Bangladesh Bank has urged the Anti-Corruption Commission to expedite its investigation into the Hall-Mark scam so that Sonali Bank's dispute with other banks over payment of accepted bills can be settled as soon as possible.
Of the Tk 3,547 crore embezzled by the Hall-Mark Group, Tk 1,709 crore was taken out through letters of credit, and after the scam came to light, Sonali decided to stop payment of the bills accepted by other banks lest fraud is involved in them.
This has run Sonali into a cold war with the banks, with one state-owned bank even threatening to file a case.
As a result, the banking sector is going through a lack of mutual trust and disinterest in business, which may negatively impact the entire banking business, the central bank said.
In this backdrop, the BB governor on January 23 sent a letter to the ACC chairman requesting completion of the investigation as soon as possible so that Sonali can clear the payment for the genuine accepted bills. The central bank is yet to hear back from the ACC.
The BB letter said 38 cases have been filed so far for the funded loans (Tk 1,837 crore). But investigation into the alleged irregularities involving the non-funded loans (Tk 1,709 crore) that were taken through LCs has not been completed yet.
The non-funded loans arose when Sonali purchased accepted bills through different branches of 26 banks, the BB said.
Zaid Bakht, a director of Sonali Bank, said the board has decided to not honour accepted bills which are under the ACC probe on charges of fraud.
A central bank high official told The Daily Star that although Sonali is legally bound to pay the dues to other banks, they cannot put pressure on the embattled bank since a large-scale fraud took place in this case. 
If Sonali clears the payment for the accepted bills, their legal position surrounding the Hall-Mark scam might become weak. Meanwhile, a Sonali Bank official said the bank held a meeting with the finance minister and urged that they be not put under pressure to clear the payment for the accepted bills.
An ACC official said investigation is going on into the non-funded loans but no case has been lodged yet.

News:The Daily Star/20-Mar-2014

The committee of BFID would make surprise visits to state-owned banks to check out the actual security condition of the branches

The government has formed a six-member committee to recommend measures within two months to help prevent burglary at the state-owned banks.

The committee of the Banking and Financial Institutions Division (BFID) would make surprise visits to any branch of the eight state-owned banks to see on ground the actual security condition of the branches, said an official yesterday.

He said the committee was formed in the backdrop of burglary in Bogra and Kishoreganj branches of Sonali Bank.

Earlier, Banking Division Secretary Aslam Alam had said they formed a committee, headed by BFID’s additional secretary Amalendu Mukherjee.

Other members of the committee are Bangladesh Bank Executive Director of SM Muniruzzaman and deputy managing directors of Sonali, Janata, Agrani and Rupali banks. It could co-opt any officers and experts, if necessary. 

According to a circular issued yesterday, the committee will give suggestions after receiving related recommendations from state-owned banks. It would regularly evaluate and monitor the security and vault management of the bank branches after the inspection.  

The committee will also look after the insurance policy and rules for vault and security, and seek help from Bangladesh University of Engineering and Technology to enhance the technical standard of the strong rooms, vaults and other safety aspects.

Meanwhile, Sonali Bank board formed 61 teams to monitoring the security management of every chest branches of the across the country.

News:Dhaka Tribune/19-Mar-2014

Bangladesh Bank made the directive through a circular yesterday

All the bank branches in fourth and fifth-phase upazila polls areas will remain closed on March 23 and 31.

Bangladesh Bank made the directive through a circular yesterday to facilitate the bankers exercise their voting rights.

The fourth phase of upazila elections will be held on March 23 in 92 upazilas while the fifth phase will take place on March 31 in 74 upazilas.

News:Dhaka Tribune/20-Mar-2014

The orientation programme of the newly-recruited Management Trainees of Prime Bank Limited was held recently at the bank’s HR Training and Development Center (HR TDC).

Quazi A.S.M. Anisul Kabir, Deputy Managing Director and COO of Prime Bank Limited attended the programme as chief guest, said a press re;ease.

News:Daily Sun/20-Mar-2014

United Commercial Bank Limited organised a grand get-together for the customers styled ‘Achievers’ Night’ at a hotel in Dhaka on Tuesday.

M A Hashem, Chairman of UCB attended the function. He thanked the clients of the bank for their trust and faith on UCB, said a press release.

Muhammed Ali, MD, Sharif Zahir, Vice-Chairman, Anisuzzaman Chowdhury, Chairman, EC, Lt. Gen. (Retd.) Abu Tayeb Md Zahirul Alam, Chairman of Audit Committee, among others attended the get together.

News:Daily Sun/20-Mar-2014