Appoint receiver to manage Beximco’s firms, attach assets

The High Court in the full text of an order has directed the Bangladesh Bank to appoint a receiver to manage the companies of Beximco Group and attach all the properties belonging to the companies for six months.

The court also ordered the central bank to recover the money obtained by Salman F Rahman, founder of Beximco Pharmaceuticals Limited, from different banks and bring the money back to Bangladesh from abroad.

"Pending hearing of the rule, Bangladesh Bank is hereby directed to recover the money obtained by respondent No 4 [Salman, who is now in jail in connection with multiple criminal cases] from different banks and bring the money back to Bangladesh from abroad and give compliance within four weeks by respondent No 1 [Bangladesh Bank] about the steps taken," the bench of Justice AKM Asaduzzaman and Justice Muhammad Mahbub Ul Islam said in the three-page full text of order released recently.

According to Investopedia, a receiver is a person appointed as custodian of a person or entity's property, finances, general assets, or business operations. Receivers can be appointed by courts, government regulators, or private entities.

On September 5, the HC bench issued the rule after a writ petition was filed by Supreme Court lawyer Masood R Sobhan seeking necessary directives.

In the petition, the senior lawyer said Beximco Pharmaceuticals Limited obtained loans from different banks, which stood at over Tk 5,000 crore.

Instead of paying back the loans, Salman, also former prime minister Sheikh Hasina's adviser on private industry and investment, used his influence to have the finance ministry issued a notice seven to eight years ago.

The notice gave him the most extraordinary relief ever known in the banking sector not only in Bangladesh but all over the world. It stated that anyone with a loan liability of over Tk 5,000 crore would not have to repay the loan for the next 25 years.

Beximco Group had obtained a loan of Tk 22,000 crore from a scheduled bank and the repayment was not made, lawyer Masood said in the petition.

He said Salman has taken all the money abroad and it is anyone's guess what would happen to the money or whether the fund can be brought back to Bangladesh.

It is necessary to attach all his properties, particularly the pharmaceutical company, and settle its Tk 5,000 crore loan liabilities, the petitioner said, citing newspaper reports.

In the full text of the order, the HC bench said, "Let a Rule Nishi be issued calling upon the Bangladesh Bank to provide information regarding Beximco Pharmaceuticals Limited and all other business concerns of Beximco Group of Companies of Salman F Rahman and in addition to that how much unpaid loans he obtained from all financial institutions and the present status of loans and repayments and to appoint a receiver to manage the companies of Beximco Group of Companies and attach all the belongings to Beximco Group of Companies and/or pass such other or further order or orders as to this court may seem fit and proper. The rule is made returnable within four weeks".