When protectors turn predators

29 May, 2021 12:00 AM printer

The Supreme Court on Thursday observed that former Chairman of Farmers Bank’s Audit Committee Mahbubul Haque Chisty alias Babul Chisty and his entire family have been involved in criminal offence. The court said it was seen from the case documents that Babul Chisty is the prime offender. He used all the members of his family in criminal activities.

The observation of the Supreme Court is important to understand what happens when one of the topmost executives of an organisation resort to plaundering of the very organisation s/he has been entrusted with. In this case Babul Chisty’s role can be taken as an example.

He allegedly rolled out hundreads of crores of taka loan with little to no scrutiny in exchange of huge amount of money. Thus the new generation bank was drowned in so much scams and bad loan that it was pushed on the verge of closure within a few years of its establishment. Eventually, the name of the bank, which has drawn enough bad reputation, had to be changed following the dismissal and arrest of its chairman.   

In a case filed by the Anti-Corruption Commission (ACC) on charges of embezzling Tk 159.95 crore has shown that the chairman of the bank involved his family members and other top brasses of the bank stash away money from it.

This is, however, the tip of the iceberg of irrigularities in the country’s financial sector. One P.K. Halder alone, who served as the head of several non-bank financial institutions, has fled the country after allegedly laundering Tk. 10,000 crore. If this is how the CEOs serve their institutions, how the organisations will develop?

We commend the role ACC for taking action against scams in financial sector, but it has to do more and be proactive to check irrigularties. One after another incident of massive scams have severally damaged the country’s banking and non-banking financial sector. It is time the government took the issue seriously because corruption is a big drag on economic growth, not to say about the barriers for establishment of good governance.