Apex court declares appointment of administrator and board at Nagad illegal
Nagad had argued that the move was both illegal and hostile to the institution’s growth, vowing to pursue the matter through appropriate legal channels
The Appellate Division of the Supreme Court (SC) yesterday (12 May) declared the appointment of an administrator and new board of directors at mobile financial service provider Nagad as unlawful.
Chamber Judge of the Appellate Division Justice Md Rezaul Haque passed the order after hearing a petition in this regard.
Following a hearing held on 7 May, the court ruled that any attempt to impose temporary control over Nagad through administrative or board restructuring was in violation of legal provisions.
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As a result, the company, operating under the jurisdiction of the Bangladesh Post Office, will now function solely under the guidance of its rightful ownership and as per policies framed by the Bangladesh Bank. No further legal barrier exists to such operations.
This judgment comes after the High Court (HC) had earlier on 16 February dismissed a writ petition that challenged the legality of appointing an administrator.
Nagad had argued that the move was both illegal and hostile to the institution's growth, vowing to pursue the matter through appropriate legal channels.
With the latest ruling, the apex court has unequivocally affirmed that control and management of Nagad must remain with its legitimate owners.
Barrister Muhammad Jamir Uddin Sarkar, lead counsel representing the ownership of Nagad, said this ruling is crucial for the future of the economy. It sets a precedent that no authority can unjustly strip rightful owners of control over their enterprise. The Supreme Court has taken a bold and just stance that reflects the essence of rule of law and good governance.
