BIFC to meet shareholders after four years
According to data from the Bangladesh Bank, BIFC is overwhelmed with default loans
The Bangladesh Industrial Finance Company (BIFC) is going to face its shareholders in an annual general meeting (AGM) after four years.
The joint venture leasing and financing company – in a stock exchange disclosure – said, as per a High Court order, it will hold the pending AGM for 2018 on 17 May 2022 on a digital platform.
According to data from the Bangladesh Bank, BIFC is overwhelmed with default loans. As of June last year, it disbursed Tk814.04 crore as loans, of which Tk774.12 crore or more than 95% defaulted.
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Worse, Tk772 crore of the default loan is uncollectible as most of the borrower companies exist only on paper.
According to sources in the central bank, several companies including Sunman Group owned by Major (retd) Abdul Mannan, a former chairman of BIFC, are among the big defaulters.
In 2021, the central bank's inquiry committee questioned Major Mannan and his wife over allegations of irregularities.
Since 2017, the company has not published any financial report on the Dhaka Stock Exchange (DSE) website, keeping the shareholders in the dark about its current situation.
Its share is being traded at Tk7.3 each at the DSE, where its shares maximum price was Tk9.40 and minimum was Tk3.80 in the last year.
