Forces to continue collaboration with people to safeguard independence: CA

20 hours ago | National

5 sentenced to life term for killing minor boy in Narail
5 sentenced to life term for killing minor boy in Narail

23 hours ago | National

24 Bangladeshis return after 2-year jail term in India
24 Bangladeshis return after 2-year jail term in India

6 hours ago | National

Microsoft employee fired for pro-Palestine vigil
Microsoft employee fired for pro-Palestine vigil

23 hours ago | International

Dengue: 5 more die, 1034 hospitalised
Dengue: 5 more die, 1034 hospitalised

22 hours ago | National

Khaleda Zia to join Armed Forces Day reception at Senakunja
Khaleda Zia to join Armed Forces Day reception at Senakunja

8 hours ago | National

Indian FS leads Delhi at Bangladesh-India FOC next month: Touhid
Indian FS leads Delhi at Bangladesh-India FOC next month: Touhid

20 hours ago | National

Bangladesh highlights adequate and quality Climate Finance at COP29
Bangladesh highlights adequate and quality Climate Finance at COP29

21 hours ago | National

Australia introduces 'Landmark' bill to ban social media for children under 16
Australia introduces 'Landmark' bill to ban social media for children under 16

5 hours ago | Tech

People to decide which party to do politics or join polls: Fakhrul
People to decide which party to do politics or join polls: Fakhrul

21 hours ago | National

Rickshaw drivers block railway line, disrupt communication with Dhaka
Rickshaw drivers block railway line, disrupt communication with Dhaka

4 hours ago | City

Armed Forces Day being observed
Armed Forces Day being observed

6 hours ago | National

US regulators seek to break up Google, as part of punishment
US regulators seek to break up Google, as part of punishment

5 hours ago | Tech

UNICEF appoints 16-year-old Gargee as new youth advocate in Bangladesh
UNICEF appoints 16-year-old Gargee as new youth advocate in Bangladesh

7 hours ago | National

Report on Bangladesh Pratidin: DNCC to repair road in front of Ziaur Rahman's plot
Report on Bangladesh Pratidin: DNCC to repair road in front of Ziaur Rahman's plot

6 hours ago | City

VR training tool to boost surgical skills of ophthalmologists
VR training tool to boost surgical skills of ophthalmologists

5 hours ago | National

Barrister Suman shifted to Habiganj jail
Barrister Suman shifted to Habiganj jail

3 hours ago | National

Microsoft to introduce voice cloning for teams meetings soon
Microsoft to introduce voice cloning for teams meetings soon

6 hours ago | Tech

Bangladesh ready to face West Indies in first test on Friday
Bangladesh ready to face West Indies in first test on Friday

5 hours ago | Sports

Point Nemo: The Spacecraft graveyard and earth's ultimate isolation
Point Nemo: The Spacecraft graveyard and earth's ultimate isolation

7 hours ago | Tech