Salta Capital assets put up for auction over loan default
A Salta Capital official said the auction notice will not harm their brokerage business
The Jamuna Bank has put up brokerage firm Salta Capital Limited's assets for auction to recover a default loan of Tk88 crore.
"We allowed them enough time but they did not repay the loan. That is why we have put up their assets for auction," an official of the private sector lender told The Business Standard on condition anonymity.
The Jamuna Bank on Thursday published the auction notice for selling the property shown as mortgage by the securities house.
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Salta Capital is a member broker of the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE). Many investors trade shares and maintain portfolios through this firm.
Shahajahan Iqbal, director of the Salta Capital, told TBS, "Our directors have a fishing business, which is operated under the name of Salta Fishing Limited Company. A loan has been taken in the name of the brokerage firm for this company. But the loan could not be repaid as the business was not good. We are trying to resolve the issue in consultation with the bank."
"This will not harm our brokerage business. The investors' investments there will be safe," he added.
Apart from Dhaka and Chattogram, the brokerage firm has branch offices in Rajshahi and Sylhet.
Regarding the auction notice, Ghulam Faruque, acting managing director of CSE, said, "It was not right to put the organisation at risk in this way. Because, if the company suffers, many ordinary investors will suffer with it too. We will look into the matter."
