NRB Bank explained

NRB Bank
Type:Private
Industry:Banking
Founder:Iqbal Ahmed (OBE)
Area Served:Bangladesh
Key People:[1]
Services:Banking
Financial services
Foundation:2013
Location:Dhaka, Bangladesh

NRB Bank is one of the fourth-generation private banks in Bangladesh. Mohammed Mahtabur Rahman, chairman of Al Haramain Perfumes, is the chairman of the NRB Bank.[2] Mohammed Jamil Iqbal and Tateyama Kabir are vice-chairmen of the NRB Bank.[3] Mehmood Husain is the CEO and managing director of NRB Bank.[4]

History

Migrants Bangladeshis were demanding such type of bank since 1990s. However, Md. Bayazid Sarker an economist and Central Bank official of Bangladesh first develop a theoretical structure of the bank and officially floated the idea in his research paper titled "Alternative Resource of World Bank for External Financing in Bangladesh: A Foreign Remittance Approach" on 15 December 2007 in Dhaka.[5] Bangladesh Bank called for NRB bank applications in 2011 and finally issued three NRB Bank (Non-resident Bangladeshis Bank) licenses in 2013; the NRB Banks are NRB Commercial Bank Limited, NRB Bank Limited and NRB Global Bank Limited.[6] [7] There is no differences between the operations of a regular bank and a NRB bank.[8]

In 2014, NRB Bank provided a loan to Mohammad Shahed, Chairman of Regent Hospital, without proper collateral.[9] Anti-Corruption Commission filled two cases over the loans in 2020 against Shahed and bank officials.[10]

In May 2015, Bangladesh Bank provided NRB Bank permission to operate agent banking.[11]

Md Mehmood Husain was appointed managing director of NRB Bank on 1 August 2016.[4]

Md Mukhter Hossain, CEO and managing director of NRB Commercial Bank, was appointed an advisor to NRB Bank on 5 May 2021.[12]

In September 2021, a special internal audit of NRB Bank found that the bank engaged in "unethical" investments in the stock marketing causing harm to both the bank, a loss of 1.03 billion taka, and the stock market.[13] [14] Bangladesh Bank finned the bank 4.9 million taka over the investments and market manipulation.[15] [16] [17] Chief financial officer of NBR Bank was terminated.[18] It also announced plans in September 2021 its intention to start an IPO soon.[19] On 27 September 2021, the Anti-Corruption Commission filed charges against M Badiuzzaman, Director of NRB Bank, and his wife for allegedly embezzling 25.3 million taka from the bank.[20]

In November 2021, Bangladesh Securities and Exchange Commission began an investigation into the activities of NRB Bank.[21]

Notes and References

  1. News: Mahtabur Rahman new chairman of NRB Bank . The Independent . Dhaka . 2017-03-29.
  2. News: 2019-06-27 . NRB Bank re-elects chairman . 2022-01-01 . The Daily Star . en.
  3. News: 2021-09-01 . NRB Bank reelects vice chairmen . 2022-01-01 . The Daily Star . en.
  4. News: 2016-08-03 . Mehmood Husain, new CEO of NRB Bank . 2022-01-01 . The Daily Star . en.
  5. [Bayazid Sarker|Sarker]
  6. News: 2013-04-03 . First NRB bank starts journey . 2022-01-01 . The Daily Star . en.
  7. News: 2013-05-29 . NRB Bank takes off . 2022-01-01 . The Daily Star . en.
  8. News: 2017-12-12 . No clear BB guideline for NRB banks . 2022-01-01 . The Daily Star . en.
  9. News: Khan . Mahbubur Rahman . 2020-07-22 . Loan from NRB Bank: No rules meant for Shahed . 2022-01-01 . The Daily Star . en.
  10. News: 2020-07-23 . Shahed accused in NRB Bank scam case . 2022-01-01 . The Daily Star . en.
  11. News: 2014-05-30 . Bank Asia, NRB Bank get approval for agent banking . 2022-01-01 . The Daily Star . en.
  12. News: 2021-05-05 . NRB Bank gets adviser . 2022-01-01 . The Daily Star . en.
  13. News: Uddin . AKM Zamir . Habib . Ahsan . 2021-09-29 . NRB Bank deliberately loses Tk 103cr to favour stock gamblers . 2022-01-01 . The Daily Star . en.
  14. News: 2021-10-18 . NRB Bank involved in stock market scandal? . 2022-01-01 . The Daily Star . en.
  15. News: Habib . Ahsan . 2021-09-17 . NRB Bank fined for breaking stock investment rules . 2022-01-01 . The Daily Star . en.
  16. News: 2021-09-16 . NRB Bank fined Tk49.50 lakh for share price manipulation . 2022-01-01 . The Business Standard . en.
  17. News: NRB Bank gets the regulator’s stick for overreaching investment ceiling . 2022-01-01 . The Financial Express . en.
  18. News: 2021-09-13 . How banks fuelled stock prices . 2022-01-01 . The Business Standard . en.
  19. News: 2021-09-14 . NRB Bank to go public . 2022-01-01 . The Business Standard . en.
  20. News: Case filed by ACC against NRB Bank director and his wife . 2022-01-01 . UNB . en.
  21. News: Probe body formed to investigate against NRB Bank . 2022-01-01 . Risingbd.com . en.