The constitution does not allow a minister to hold the position of chairman of any bank, Bangladesh Bank Governor Atiur Rahman said yesterday. The central bank will go by the constitution, he said.

"There is no scope for a minister becoming chairman of a bank,” Rahman told The Daily Star, referring to Home Minister Muhiuddin Khan Alamgir's move to be the proposed chairman of the newly approved Farmers' Bank.

It is among the nine new banks approved by the central bank on April 8. Seven of them, including Farmers' Bank, have already applied for license and two others have been granted time to submit their applications.

Alamgir would not be able to hold the position of the bank's chairman after it has been given the license, said a Bangladesh Bank official. However, there was no legal bar to Alamgir being a shareholder of the bank, he added.

Article 147 (3) of the constitution strictly imposes a ban on the president, the prime minister, ministers and some other constitutional officials from holding any office, post or position of profit or emolument or taking part in the management or conduct of any company, association or body having profit or gain as its object.

If the documents submitted by the seven proposed banks are found to be valid they might be given the license by January next year, the BB official said.

BB Board would take the decision after scrutinising the business plan and other documents submitted by them, the central bank governor said.

"We are collecting all relevant information with due diligence," he said, adding the National Board of Revenue has been examining the source of the money that sponsor directors of these banks are going to invest.

News: The Daily Star/Bangladesh/21th-Dec-12