Written by The Banking Post
The government has launched a special drive to fast-track settlement of 100 top money-loan cases involving nearly Tk 380 billion owed to state-owned banks, insurance companies, financial institutions and regulatory bodies.
The Ministry of Finance has taken the initiative as many of these cases have remained stuck for years in money-loan courts, often delayed by writ petitions filed by borrowers.
According to officials, the Financial Institutions Division (FID) wants the cases settled “as early as possible” to ensure recovery of public money.
Among the pending cases, Janata Bank alone has 10 cases involving Tk 151.51 billion, while Sonali Bank’s 10 cases account for Tk 56.76 billion. Agrani Bank has Tk 39.79 billion locked in 10 cases, Rupali Bank Tk 37.47 billion in 10 cases, and Sadharan Bima Corporation Tk 37.19 billion in another 10 cases. Bangladesh Krishi Bank has 10 cases involving Tk 15.75 billion, Basic Bank Tk 23.99 billion, Bangladesh Development Bank Tk 8.75 billion, and Rajshahi Krishi Unnayan Bank Tk 2.93 billion. The Investment Corporation of Bangladesh has eight cases involving Tk 8.59 billion, while the Bangladesh Securities and Exchange Commission has two cases worth Tk 838 million.
At a recent meeting chaired by FID Secretary Nazma Mobarek, officials discussed ways to accelerate case disposal. Measures include ensuring bank officers are present during hearings, monitoring the performance of lawyers, and curbing repeated writ petitions that delay auctions.
The BSEC has been tasked with tracing the current addresses of defendants to settle certificate cases. The meeting also observed that arrest warrants issued by money-loan courts were often not executed properly. To fix this, FID has asked banks and financial institutions to submit lists of unexecuted warrants, which will be sent to the Home Ministry for enforcement.
Banks have also been asked to provide lists of auctioned assets where mutation remains incomplete, so deputy commissioners can help resolve disputes. Additionally, heads of state-owned financial institutions must now hold monthly meetings on pending loans and report progress to the FID.
A senior finance official admitted that many cases dragged on due to “a lack of proper monitoring and effective steps.” The official added: “We want to be more vigilant now to get the cases settled and money recovered.”
