World-class cricketer Shakib Al Hasan wants to be the entrepreneurial director of the proposed People’s Bank. The letter of intent (LOI) issued in favor of People’s Bank Limited, which is awaiting final approval, has expired. The matter will be taken up for discussion at the next board meeting of Bangladesh Bank.
The LOI may be extended if the directors of the banking sector regulators agree at that meeting on Thursday (January 20th). Relevant sources of the central bank have confirmed this information.
If you want to know about this on Monday, the spokesman and executive director of Bangladesh Bank. Sirajul Islam told Dhaka Post, “The LOI of the proposed People’s Bank expired last December. The proposed bank has also applied for extension. However, the term has to be extended with the decision of the board. Besides, the issue of Shakib and his mother being directors is also under consideration at the same time.
He said the proposed bank has a policy of being an entrepreneurial director. If Shakib Al Hasan wants to be a director by fulfilling all the conditions then there is no problem. However, there is no reason to think that he will be released as he is a star cricketer.
Incidentally, the proposed People’s Bank has been trying to get a license for banking business from the central bank for more than three long years. However, the company was not getting this license as the conditions of LOI were not fulfilled. As a result, the central bank extended the LOI period several times. The last LOI expires on December 31. Earlier, the proposed bank had approached the central bank seeking no objection to appointing Shakil Al Hassan and his mother Shirin Akhtar as directors to cover the company’s paid-up capital.
Last December, the proposed People’s Bank sent documents to Bangladesh Bank to appoint Shakib Al Hasan and his mother Shirin Akter as directors. Bangladesh Bank is reviewing the no-objection petition in this regard. Shakib and his mother will have to invest 20 crore rupees. However, Shakib is giving a capital of around Tk 25 crore. Meanwhile, Bangladesh Bank will hold its first board meeting next Thursday. A number of other issues, including the extension of the LOI of the proposed bank, will be taken up for discussion at the meeting.
Shakib Al Hasan met Bangladesh Bank Governor Fazle Kabir on December 21. Abul Kashem, the proposed chairman of People’s Bank, was also present at the time.
Earlier, on 16 February 2019, the Board of Directors of Bangladesh Bank approved three new banks named Bengal Commercial, Citizens and People. Among them, Bengal Commercial Bank officially started operations in March this year. Citizens Bank is preparing to start its activities after getting the final license. However, after a long time, People’s Bank is still in uncertainty.
SI / SM