Woman jailed over deceased husband's debt: BRAC Bank issues clarification

The BRAC Bank today (27 February) issued a clarification over a recent report titled "Woman jailed over deceased husband's debt: HC summons 2 Faridpur court judges" published on various media outlets, including The Business Standard on 25 February.

BRAC Bank's explanation in response to the report is as follows:
 
"In accordance with Artha Rin Adalat Ain, BRAC Bank filed a Arthorin suit before the Arthorin Adalat, Faridpur against the legal heirs of the borrower namely Amin Sheikh as defendants due to his death. Later, the learned court decreed the suit in favour of BRAC Bank. Thereafter, BRAC Bank filed an Artho Jari before the concerned court. Following the Decree Jari suit, the honoroable Court issued an arrest warrant against Poppy Khatoon (Wife of the deceased customer) as the guarantor of the loan. Complying the court order, the concerned Police arrested her and sent her to jail.
 
According to the prevailing banking laws and regulations of Bangladesh Bank, there is no provision for waiving the principal of a bank loan. However, the bank can only waive the accrued interest amount. Earlier, BRAC Bank offered the customer's family an exemption from paying interest and gave them an opportunity to settle the matter by paying only the principal amount of the loan. The customer refused to pay even the principal amount of the loan.
 
Later the Honorable High Court ordered the Boalmari Branch Manager of BRAC Bank to appear in court on March 6, 2025. The Branch Manager will appear in-person and explain the matter to the honorable Curt. BRAC Bank will take action as per the directions of the Hon'ble Court in this regard.
 
BRAC Bank always upholds the highest ethical standards and has been recognized for its responsible banking practices. The bank's commitment has always been to serve customers with integrity and fairness.
 
As a value-based institution, BRAC Bank has been conducting banking business with a good reputation for the last 23 years in compliance with the rules and regulations. As a member of BRAC family, good governance, transparency, ethics and compliance are the cornerstones of BRAC Bank's business model."